Deposit Currency Conversion Fee
• By default, the base currency of an Etsy shop is the seller's native currency. However, sellers have the option to change both the base currency and the listings in their shop.
• You will be responsible for an additional 2.5% conversion fee on each transaction if you choose to change the base currency of your shop from your home currency.
• It's important to remember, however, that you usually don't need to change your store's base currency. Prices on Etsy are automatically converted from your base currency to the buyer's currency. The only time this would be necessary is if you wanted to have rounded, clear numbers in a specific currency for a specific range. However, this is rarely recommended because of the additional cost.
• As far as our calculator goes, the deposit currency conversion fee, if present, is included as part of the payment fee row.
Regulatory Operating Fee
• Beginning July 1, 2021, Etsy will implement an additional regulatory operating fee for sellers located in certain regions. This fee, calculated as a percentage, will vary depending on the seller's location. Etsy implemented this fee to offset the additional costs of complying with new regulations imposed by these regions, such as digital services taxes.
• It's important to note that this fee applies to the item price, shipping costs, and any additional revenue from gift wrapping and personalization, if applicable.
• In our calculator, any regulatory operating fee, if applicable, is included in the Payment Fee row.
| Location of Seller | Regulatory Operating Fee |
|---|
| United Kingdom | 0.25% |
| France | 0.40% |
| Italy | 0.25% |
| Spain | 0.40% |
| Turkey | 1.1% |
Source: etsy.com
Deposit Fee
• Certain regions have specific regulations regarding deposits, which are the funds received from Etsy and deposited into your bank account. These regions have a deposit minimum, a fee threshold, and a potential deposit fee.
• The deposit minimum is the minimum amount of funds required within Etsy to be transferred to your bank account.
• The fee threshold determines whether a deposit fee is charged. Deposits below the threshold will incur a fee, while those above the threshold will not.
• Since this fee only applies to a small minority of regions and not to individual orders, our calculator doesn't include a field for it. If necessary, you can include it in one of the cost fields.
| Country | Deposit Minimum | Fee threshold | Deposit fee |
|---|
| Indonesia | 28,000.00 IDR | 1,400,000.00 IDR | 28,000.00 IDR |
| Israel | 7.00 ILS | 350.00 ILS | 7.00 ILS |
| Malaysia | 9.00 MYR | 400.00 MYR | 8.00 MYR |
| Mexico | 40.00 MXN | 2,000.00 MXN | 40.00 MXN |
| Morocco | 20.00 MAD | 1,000.00 MAD | 20.00 MAD |
| Philippines | 100.00 PHP | 5,000.00 PHP | 100.00 PHP |
| South Africa | 35.00 ZAR | 1,500.00 ZAR | 30.00 ZAR |
| Turkey | 50.00 TRY | 600.00 TRY | 42.00 TRY |
| Vietnam | 45,000.00 VND | 2,300,000.00 VND | 45,000.00 VND |
Source: etsy.com
Offsite Add Fee
• Advertising plays an important role on all platforms, and Etsy promotes itself through a program known as Offsite Ads. This initiative involves selecting individual listings, which may include yours, and displaying them on various platforms such as search engine results, social media sites, Etsy Publishing Partner sites, and Google Display Network sites. Sellers will be charged an Offsite Ad Fee for sales made through these ads.
• For sellers who have earned at least $10,000 USD on Etsy in the last 365 days, participation in the Offsite Ad Program is mandatory and automatic. They must remain enrolled for the lifetime of their store, with an offsite ad fee rate of 12%. Sellers who meet these criteria must select the Offsite option in our calculator and provide their sales status for accurate calculations.
• On the other hand, sellers who have earned less than $10,000 USD on Etsy in the past year have the option to participate in the Offsite Ad program. For those who choose to participate, the Offsite Ad fee rate is slightly higher at 15%.
• It's worth noting that regardless of seller status, there is a $100 USD cap on the offsite ad fee.
• While all amounts are quoted in US dollars, Etsy automatically applies the latest currency conversion rates for fee processing and calculation purposes.
Notes about Sales Tax
In places like the United States, Etsy automatically collects sales tax from buyers and remits it on behalf of sellers when applicable in most states. This means that buyers are responsible for paying this tax, so it doesn't directly affect your profit. However, it may indirectly affect your profit because the total sale amount used to calculate the payment fee includes the sales tax.
Because sales taxes vary so much, we do not provide this information automatically, but we do provide a field where you can enter it if you wish. To look up the sales tax rate in the United States, please visit our Free Sales Tax Calculator Page to access our complete sales tax rate database.
Notes about VAT
In certain regions, sales tax is implemented as Value Added Tax (VAT), which can be further categorized into specific terms such as Goods and Services Tax (GST), among others. Countries such as Canada, the United Kingdom , the European Union, Australia, and New Zealand, among others, use VAT.
VAT is applied not only to the sales revenue paid by the buyer, but also to other components, including fees paid by the seller. Fortunately, many countries allow sellers to reclaim VAT on fees and costs associated with the transaction.
Since VAT doesn't exist everywhere and varies greatly from place to place, our calculator includes an optional field for it, which you can use if it applies to your situation. On the other hand, if it doesn't apply to you or if you are able to reclaim VAT, you can leave this field unchecked. To represent the reclaim of VAT on your costs in our calculator, simply subtract the VAT from your costs and enter the smaller cost figures in the cost fields.
If your company based in the United Kingdom, you can simply use our Free VAT Rate Calculator to work out how much you should charge.
