Core formulas
The formulas to keep straight
July 2018 change = 5% - 3.5% = 1.5 percentage points, plus shipping charged added to the fee baseApril 2022 change = 6.5% - 5% = 1.5 percentage points2017 fees on a $25 item = $0.20 + 3.5% x $25 + (3% x $25 + $0.25) = $2.082026 fees on a $25 item = $0.20 + 6.5% x $25 + (3% x $25 + $0.25) = $2.83Instant Transfer fee since December 2025 = 1% of the transfer, minimum $0.25, maximum $1.00What is the full Etsy fee increase timeline from 2018 to 2026?
Etsy changed seller fees six times between July 2018 and June 2026. The transaction fee rose twice, from 3.5% to 5% in July 2018 and from 5% to 6.5% in April 2022. The other four changes added new fee lines: Offsite Ads in February 2020, a shop setup fee in September 2024, an Instant Transfer fee plus sales tax on seller fees in December 2025, and Regulatory Operating Fee increases on June 22, 2026.
The pattern matters more than any single change. The headline transaction rate has been flat since April 2022, but the total cost of selling kept climbing through new fee lines. A seller who only tracks the 6.5% number misses most of what happened after 2022.
This guide checked Etsy's Fees & Payments Policy and Seller Handbook announcements on July 4, 2026. Every fee amount below carries the date it took effect.
Etsy fee change timeline 2018-2026
Current rates come from Etsy policy pages. Dated changes come from Etsy announcements and contemporaneous public reporting.
| Date | Change | What it costs sellers |
|---|---|---|
| Before July 2018 | Transaction fee was 3.5% on item price only, shipping excluded | Baseline for the whole timeline |
| July 2018 | Transaction fee raised from 3.5% to 5% and extended to shipping charged | 1.5 points more, on a bigger base |
| February 2020 | Offsite Ads launched: 15% optional under $10,000 trailing 12-month revenue, 12% mandatory above, $100 per-order cap | 12% or 15% on ad-attributed orders |
| April 11, 2022 | Transaction fee raised from 5% to 6.5%, prompting a seller strike | $1.50 more per $100 of fee base |
| September 2024 | One-time setup fee for new shops introduced | $15 to $29 once, varies by country |
| December 2025 | Instant Transfer fee added at 1%, minimum $0.25, maximum $1.00; sales tax applied to Etsy service fees for Texas and Washington sellers | Optional transfer cost plus state tax on fee lines |
| June 22, 2026 | Regulatory Operating Fee increases: UK 0.32% to 0.48%, France 0.47% to 1.14%, Italy 0.32% to 0.80%, Spain 0.72% to 0.88%, Hungary new at 1.97%; India and Türkiye reduced | Higher percentage on affected countries' orders |
What changed in the July 2018 Etsy fee increase?
In July 2018, Etsy raised the transaction fee from 3.5% to 5% and applied it to shipping charged for the first time. Before that date, the transaction fee touched the item price only, so a $25 item with $5 shipping paid transaction fee on $25, not $30.
The base change was the quiet half of the increase. On a $25 item with $5 shipping, the transaction fee went from $0.88 under the old rules (3.5% of $25) to $1.50 under the new rules (5% of $30). That is a 71% jump in that one fee line even though the headline rate only moved 1.5 points.
Old pricing spreadsheets built before July 2018 are wrong twice: the rate is too low and the base is too small. Any listing still priced from 3.5% item-only math undercounts current fees badly.
July 2018 change on a $25 item with $5 shipping, computed July 4, 2026
Transaction fee line only. Listing and processing fees excluded to isolate the 2018 change.
| Rule set | Rate | Fee base | Transaction fee |
|---|---|---|---|
| Before July 2018 | 3.5% | $25 item only | $0.88 |
| After July 2018 | 5% | $30 item + shipping | $1.50 |
| After April 2022 | 6.5% | $30 item + shipping | $1.95 |
When did Etsy Offsite Ads start and what do they cost?
Etsy launched Offsite Ads in February 2020. Etsy advertises listings on outside platforms, and when a buyer clicks one of those ads and orders within 30 days, the seller pays an Offsite Ads fee on the attributed order.
The rate depends on shop revenue. Shops under $10,000 in sales over the trailing 12 months pay 15% and can opt out. Once a shop passes $10,000, the rate drops to 12% but participation becomes mandatory for the life of the shop. The fee is capped at $100 per order.
As of July 4, 2026, those February 2020 rules are still in force. On a $100 attributed order, Offsite Ads add $12.00 at the mandatory rate or $15.00 at the optional rate, on top of listing, transaction, and processing fees.
