This calculator was manually reviewed to confirm current platform fees, plan details, and assumptions as of October 2026.
Platforms may update pricing or terms at any time.
Etsy fee explained
Etsy’s 6.5% transaction fee reaches beyond the item price
On an Etsy sale, the transaction fee is 6.5% of the item price plus shipping and gift wrap charged to the buyer. It is a percentage of the sale, so the dollar charge rises when those amounts rise.
The fee is only one line in the order math. To see what a sale actually leaves, you also need to account for payment processing, the listing fee, any applicable ads, and your own selling costs.
What is included
The charge follows the amount you sell, including paid shipping
Item price
The price paid for the product is the starting amount. Charged personalization and other amounts included in the listing price can increase it.
Shipping charged
The shipping amount the buyer pays is included in the fee base. The postage you pay for the label is a separate expense.
Gift wrap charged
If you charge the buyer for gift wrapping, Etsy applies the transaction fee to that amount as well.
For sellers in the United States, Etsy says the transaction fee does not apply to sales tax. Tax treatment in prices can differ in other countries. Payment processing has its own fee base and may include tax.
Show the work
A $30 item with $5 shipping charged
This simple U.S. example has no gift wrap, discount, or sales tax. The buyer pays $35 for the item and shipping.
The $5 shipping charge adds about $0.33 to the transaction fee compared with the $30 item price alone. Etsy still charges 6.5%; the dollar fee is larger because the charge includes shipping.
$32.72 remaining after this one fee is not profit. Payment processing, any applicable listing fee, Offsite Ads, the actual shipping label, product costs, and packaging have not been subtracted.
Pricing decision
What changes when you lower the price or offer free shipping?
A discount reduces what the buyer pays for the item, but it can also reduce the dollars left to cover product and shipping costs. “Free shipping” removes a separate shipping charge; it does not make postage free. If you build shipping into the item price instead, that item price is still subject to the transaction fee.
Check the full order with your actual price, shipping charged, and selling costs before deciding that a discount or shipping offer is affordable.
Your next step
Calculate the full cost of your Etsy sale
Enter your item price, shipping, and costs to see the transaction fee alongside other Etsy charges. If you need a price that protects a particular payout, work backward from that target.
Common questions
Etsy transaction fee FAQs
Does Etsy charge the 6.5% transaction fee on shipping?
Yes. It applies to shipping charged to the buyer as well as the item price. The amount you pay to ship the package is a separate cost that affects your profit.
Is the transaction fee the same as payment processing?
No. Etsy’s transaction fee is 6.5% of the eligible sale amount. Etsy Payments processing is a separate charge with rates that vary by country, and its fee base can include applicable sales tax.
Does Etsy charge the transaction fee on sales tax?
For a U.S. seller, Etsy says the 6.5% transaction fee does not apply to sales tax. Sellers elsewhere should check how tax is included in the listing price and Etsy’s local fee rules. Payment processing can still apply to tax collected as part of the payment.
Does offering free shipping avoid the transaction fee on shipping?
If you charge $0 separately for shipping, there is no separate shipping charge to include. If you increase the item price to cover postage, Etsy still applies the 6.5% transaction fee to that item price. You also still pay the real postage cost.
Does the 6.5% fee apply when I offer a discount?
The fee is based on the amount charged for the sale after the discount affects the item price, plus eligible shipping and gift wrap charges. A lower fee does not necessarily offset the revenue you gave up. Check the full order profit before running a promotion.
Is the amount left after the transaction fee my profit?
No. You may also pay for listing or renewal, payment processing, Offsite Ads on an attributed order, postage, product costs, packaging, and other expenses. Run the Etsy Fee Calculator with your actual numbers before calling the remainder profit.
Fee rules: Etsy Fees & Payments Policy and Etsy’s selling fees guide. Check your Payment account for your actual fees and country-specific charges.
Fee math is only one part of the launch decision
This calculator shows part of the selling math. If you are testing a product you plan to list, run the Etsy Launch Check to see how the idea holds up after product costs, shipping, discounts, Etsy Ads, and Offsite Ads.