If you’re planning to sell products online, it’s important to understand the transaction fees associated with the platform you choose. Payhip offers a transparent and flexible fee structure designed for creators of all sizes.
Payhip’s Pricing Plans and Transaction Fees
Payhip provides three main plans, each with different transaction fee structures:
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Free Forever Plan
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Monthly Cost: $0
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Transaction Fee: 5% per sale
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Best for beginners or those testing the platform.
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Plus Plan
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Monthly Cost: $29
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Transaction Fee: 2% per sale
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Ideal for sellers with consistent sales who want lower fees.
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Pro Plan
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Monthly Cost: $99
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Transaction Fee: 0%
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Designed for high-volume sellers who want to maximize profits.
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Additional Payment Processing Fees
In addition to Payhip’s transaction fees, payment processors like PayPal and Stripe charge standard processing fees for every transaction:
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Around 2.9% of the transaction amount
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Plus a fixed fee per transaction (e.g., $0.30)
These fees are deducted automatically by the payment processor, not Payhip.
Benefits of Payhip’s Fee Structure
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Transparent Costs – You know exactly what you’ll pay per sale.
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Scalable – You can start for free and upgrade as your sales grow.
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Low Barrier for Beginners – The free plan allows anyone to start selling immediately.
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Predictable for Budgeting – Helps you plan pricing and revenue without surprises.
Tips for Managing Transaction Fees
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Consider Your Sales Volume – If you expect many sales, upgrading to a paid plan can save money.
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Factor Fees into Product Pricing – Adjust your prices slightly to account for Payhip and processor fees.
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Use Bundles or Discounts Strategically – Encouraging higher-value purchases can offset transaction costs.
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Monitor Your Revenue – Keep an eye on net earnings to understand how fees impact your profits.
Conclusion
Payhip’s transaction fees are simple and flexible, ranging from 5% on the free plan to 0% on the Pro plan. Combined with standard payment processing fees, they remain highly competitive, making Payhip an excellent choice for both new and experienced online sellers.
👉 Check out Tabitha Gachanja’s Payhip store to see products sold using Payhip: https://payhip.com/TabzGM.
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