What is Etsy's Star Seller program and does it affect fees?

Star Seller is a performance badge based on response time, on-time shipping, and 4–5 star reviews — it does not reduce or increase Etsy fees. However, Star Sellers tend to convert better, which improves effective margin without changing the fee schedule.

How do Etsy fees compare to selling on Amazon Handmade?

Etsy charges 6.5% transaction + 3% processing vs Amazon Handmade's 15% referral with no listing fee. Etsy wins on low-price items under $25, but Amazon Handmade can win above $40 where the flat referral percentage is simpler to model — no offsite ads layer.

Should I raise prices to cover Etsy offsite ads fees?

If offsite ads drive consistent sales, add 12–15% to your base price or accept the margin compression. Many sellers price for organic traffic and treat offsite-ad orders as break-even acquisition. Use this calculator with offsite ads toggled on to find your floor price.

Etsy · Updated May 2026

Etsy Fee Calculator 2026 — Transaction, Listing & Processing Fees

Etsy sellers are often blindsided by offsite ads: once your shop hits $10,000 in annual sales, Etsy auto-enrolls you in Offsite Ads and charges 12–15% on any sale attributed to those ads — on top of the 6.5% transaction fee and 3% payment processing. Many sellers discover this only when their payout is $6 lighter than expected. This calculator models every Etsy fee line item including listing renewals, so you know your real take-home before you price a handmade SKU.

Offsite Ads Toggle2026 Rates100% Free

Item price

Shipping charged to buyer

Etsy fees apply to item + shipping total

Product cost (COGS)

Etsy Ads spend per order

Return rate5%

Offsite ads fee applies

When Google/Pinterest ads drive the sale

$10K+ sales (last 365 days)

Mandatory 12% offsite ads rate

Under $10,000: offsite ads cost 15% — you can opt out in Shop Manager.

Net profit per order

$10.24

Margin

26.95%

Order total

$42.50

Offsite rate

15%

Seller type calculators

print on-demand digital downloads handmade jewelry

How this Etsy calculator works

1
Enter item price and shipping
Add your listing price and shipping charged to the buyer — Etsy fees apply to the combined order total.
2
Set COGS, ads, and offsite ads
Enter product cost, Etsy Ads spend, and toggle offsite ads if you're enrolled (auto at $10K+ annual sales).
3
See net payout per order
Review listing, transaction, processing, and optional offsite ads fees with your true net margin.

Etsy fee breakdown (2026)

Official source

Fee type	Rate	Notes	Category
Listing fee	$0.20	Charged when listing is published or renewed (4-month cycle)	Listing
Transaction fee	6.5%	Applied to item price + shipping charged to buyer	Transaction
Payment processing	3% + $0.25	Etsy Payments on order total including shipping	Processing
Offsite ads — under $10K annual	15%	When offsite ad drives the sale; opt-out available before $10K threshold	Offsite Ads
Offsite ads — $10K+ annual	12%	Auto-enrolled at $10K annual sales; harder to opt out	Offsite Ads
Etsy Ads (on-platform)	PPC budget	Seller-set daily budget; not a percentage fee	Advertising
Monthly subscription	None	No Etsy Plus required to sell; optional $10/mo for shop perks	Platform

Listing fee

$0.20

Charged when listing is published or renewed (4-month cycle)

Listing

Transaction fee

6.5%

Applied to item price + shipping charged to buyer

Transaction

Payment processing

3% + $0.25

Etsy Payments on order total including shipping

Processing

Offsite ads — under $10K annual

15%

When offsite ad drives the sale; opt-out available before $10K threshold

Offsite Ads

Offsite ads — $10K+ annual

12%

Auto-enrolled at $10K annual sales; harder to opt out

Offsite Ads

Etsy Ads (on-platform)

PPC budget

Seller-set daily budget; not a percentage fee

Advertising

Monthly subscription

None

No Etsy Plus required to sell; optional $10/mo for shop perks

Platform

Rates accurate as of May 2026. Verify on the official platform before pricing decisions.

Worked example

Jewelry & accessories

Hand-stamped sterling silver initial necklace, $38 + $4.50 shipping

At $38 + $4.50 shipping with $14 COGS, Etsy takes $4.49 in platform fees — net profit lands at $10.74 (28.26% margin). Toggle offsite ads on and profit drops to $4.37 — the auto-enrollment surprise that catches sellers at $10K annual sales.

Inputs used

Selling price: $38.00
Product cost: $14.00
Fulfillment: $0.00
Ad spend: $2.00
Return rate: 4%
Shipping: $4.50

Net profit per unit

$10.74

28.26% margin · 67.13% ROI

Line item	Amount	% of price
Selling price	$38.00	100%
Return rate adjustment (4%)	$1.52 −	4%
Listing fee	$0.20 −	0.53%
Transaction fee	$2.76 −	7.27%
Payment processing	$1.27 −	3.36%
Payment processing (fixed)	$0.25 −	0.66%
Product cost (COGS)	$14.00 −	36.84%
Shipping to customer	$4.50 −	11.84%
Packaging	$0.75 −	1.97%
Ad spend	$2.00 −	5.26%
Net profit	$10.74	28.26%

Etsy seller FAQ

Offsite Ads promote your listings on Google, Facebook, and partner sites. Once your shop reaches $10,000 in sales within a 365-day window, Etsy auto-enrolls you and charges 12% on attributed sales ($10K+ sellers) or 15% if you're under that threshold. You cannot fully opt out after hitting $10K — which is why many sellers see unexpected fee spikes mid-year.

Each listing costs $0.20 when published and again every four months when it auto-renews — whether or not it sells. A listing that sits unsold for a year costs $0.60 in renewal fees alone. Factor one renewal per sale into your COGS on slow-moving SKUs.

Yes. The 6.5% transaction fee and 3% payment processing both apply to the item price plus shipping charged to the customer. On a $38 item with $4.50 shipping, fees hit the full $42.50 order total — not just the item price.

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Fee accuracy status

Etsy rates verified Updated May 2026

View official fee schedule