Etsy doesn't take one simple cut. You pay a small fee to list, a percentage when something sells, a payment processing fee and, sometimes, an advertising fee. Here is every fee for US sellers, with a worked example.
The three fees on every sale
Listing fee: $0.20. Charged when you publish a listing. It renews every four months, or each time the item sells.
Transaction fee: 6.5%. Charged on the full order total, including the item price, shipping and gift wrapping. For US sellers, it doesn't apply to sales tax.
Payment processing: 3% + $0.25 for US sellers. Charged on each order paid through Etsy Payments. Rates differ by country, so check yours in your shop settings.
Fees that depend on what you do
Offsite Ads: 12% or 15%. When a buyer finds your item through an Etsy ad on another site and buys within 30 days, Etsy charges an advertising fee on that order. It is 15% for shops with under $10,000 in sales over the past 12 months, and 12% above that.
Etsy Ads, currency conversion and subscriptions. Etsy Ads on Etsy itself are optional and billed per click. If you list in a currency other than your bank's, conversion fees apply. Etsy Plus is an optional monthly subscription.
A worked example
Say you sell a $25 item and charge $5 for shipping, so the buyer pays $30. Etsy takes $0.20 for the listing, $1.95 in transaction fees and $1.15 in payment processing: $3.30 in total, leaving you $26.70 before materials, labor and postage. If the same sale came through an Offsite Ad at 15%, add $4.50.
How to keep more of each sale
Build fees into your price instead of absorbing them. Price low-cost items carefully, because the fixed $0.20 and $0.25 hurt most on cheap orders. Bundle small items into one order where you can. And check how many sales come from Offsite Ads, because a 15% fee can wipe out the margin on low-priced products.
Questions sellers ask
Does Etsy charge a monthly fee?
No. Opening an Etsy shop is free. You pay per listing and per sale, plus optional ads or an optional subscription.
Can I opt out of Offsite Ads?
Shops with under $10,000 in sales over the past 12 months can opt out in their shop settings. Once you pass $10,000, Offsite Ads are mandatory, but the fee drops to 12%.
Sources: Etsy Fees and Payments Policy and US fee schedule, checked November 2026. Fees change, so confirm current rates in your Etsy shop.