Every Etsy Seller Fee in 2025, Explained
Etsy's fee structure has four main layers — and they all stack on top of each other. If you don't account for all of them, you'll price products that look profitable but actually lose money. This guide breaks down every fee, with real examples, so you never get surprised at payout time.
Overview: What Does Etsy Actually Charge?
Every sale on Etsy involves at least three mandatory fees: a listing fee, a transaction fee, and a payment processing fee. On top of those, you may also owe Offsite Ads fees for sales driven by Etsy's advertising network — and you can't opt out if your shop earns over $10,000/year.
| Fee | Rate | Mandatory? |
|---|---|---|
| Listing Fee | $0.20/item | Yes |
| Transaction Fee | 6.5% | Yes |
| Payment Processing (US) | 3% + $0.25 | Yes |
| Offsite Ads | 12–15% | Conditional |
| Etsy Plus | $10/mo | No |
1. Listing Fee — $0.20 Per Item
Every item you list on Etsy costs $0.20, regardless of whether it sells. Listings are active for four months or until the item sells, whichever comes first. After that, Etsy auto-renews for another $0.20.
Charged when you create or renew a listing. Also charged per unit when a buyer purchases multiple quantities of the same item in one order.
Want to see these fees applied to your actual product price?
Open the Calculator2. Transaction Fee — 6.5%
This is Etsy's core commission. It's 6.5% of the total amount the buyer pays — which includes the item price, any shipping you charge, and gift wrapping. Etsy raised this from 5% to 6.5% in April 2022.
The fee applies to the entire buyer-facing order total — not just the item price. Free shipping doesn't eliminate the fee; it just reduces the base.
3. Payment Processing Fee
Etsy Payments (the standard checkout for most sellers) charges a payment processing fee on each transaction. For US sellers, that's 3% + $0.25. Rates vary by country.
International Rates
| Country | Rate |
|---|---|
| United States | 3% + $0.25 |
| United Kingdom | 4% + £0.20 |
| Eurozone | 4% + €0.30 |
| Canada | 3% + C$0.25 |
| Australia | 3% + A$0.25 |
4. Offsite Ads — 12% or 15%
Etsy runs ads on Google, Facebook, Instagram, and other platforms — and if a buyer finds your item through one of those ads and purchases within 30 days, you owe an Offsite Ads fee. This is the fee that catches sellers off guard most often.
Applied to the total order value. Sellers who earned less than $10,000 in the past year can opt out — but for those above that threshold, the fee is mandatory for life.
5. Optional Fees
Etsy Plus — $10/month
An optional subscription that gives you credits for listings and shipping discounts, plus a few storefront customization tools. Worth it if you list frequently. Divide the $10 by your monthly sale count to see the per-sale cost.
Etsy Ads
A separate pay-per-click ad product that promotes your listings within Etsy search. You set a daily budget. Not the same as Offsite Ads — these are on-site only.
Pattern — $15/month
Etsy's tool for creating a standalone website powered by your Etsy inventory. Rarely worth it vs. using Shopify or another platform.
Real Example: $35 Handmade Candle, $6 Shipping
| Fee | Calculation | Amount |
|---|---|---|
| Gross Revenue | $35 + $6 | $41.00 |
| Listing Fee | Flat | -$0.20 |
| Transaction Fee | $41 × 6.5% | -$2.67 |
| Payment Processing | $41 × 3% + $0.25 | -$1.48 |
| Total Fees | -$4.35 | |
| Your Cost of Goods | Materials + labor | -$12.00 |
| Your Shipping Cost | Postage | -$4.50 |
| Net Profit | $20.15 |
That's a 49% margin — solid. Add an Offsite Ad sale at 15% and you're looking at $13.80 profit instead, dropping to 34%.
Run these numbers for your own product in seconds.
Try the Calculator3 Pricing Tips for Etsy Sellers
1. Price for Offsite Ads from Day One
Even if your shop is under $10,000, assume Offsite Ads will apply. Build the 15% into your minimum price so you're never blindsided. Use the Price Finder tab in our calculator to model this automatically.
2. Include Shipping in Your Transaction Fee Base
Etsy's 6.5% applies to what the buyer pays for shipping, not just the item. If you charge $8 shipping but only spend $4, you're losing 6.5% of that $8 to Etsy. Either charge accurate shipping or build the gap into your item price.
3. Aim for at Least 30% Margin After All Fees
A healthy Etsy margin after fees, COGS, and shipping is 30–50%. Anything under 20% leaves no room for returns, supplies price increases, or ad spend. Use the margin bar in the calculator to check every product before you list.