Etsy Fees You Should Know About
If you want to sell merchandise on popular platforms, you must be prepared for every possible outcome. For example, three types of Etsy seller fees need to be paid, and they can be easily calculated. But before that, it's good to get informed on the possible Etsy fees and regulations.
What Are Etsy Fees and How Much Will You Have to Pay for Selling Online?
Many online selling platforms have costs sellers have to pay to gain access to their amenities. This is how the platform protects itself from going out of business, and additionally, how it makes sure sellers are legitimate.
So, what are the fees for selling on Etsy? You have the listing, transactions, and payment processing cost. They all play an integral part in being a seller on this platform, even if you do it through a multi-vendor marketplace platform such as Zipsale.
If you have a problem with the shipping or tax charges on this platform, you don't have to give up on it. Instead, use our crosslisting software to monitor payments and sales across multiple platforms. You don't have to choose between Etsy and Depop, because with our app, you can sell on Depop, eBay, and Shopify, too. Using software for cross-listing when selling is also a wise way to increase revenue.
What Fees Does Etsy Charge? Etsy's E-Commerce FAQs
Etsy selling fees depend on a few factors. You can use the basic services for selling online, but also purchase postage labels from the website and use additional tools like Etsy Ads or Offsite Ads. If you buy labels or use ad services, there'll be an additional cost for each.
To see the charges you've incurred during your profile use, open up the Finances tab and select Payment Account. Here, you'll be able to see all your costs and taxes, and if you have an Amount Due, pay the remaining balance. Just remember, knowing all about this platform will help you have a successful Etsy shop.
#1 Listing Fee
Adding a product for sale means you've created a listing. The platform charges a small amount for each one you create, meaning that every product page you make has a charge. Additionally, the listings are charged whether the product's been sold or not.
You have a few costs to learn about here:
- Auto-renew sold - when you sell a product, the auto-renew option saves you from manually renewing a product page once it's sold,
- Multi-quantity listing - similar to the auto-renew feature, but it applies to multiple items on a single listing. For example, if sellers have the same item in two variations, and someone buys both, they'll be charged the original listing fee plus one more for the second item. A seller should list the realistic amount of things they're able to sell, especially if their shop does handmade or limited edition items,
- Private listing - a seller can also list items for a specific buyer or organized private sales. This would happen if their shop created custom and made-to-order items.
#2 Transaction Fee
As the name suggests, the transaction fee is incurred for every sold item. It only applies to listings that get sold, and these costs are divided into the transaction basics and delivery transaction costs.
The transaction fee basics include the platform collecting 5% of the total item cost in your designated currency. This cost is automatically taken off and posted to your payments account. Shipping transaction costs are collected if you decide to charge a separate delivery fee to your buyers. This cost amounts to 5% of the total delivery amount.
#3 Payment Processing and Tax Fees
If you have become a clothing reseller or you've specialized in reselling sneakers, you should know all about payment processing and taxes that are included. The payment processing charges are set rates plus a percentage of the total sale price; they are different in each country. These payments are taken from the total sale price and delivery and applicable sales tax.
Before sellers get any payments from the sales, the processing costs are charged on the transactions. This is the standard for money that goes through the platform's system.
How Much Are Etsy Fees?
All incurred costs are £0,25. That includes auto-renewal for sold items and all transactions in multi-quantity and private listings.
Multi-quantity listings function by items sold and listed. You'll be charged £0,25 for each listed item that was purchased, not all that were listed. If you have auto-renew on, your listing will renew despite having more of the same product on sale.
Etsy Fees Calculator in 2022 a Seller Should Know
Selling on Etsy fees can get high depending on the types of listings, transactions, and payments. The price will always determine how much you'll end up getting in the end. For example, in the UK, shipping plus tax is £1, so count that taken out of your final amount.
Using a marketplace platform like Zipsale to monitor your sales, prices, input and output will be the best and easiest way to calculate potential profits. For now, let's look at a simple calculation; say you want to sell a handmade product for £15.
Price - shipping plus tax - platform charge - transaction charge - make cost = estimated profit
So, for example: £15 - £1 - £0,95 - £0,84 - £5 = £9,21
The girl in the video below explains how sellers can get started with their online businesses and calculate shipping costs to avoid losing money eventually.
Save Time and Money With Zipsale, Our Crossposting App
We recommend using selling software to keep track of all your listings across multiple platforms; this can significantly boost your e-commerce business. If you're unsure where else to set up shop and monitor your trades through Zipsale, check our list of the best UK marketplaces.
Our marketplace platform is free and an excellent choice for boosting your business for multiple reasons, but the main one is having insight into all your businesses in one place. Long gone are the days of staying on track with everything separately. Now that Zipsale is here, you can do it through one app only and navigate through the e-commerce seas as the true captain of your ship.