Stripe Fee Calculator (2024)

FAQs

How much fee does Stripe charge? ›

Stripe is free to set up and the company does not charge a monthly or annual fee for its services. Instead, all Stripe fees are per transaction with transparent pricing. Online sales cost businesses 2.9% plus 30 cents per transaction.

Stripe Billing provides flexible recurring billing logic. Fees start at 0.5% of recurring transactions, which include any recurring invoices. Our Billing Scale plan includes Invoicing Plus, Revenue Recognition, and advanced Billing features.

It's a close call between the two, but overall, Stripe is cheaper than PayPal for most merchants. While the fees might not seem like a big difference, the cost difference will quickly add up—especially if you have a small business with a high inventory turnover.

In order to get lower fees, you can upgrade to a higher plan. The higher the amount you get paid with debit or credit cards, the more significant the lower fees will be for you. Check out the plans here, including premium features each plan has to offer.

If you're looking for a report on the Stripe fees you've paid, you can download the balance history report and filter for the time period you're looking for. Open the CSV in the spreadsheet program of your choice. One column in the sheet will contain the fees associated with each transaction.

If you have chosen to use Stripe as a payment service, you can automatically add a processing fee to the payment total when your customer pays by credit card. You can do this by going to Settings > Payment Services and selecting the Charge my customer a processing fee option.

Stripe: Pros and Cons

Stripe's fees are generally much lower than with PayPal, and some other payment providers as well. The fee structure is really simple. There's a flat fee of 20p for all card types, plus 1.4% of the transaction value (far less complex than other providers).

High Processing Fees: With a 2.9% + $0.30 per transaction fee, as well as potential monthly fees and several hidden fees, costs can accumulate rapidly for businesses with a high volume of transactions. Limited Merchant Acceptance: Stripe supports only specific Merchant Category Codes (MCCs).

Adyen. Adyen is potentially a cheaper alternative to Stripe because there are no fixed pricing plans – instead, you pay per transaction. Like others on this list, it's a payment gateway enabling card payments both in-store and online. Adyen also facilitates mobile payments with a full range of anti-fraud features.

Is Stripe good for small business? ›

Both Square and Stripe offer high levels of security, ensuring that small business owners process transactions confidently. The choice may come down to the specific security features or the kind of transactions your business processes most.

How are Stripe fees calculated? Stripe fees are calculated using the formula: Fee = Fixed Fee + (Transaction Amount * Percentage Fee).

When a platform or marketplace creates direct charges on a connected account, the connected account is responsible for the cost of Stripe fees, refunds, and chargebacks. Stripe covers loss liability for these connected accounts.

Stripe's payment gateway fees

Transaction fees: Stripe charges 2.9% + 30¢ for each successful card charge. Additional fees apply for specific scenarios: 0.5% for manually entered cards, 1.5% for international cards, and 1% if currency conversion is necessary.

The main difference between Square and Stripe is that Square is best suited for in-person transactions while Stripe is a developer-friendly platform best suited for e-commerce, subscriptions and other online payments.

The minimum amount is $0.50 US or equivalent in charge currency. The amount value supports up to eight digits (e.g., a value of 99999999 for a USD charge of $999,999.99).

In other words, yes, Stripe does report to the IRS. If you use the platform to collect payment for your goods or services, the agency will typically know how much you earned during each tax year. If you report a lower amount on your tax return, it will mail you a letter and investigate the discrepancy.