For a US seller, Etsy takes about 14% of a $10 digital sale when no advertising is involved. If the same sale came through an Offsite Ad, the take roughly doubles, to 29%. Those numbers come from up to five separate fees, and each one is charged on a slightly different base. This guide lists every fee, shows two worked examples, and explains how to set a price that keeps your margin.
Every rate here comes from Etsy's Fees & Payments Policy (last updated October 5, 2026) and Etsy's help article on payment processing fees. We read both on October 22, 2026. Etsy changes its fees from time to time, so if anything here disagrees with your Shop Manager, trust Shop Manager.
The five fees, and what each one is charged on
| Fee | US rate | Charged on |
|---|---|---|
| Listing fee | $0.20 per listing | Creating or renewing a listing. Listings expire after four months. On a multi-quantity listing, Etsy renews it at $0.20 after each item sells. |
| Transaction fee | 6.5% | The price you display, plus what you charge for shipping and gift wrap. Personalization charges count as part of the price. |
| Payment processing | 3% + $0.25 | The total sale price, including shipping and any sales tax. |
| Offsite Ads | 15%, or 12% for shops with $10,000 or more in sales over the prior 365 days | Only on orders Etsy attributes to an ad click in the previous 30 days. Charged on item price plus shipping and gift wrap, not on US sales tax. Capped at $100 per order. |
| Currency conversion | 2.5% | The sale amount, only when you list in a currency other than your payment account's. |
Two details catch most new sellers.
First, Etsy's percentage fees apply to shipping as well as the item. The transaction fee includes the shipping you charge. Payment processing includes shipping and the sales tax the buyer pays. A "free shipping" price and a "price plus shipping" listing that bring in the same total cost you about the same in fees.
Second, the listing fee is a renewal cost. You pay $0.20 when you list, again when the listing renews, and again each time an item sells from a multi-quantity listing. It's small, but on a $3 printable it is close to 7% on its own.
Worked example 1: a $10 digital download
The example assumes no shipping, no sales tax on the order and no Offsite Ad.
| Line | Math | Fee |
|---|---|---|
| Listing fee (renewal on sale) | flat | $0.20 |
| Transaction fee | 6.5% × $10.00 | $0.65 |
| Payment processing | 3% × $10.00 + $0.25 | $0.55 |
| Total Etsy fees | $1.40 (14.0%) | |
| You receive | $8.60 |
Now say the buyer clicked an Etsy ad on another site in the last 30 days. Add 15% × $10.00 = $1.50. Fees become $2.90, or 29.0% of the sale, and you keep $7.10.
Worked example 2: a $25 physical item with $5 shipping
In this example the buyer pays $25 for the item, $5 shipping and $2.00 sales tax, so $32.00 in all.
| Line | Math | Fee |
|---|---|---|
| Listing fee | flat | $0.20 |
| Transaction fee | 6.5% × ($25 + $5) | $1.95 |
| Payment processing | 3% × $32.00 + $0.25 | $1.21 |
| Total Etsy fees | $3.36 |
That is 11.2% of the $30 you charged for the item and shipping. Not counting the $2.00 of sales tax, $26.64 of the order is left. From that, you still pay for postage and the item itself. If you spend $4.50 on postage and $8.00 on materials, your profit is $14.14.
With an Offsite Ad at 15%, add 15% × $30 = $4.50. Fees rise to $7.86 and profit drops to $9.64. At the 12% rate for larger shops, the ad fee is $3.60.
Offsite Ads: the fee you can control, for now
Etsy's policy lets a shop opt out of Offsite Ads while it is under $10,000 in sales over the prior 365 days. Once a shop crosses that line, the opt-out no longer applies and the fee drops to 12%. Etsy checks the threshold on the first day of each month.
Whether to stay in depends on your margin. On a $10 download, the ad fee costs more than the other three fees combined ($1.50 against $1.40). If your listings already sell without ads, opting out protects that margin.
If your shop is new and you want the extra reach, staying in is a reasonable marketing decision. Treat the 15% as an advertising cost, and make sure your prices can absorb it on the orders where it applies.
How to price so the fees don't eat your profit
- Start from the profit you want per item, not the price you hope to charge.
- Add your costs: materials, packaging, postage.
- Gross the total up for the percentage fees. With no ad, 9.5% of the item-plus-shipping total goes to transaction and processing fees, plus 3% of any sales tax. Add $0.45 for the listing fee and the processing fixed fee. As a formula, ignoring sales tax: price plus shipping = (target profit + costs + $0.45) ÷ 0.905.
- If you leave Offsite Ads on, run the same math with 15% more taken out. Make sure the price still works on an ad-driven order.
The free calculator below does steps 2 to 4 for you. It also shows the lowest price that still meets your profit target.
Run your own numbers in the Etsy Fee & Profit Calculator. It is free, works in your browser, and needs no signup. It uses the US rates above and covers digital and physical items, Offsite Ads and currency conversion.
What this doesn't cover
These are US rates. Etsy says payment processing fees vary with the location of your bank account, and sellers in certain countries also pay a regulatory operating fee on each transaction. If you sell from outside the US, use the rates in your own Shop Manager.
Anything else you choose to buy, such as advertising inside Etsy or postage, isn't counted in the fee totals here. Add it to your costs separately. How sales tax is collected and handled depends on where your buyers are; this post doesn't cover it.
Quick answers
Does Etsy charge fees on shipping? Yes. The 6.5% transaction fee applies to the shipping you charge, and payment processing applies to the full order total, including shipping and sales tax.
Do digital downloads cost less in fees? Not in rate. The same listing, transaction and processing fees apply. A download has no shipping charge for those percentages to apply to.
Is the listing fee charged if the item never sells? Yes. Etsy charges the $0.20 when you create or renew a listing, whether or not the item sells. Private listings are the exception and are charged only when sold.
What is the most Offsite Ads can cost on one order? $100. Etsy caps the fee at that amount for each attributed order.
Sources
- Etsy Fees & Payments Policy, last updated October 5, 2026; read October 22, 2026.
- Etsy Help: payment processing fees (US row); read October 22, 2026.