- Offsite Ads fees apply only to orders attributed to an Etsy-placed outside ad.
- The 15% tier is optional; the 12% tier is mandatory for the shop's lifetime once revenue passes $10,000.
- The $100 per-order cap only matters on attributed orders above roughly $833 at 12% or $667 at 15%.
How much did the April 2022 increase to 6.5% cost sellers?
On April 11, 2022, Etsy raised the transaction fee from 5% to 6.5%. That added 1.5 percentage points to a fee base that already included shipping charged. On a $100 order it meant $1.50 more; on a $500 order, $7.50 more.
The reaction was the largest seller protest in Etsy's history. Thousands of sellers put their shops in vacation mode during the week of April 11, 2022, and tens of thousands signed a petition against the increase. Etsy kept the fee.
As of July 4, 2026, 6.5% remains the current transaction fee. It has not changed since April 2022, even though other fee lines have been added around it.
5% vs 6.5% Etsy transaction fee comparison
This table compares only the transaction fee, not listing or processing fees.
| Fee base | Old 5% math | Current 6.5% math | Extra cost |
|---|---|---|---|
| $25 | $1.25 | $1.63 | $0.38 |
| $50 | $2.50 | $3.25 | $0.75 |
| $100 | $5.00 | $6.50 | $1.50 |
| $250 | $12.50 | $16.25 | $3.75 |
| $500 | $25.00 | $32.50 | $7.50 |
What Etsy fees were added in 2024 and 2025?
In September 2024, Etsy introduced a one-time setup fee for new shops. The fee ranges from $15 to $29 depending on the seller's country and is charged once, when the shop opens. Existing shops were not charged.
In December 2025, Etsy added an Instant Transfer fee of 1% of the transferred amount, with a $0.25 minimum and a $1.00 maximum. Standard deposits on the regular schedule stayed free; the fee applies only when a seller pays to move funds out immediately.
Also in December 2025, Etsy began applying sales tax to its service fees for sellers in Texas and Washington. A Texas or Washington seller now pays state sales tax on top of listing, transaction, processing, and ad fee lines, which raises the effective fee load without any posted rate changing.
Etsy fees added in 2024 and 2025
None of these changed the core $0.20 + 6.5% + processing stack, but each added real cost for the sellers it touches.
| Effective date | Fee | Amount | Who pays it |
|---|---|---|---|
| September 2024 | Shop setup fee | $15 to $29, one time | New shops only, varies by country |
| December 2025 | Instant Transfer fee | 1%, minimum $0.25, maximum $1.00 | Sellers who choose instant payouts |
| December 2025 | Sales tax on Etsy service fees | State sales tax rate applied to fee lines | Texas and Washington sellers |
What changed with Etsy's Regulatory Operating Fee on June 22, 2026?
On June 22, 2026, Etsy raised its Regulatory Operating Fee in four countries and introduced it in a fifth. The fee is a percentage of item price plus shipping and gift wrap, charged to sellers in specific countries on top of the standard fee stack.
The UK rate rose from 0.32% to 0.48%, France from 0.47% to 1.14%, Italy from 0.32% to 0.80%, and Spain from 0.72% to 0.88%. Hungary got the fee for the first time at 1.97%, the highest rate on Etsy's list. India and Türkiye had their rates reduced in the same update.
France took the largest increase, more than doubling. A French seller with $2,000 in monthly fee base pays $22.80 per month at 1.14%, up from $9.40 at the old 0.47% rate.
Regulatory Operating Fee changes effective June 22, 2026
Rates apply to item price plus shipping and gift wrap for sellers in the listed countries.
| Seller country | Rate before June 22, 2026 | Rate from June 22, 2026 |
|---|---|---|
| United Kingdom | 0.32% | 0.48% |
| France | 0.47% | 1.14% |
| Italy | 0.32% | 0.80% |
| Spain | 0.72% | 0.88% |
| Hungary | No fee | 1.97% |
| India | Higher rate | Reduced |
| Türkiye | Higher rate | Reduced |
How much more does a $25 Etsy sale cost the seller now than in 2017?
A $25 item with no shipping charged cost the seller $2.08 in Etsy fees in 2017 and costs $2.83 in 2026, about 36% more. A $25 item with $5 shipping went from $2.23 to $3.30, about 48% more, because shipping charged entered the fee base in July 2018.
