Thinking of opening an Etsy Store?

Here’s what you need to know about the Etsy Seller Fees before you start.

Types of Fees

• Set-Up Fee: One-time, non-refundable fee required to open an Etsy shop. May vary or be waived during promotions and includes potential local tax charges.

• Listing Fees: $0.20 per item listed on Etsy; renewals occur every four months unless set to manual. Fee applies regardless of sales outcome.

• Transaction Fees: 6.5% of the item price plus shipping and gift-wrapping costs; taxes are excluded in the US but included elsewhere.

• Advertising Fees:

• Etsy Ads: Sellers set a daily budget; fees deducted from account balance.

• Offsite Ads: Charged 15% of sales generated by external ads; reduced to 12% for shops earning $10,000+ in the last 365 days. Fee capped at $100 per order.

• Subscription Fees: Etsy Plus costs $10/month, includes listing and ad credits, and renews monthly. Optional domain discounts apply for the first year.

• In-Person Selling Fees: Processed via Square reader; avoids Etsy’s 6.5% transaction fees but incurs Square’s fees.

• Payment Processing Fees: Vary by country and apply to the total sale amount, including shipping and tax.

• Shipping Fees: Based on carrier rates, package details, and additional services like insurance.

Off-Platform Transactions

• Prohibited to move transactions off Etsy or misrepresent items/prices to avoid fees. Violations may result in penalties or account suspension.

Paying Etsy Fees

• Fees are automatically deducted from the seller’s payment account. Outstanding balances must be paid within 15 days or may result in suspension.

• AutoBilling (US Sellers): Automatically charges outstanding fees to the card on file monthly or when fees exceed a threshold.

Etsy Payments

• Allows sellers to accept various payment methods, including credit cards, PayPal, Apple Pay, Google Pay, and Klarna. Adheres to the Etsy Payments Policy.

Taxes

• US Sellers: Etsy collects and remits sales tax for specific states. Sellers must ensure proper tax categorization for listings.

• Non-US Sellers: Taxes may need to be included in listing prices or collected by Etsy based on regional laws.

• VAT on Seller Fees: Applied where required and added to fees monthly.

Other Governmental Fees

• Certain jurisdictions may require Etsy to collect additional fees (e.g., environmental charges) from buyers at checkout.

Marketplace Reporting of Seller Information

• Etsy reports seller transactions to authorities as required, such as issuing 1099-K forms in the US.

Etsy Gift Cards, Credits, & Coupons

• Sellers can accept payment via Etsy Gift Cards, Credits, and Coupons. These are subject to the same payment processing fees as other transactions.

Helpful Resource: From Etsy Fees and Payments Policy