How Etsy fees work in 2026
Etsy stacks several small fees rather than charging one big one. For a US shop selling to a US buyer, every order pays three:
- Listing fee: $0.20 per listing. It lasts four months or until the item sells. With auto-renew on, Etsy charges another $0.20 each time a multi-quantity listing sells.
- Transaction fee: 6.5% of the item price plus the shipping and gift wrap you charge. It is not charged on sales tax.
- Payment processing: 3% + $0.25 per order through Etsy Payments. This one is calculated on the full order total, including sales tax.
Some orders carry a fourth. If a buyer clicks one of Etsy's ads on another site (Google, Instagram, Pinterest and others) and buys within 30 days, you pay an Offsite Ads fee of 15% of the order total. Shops with over $10,000 in sales in the past 12 months pay 12% and can't opt out. The fee is capped at $100 per order.
The formula
transaction fee = sale × 6.5%
processing fee = sale × (1 + sales tax rate) × 3% + $0.25
Etsy fees = $0.20 + transaction fee + processing fee + Offsite Ads fee
profit = sale − Etsy fees − materials − shipping label
Example: a $32 order with $6 shipping
You sell a handmade candle for $32 and charge $6 shipping. Materials cost $8 and the label costs $6. No Offsite Ad was involved, and we'll leave sales tax out to keep the numbers clean.
| Line | Amount |
|---|---|
| Listing fee | $0.20 |
| Transaction fee (6.5% of $38) | $2.47 |
| Payment processing (3% of $38 + $0.25) | $1.39 |
| Total Etsy fees | $4.06 |
| Payout ($38 − $4.06) | $33.94 |
| Minus materials ($8) and label ($6) | $19.94 profit |
If that same order came through an Offsite Ad at 15%, add $5.70 in fees and profit drops to $14.24. That's the single biggest swing in Etsy pricing, so it's worth knowing whether your shop is enrolled.
Pricing tips for Etsy sellers
- Charge for your time. Materials are only part of the cost. Put your hourly labor into the item cost field to see whether the price actually pays you.
- Plan for Offsite Ads. If you're over $10,000 a year, a share of your orders will carry the 12% fee. Price so those orders still make money.
- Free shipping doesn't avoid fees. Etsy charges the same percentages whether shipping is a separate line or built into the price.
- Buy labels through Etsy. Etsy's discounted labels are often cheaper than retail postage, which lowers your label cost without touching the buyer's price.
- Watch small orders. The fixed $0.45 ($0.20 listing + $0.25 processing) is 9% of a $5 sale before any percentage fees.
Frequently asked questions
How much does Etsy take from a sale in 2026?
For a US seller, Etsy charges a $0.20 listing fee, a 6.5% transaction fee on the item price plus shipping and gift wrap, and a payment processing fee of 3% + $0.25. On a $32 item with $6 shipping, that's $4.06, or about 10.7% of the order.
Does Etsy charge fees on shipping?
Yes. The 6.5% transaction fee and the 3% processing fee both apply to the shipping you charge the buyer, not just the item price. Offering free shipping and raising your price costs about the same in fees.
Does Etsy charge fees on sales tax?
The 6.5% transaction fee is not charged on sales tax, but the 3% payment processing fee is calculated on the full order total including tax. Etsy collects and remits the tax itself, so you never receive it.
What is the Etsy Offsite Ads fee?
When a buyer clicks an Etsy ad on another site and buys from you within 30 days, Etsy charges 15% of the order total. Sellers who made over $10,000 in the past 12 months pay 12%, and for them the program is mandatory. The fee is capped at $100 per order.
Do I pay the $0.20 listing fee again when an item sells?
Yes, in effect. A listing costs $0.20 and lasts four months or until the item sells. If you have more quantity and auto-renew is on, Etsy charges another $0.20 to renew the listing after each sale.
Can I avoid Etsy Offsite Ads fees?
Sellers under $10,000 in yearly sales can opt out in their shop settings. Once you pass $10,000, you can't opt out, but your rate drops to 12%. Some sellers build the possible fee into their prices.
Rates and figures last checked September 2026.
This calculator gives estimates for planning. Check current rates and product labels before you buy, list or file.