This comparison holds payment processing at the US rate of 3% + $0.25 in every year so the transaction-fee changes are isolated. The listing fee is $0.20 throughout. The 2017 column uses the pre-July-2018 rules: 3.5% on the item price only. The 2019 column uses 5% on item plus shipping, and the 2023 and 2026 columns use 6.5% on item plus shipping.
The 2023 and 2026 rows match because the core stack has not moved since April 2022. What changed between those years sits outside this table: the 2024 setup fee for new shops, the 2025 Instant Transfer fee and Texas and Washington fee tax, and the 2026 regulatory increases for sellers in affected countries.
$25 Etsy sale seller fees in 2017 vs 2019 vs 2023 vs 2026, computed July 4, 2026
Processing held at 3% + $0.25 in every year for comparability. Listing fee $0.20 throughout. No Offsite Ads.
| Year | Transaction fee rule | Fees on $25 item, no shipping | Fees on $25 item + $5 shipping |
|---|---|---|---|
| 2017 | 3.5%, item price only | $2.08 | $2.23 |
| 2019 | 5%, item + shipping | $2.45 | $2.85 |
| 2023 | 6.5%, item + shipping | $2.83 | $3.30 |
| 2026 | 6.5%, item + shipping | $2.83 | $3.30 |
What should sellers do after Etsy fee increases?
Rebuild prices from the current fee inputs, not from a spreadsheet built under old rules. Use 6.5% for the transaction fee, include shipping charged in the fee base, use the processing rate for your bank-account country, and add 12% or 15% Offsite Ads scenarios if the shop participates.
Then check the post-2022 additions. Skip Instant Transfer unless the 1% fee is worth the speed. Texas and Washington sellers should add their state sales tax rate on top of every Etsy fee line when computing margin. Sellers in the UK, France, Italy, Spain, and Hungary should add the June 22, 2026 Regulatory Operating Fee rates.
The practical rule holds across the whole timeline: if a listing cannot survive the current standard fee stack, it will not survive an Offsite Ads attribution or the next fee change.
- Replace any 3.5% or 5% transaction-fee math with 6.5%.
- Include shipping charged in the fee base, as required since July 2018.
- Run 12% and 15% Offsite Ads scenarios before relying on ad-driven sales.
- Use standard deposits unless instant payout is worth 1%.
- Add state sales tax on fee lines if selling from Texas or Washington.
- Apply the June 22, 2026 Regulatory Operating Fee rate for affected countries.
Decision table
Etsy fee history response table
Use this when updating pricing sheets built under older fee rules.
| Old assumption | What changed | Fix |
|---|---|---|
| 3.5% transaction fee on item only | Raised to 5% and extended to shipping in July 2018, then 6.5% in April 2022 | Use 6.5% on item plus shipping charged |
| No ad fees | Offsite Ads launched February 2020 at 12% or 15% | Run ad-attributed scenarios |
| Opening a shop is free | Setup fee of $15 to $29 since September 2024 | Budget the one-time fee for new shops |
| Payouts are always free | Instant Transfer costs 1% since December 2025 | Use standard deposits unless speed is worth 1% |
| Fees are never taxed | Texas and Washington sellers pay sales tax on Etsy fees since December 2025 | Add state tax to fee lines in margin math |
| Old regulatory rates | UK, France, Italy, Spain raised and Hungary added on June 22, 2026 | Use the current rate for your country |
Worked examples
Examples you can compare against your own numbers
Example 1: $25 item under 2017 rules vs 2026 rules
Both rows hold processing at 3% + $0.25 and the listing fee at $0.20 so only the transaction-fee changes show. The calculator link opens the current 2026 version.
| 2017 fees | $2.08 | $0.20 + 3.5% x $25 + ($0.75 + $0.25) |
|---|---|---|
| 2026 fees | $2.83 | $0.20 + 6.5% x $25 + ($0.75 + $0.25) |
| Extra cost | $0.75 | About 36% more than 2017 |
| Seller keeps in 2026 | $22.17 | Before product cost, labor, packaging, and ads |
Takeaway: The two transaction-fee increases added $0.75 to every $25 no-shipping sale. Nothing else in this comparison changed.
Open the $25 current fee exampleExample 2: $25 item with $5 shipping, 2017 vs 2026
This version shows the July 2018 base change. In 2017 the transaction fee touched the $25 item only. Since July 2018 it touches the full $30.
| 2017 fees | $2.23 | $0.20 + 3.5% x $25 + (3% x $30 + $0.25) |
|---|---|---|
| 2026 fees | $3.30 | $0.20 + 6.5% x $30 + (3% x $30 + $0.25) |
| Extra cost | $1.07 | About 48% more than 2017 |
| Seller keeps in 2026 | $26.70 | Of $30 buyer-paid revenue, before seller costs |
Takeaway: Orders that charge shipping took the bigger hit across the timeline because the 2018 change grew the base and both rate increases applied to it.
