Stripe fees are very country dependent, and they can be quite confusing. Believe us, we know! Fees are mostly charged based on the country configured in your Stripe account. However, some of the fees also depend on the country of origin of the buyer's card, except for Stripe account in the US, where the charge is always the same. Remember that with Stripe, the fees are always charged to the admin's Stripe account. Take this into consideration when setting a commission.
Here are a couple of examples of transactions that could happen within a marketplace and what is the result in terms of profit for all parts involved. Bear in mind that if the bank account currency is different from the marketplace's currency, conversion fees could apply.
You can learn more about Stripe fees in this article, and you should always refer to the latest fees displayed in Stripe documentation.
Let's assume that your Stripe and bank accounts are located in Finland (or any other European country) and that the currency in your marketplace is Euros. Your commission is set at 10%. Let's also assume that there is a provider in Finland that posts a listing for 200 €. The commission of your marketplace for this transaction would be 20 €.
The buyer pays with a European credit card, which means that the processing fee would be 1.4% + 0.25 €. The processing fee for this transaction would be 3.05 € (200 € x 1.4% + 0.25 €). In the end:
- The seller would receive 180 € (200 € - 20 €)
- The admin would get 16.95 € (20 € - 3.05 €)
- Stripe would keep 3.05 €
The buyer pays with a non-European credit card, which means that the processing fee would be 2.9% + 0.25€. The processing fee total would be 6.05€ (200 € x 2.9% + 0.25 €). In the end:
- The seller would receive 180 €
- The admin would keep 13.95 €
- Stripe would keep 6.05 €
Your Stripe account is configured in the US, and your marketplace uses USD. Your commission is 5%. Let's assume there is a transaction for $30 USD. The commission of your marketplace would be $1.50.
The processing fee for this transaction would be 2.9% + 30¢ = $1.17. In the end:
- The seller would receive $28.50
- The admin would keep 33¢
- Stripe would keep $1.17
As in the previous example, your Stripe account is configured in the US, and your marketplaces uses USD; however, you configured a buyer commission and seller commission. Your buyer commission is 10%, and your seller commission is 10%. The transaction is for $50.
A processing fee (2.9% + 30c) is charged over the total transaction volume ($55). The total processing fee is $55 x 2.9% + $0.30 = $1.90. In the end:
- The buyer would pay $55
- The seller would receive $45
- The admin would keep $8.10
- Stripe would keep $1.90
What about the other fees?
There are other fees that you need to take into consideration when managing your account: managed account fees and payout fees. However, these are not strictly part of the transaction, and therefore we haven't included them in this article. If you want to find out more about this, check out our article about Stripe fees.