Etsy fees explained
For US sellers, Etsy charges a $0.20 listing fee each time an item sells, a 6.5% transaction fee on the item price plus the shipping you charge, and payment processing of 3% + $0.25. If the sale came through an Offsite Ad, Etsy adds 15% (12% if you sold over $10,000 in the last 12 months), capped at $100 per order.
Because the transaction fee also applies to shipping, raising shipping instead of price does not avoid fees. A common rule: price so your margin is at least 30% after fees, so a single Offsite Ad sale doesn't wipe out the profit.
FAQ
How much does Etsy take from a $50 sale?
About $5.20 in standard fees: $0.20 listing, $3.25 transaction fee and $1.75 payment processing (with no shipping charged). That is roughly 10% before any Offsite Ads.
Does Etsy charge fees on shipping?
Yes. The 6.5% transaction fee and the payment processing fee both apply to the shipping amount the buyer pays.