Open the $25 plus shipping exampleExample 3: $100 sale through 15% Offsite Ads in 2026
Calculator inputs: itemPrice=100, shippingCharged=0, standard US fees, offsiteAdsFee=15. This is the fee line the February 2020 launch created.
| Standard Etsy fees | $9.95 | $0.20 listing + $6.50 transaction + $3.25 processing |
|---|---|---|
| Offsite Ads fee | $15.00 | $100 x 15% |
| Total Etsy fees | $24.95 | 25.0% of the order |
| Seller keeps before costs | $75.05 | Before product cost, labor, packaging, and shipping |
Takeaway: No transaction-fee increase in the timeline comes close to what one Offsite Ads attribution adds to a single order.
Open the Offsite Ads fee exampleAction checklist
Before you use this number in the real business
- 1Replace any 3.5% or 5% Etsy transaction-fee assumption with 6.5%.
- 2Include shipping charged in the fee base, as required since July 2018.
- 3Add 12% or 15% Offsite Ads only when the order is attributed.
- 4Budget the $15 to $29 setup fee if opening a new shop.
- 5Skip Instant Transfer unless the 1% fee, minimum $0.25 and maximum $1.00, is worth it.
- 6Add state sales tax on Etsy fee lines if selling from Texas or Washington.
- 7Use the June 22, 2026 Regulatory Operating Fee rates for the UK, France, Italy, Spain, and Hungary.
Common mistakes
Mistakes that make the answer look better than reality
FAQs
Questions people ask before making the decision
When did Etsy raise its transaction fee to 6.5%?
Etsy raised the transaction fee from 5% to 6.5% on April 11, 2022. Thousands of sellers put their shops in vacation mode in protest that week. The rate is still 6.5% as of July 4, 2026.
What was Etsy's transaction fee before 2018?
Before July 2018, Etsy's transaction fee was 3.5% and applied to the item price only, not shipping. The July 2018 change raised it to 5% and extended it to shipping charged to the buyer.
Did Etsy fees change after the 2022 increase?
Yes, three times. Etsy added a one-time $15 to $29 setup fee for new shops in September 2024, a 1% Instant Transfer fee plus sales tax on service fees for Texas and Washington sellers in December 2025, and Regulatory Operating Fee increases in several countries on June 22, 2026. The core 6.5% transaction fee itself has not changed since April 2022.
When did Etsy Offsite Ads start?
Etsy launched Offsite Ads in February 2020. Shops under $10,000 in trailing 12-month revenue pay 15% on attributed orders and can opt out. Shops above $10,000 pay 12% and must participate for the life of the shop. The fee is capped at $100 per order.
How much more does a $25 Etsy sale cost now than in 2017?
Holding processing at 3% + $0.25 in both years, a $25 item with no shipping cost $2.08 in fees in 2017 and costs $2.83 in 2026, which is $0.75 or about 36% more. With $5 shipping charged, fees went from $2.23 to $3.30, about 48% more.
What is the Etsy shop setup fee?
Since September 2024, Etsy charges new shops a one-time setup fee of $15 to $29, with the exact amount depending on the seller's country. Shops that opened before September 2024 were not charged.
What is Etsy's Instant Transfer fee?
Since December 2025, Etsy charges 1% of the amount for an Instant Transfer payout, with a minimum of $0.25 and a maximum of $1.00. Standard scheduled deposits remain free.
Which countries had Etsy Regulatory Operating Fee increases in 2026?
On June 22, 2026, the UK rose from 0.32% to 0.48%, France from 0.47% to 1.14%, Italy from 0.32% to 0.80%, and Spain from 0.72% to 0.88%. Hungary was added at 1.97%. India and Türkiye had their rates reduced in the same update.
Sources and notes
Where the assumptions come from
Official Etsy source for current listing, transaction, Offsite Ads, Regulatory Operating Fee, and currency conversion rules.
Official Etsy source for payment processing fees, deposit rules, and Instant Transfer terms.
Etsy's announcement channel for fee changes, including the setup fee, Instant Transfer, and Regulatory Operating Fee updates.
Contemporaneous report on the April 11, 2022 transaction-fee increase from 5% to 6.5% and the seller strike.
Calculator used for the current-fee examples in this guide.