How Etsy fees work
Etsy charges a handful of small fees instead of one big one, which is why they are easy to underestimate. For a shop in the United States, every sale pays three of them, and some sales pay more.
| Fee | Rate (US shop) | Charged on |
|---|---|---|
| Listing fee | $0.20 | Each listing for four months, and again each time an item sells |
| Transaction fee | 6.5% | Item price plus the shipping and gift wrap you charge |
| Payment processing | 3% + $0.25 | The order total, including sales tax |
| Offsite Ads | 15%, or 12% for shops over $10,000 a year | Only orders that came from an Etsy ad on another site, capped at $100 an order |
| Currency conversion | 2.5% | Only when your listing currency differs from your bank account's |
Processing rates differ by country, and some countries add a small regulatory operating fee. Check Etsy's fee page for your shop's country and type your rates into the calculator above; every rate is editable.
Worked example: a $28 item with $5 shipping
| Buyer pays for item and shipping | $33.00 |
| Listing fee | $0.20 |
| Transaction fee: 6.5% × $33.00 | $2.15 |
| Processing: 3% × ($33.00 + $2.31 tax) + $0.25 | $1.31 |
| Total Etsy fees | $3.65 (11.1%) |
|---|---|
| Materials and labor $9, packaging $1.20, label $4.50 | $14.70 |
| Profit | $14.65 (44% margin) |
The same sale through Offsite Ads pays another $4.95, and profit falls to $9.70, a 29% margin. That is why the price you set should still work on an Offsite Ads order: to keep a 30% margin on every order, this item would need to be $28.99 instead of $20.99.
Fixed fees and cheap items
The $0.20 listing fee and the $0.25 processing fee are the same on a $3 sale and a $300 sale, so cheap items lose a much larger share. With no shipping and 7% sales tax:
| Item price | Etsy fees | Share of the sale |
|---|---|---|
| $2.99 | $0.74 | 25% |
| $5.00 | $0.94 | 19% |
| $15.00 | $1.91 | 13% |
| $30.00 | $3.36 | 11% |
If you sell low-priced items or digital downloads, bundles do more for your margin than a price increase of a few cents: one $12 bundle pays the fixed fees once instead of four times.
Price from cost, not from the fees
The fees are a percentage of the price, so you cannot simply add them on top. The price that reaches a target margin is:
The calculator does this for you, including the Offsite Ads cap. To price a whole product range from your materials, time and overhead, see markup vs. margin for why adding a percentage to cost falls short.
Frequently asked questions
How much does Etsy take from a sale?
For a US shop, a $0.20 listing fee, a 6.5% transaction fee on the item price plus shipping, and payment processing of 3% plus $0.25 on the order total including tax. On a $28 item with $5 shipping that is about $3.65, or 11% of what the buyer paid for the item and shipping. An order that came through Offsite Ads adds another 15% (12% for larger shops).
Does Etsy charge fees on shipping?
Yes. The 6.5% transaction fee and payment processing both apply to the shipping you charge the buyer, as well as the item price. Offsite Ads fees also apply to shipping. Build the fees on shipping into either the item price or the shipping price.
What are Etsy fees on a digital download?
The same fees without shipping: the $0.20 listing fee, 6.5% transaction fee and payment processing. Because the listing fee and the $0.25 processing fee are fixed, cheap digital items lose a larger share: about 19% of a $5 sale and about 25% of a $2.99 sale go to fees.
Can I turn off Offsite Ads?
Shops that made less than $10,000 on Etsy in the past 12 months can opt out in their shop settings. Above that, Offsite Ads are required, at the lower 12% rate. Either way, Etsy charges the fee only on orders that came from an ad.
Fee rates shown are for a US Etsy shop as of 2026 and can change. Check Etsy's current fee page for your country. This tool is not tax or accounting advice.
