Quick answer
- Card processing fee: charged on every card sale (for example 2.9% + 30¢ on Basic in the US). Every payment provider charges this.
- Shopify transaction fee: an extra 0.6%–2% only if you use a non-Shopify gateway.
- How to avoid it: use Shopify Payments, and you pay no Shopify transaction fee at all.
The two kinds of Shopify fees
1. Payment processing (credit card) fees. Whenever a customer pays by card, someone has to process the payment. With Shopify Payments, Shopify does it and charges a per-transaction rate that goes down on higher plans. You'd pay similar fees with Stripe, PayPal or Square.
2. Shopify's transaction fee. If you use an outside gateway, Shopify charges an extra percentage on top of whatever that gateway charges. This fee is the one people mean when they complain about "Shopify fees".
Shopify fees by plan
| Plan | Online card rate (Shopify Payments) | Extra fee with 3rd-party gateway |
|---|---|---|
| Basic | 2.9% + 30¢ | 2% |
| Grow | 2.7% + 30¢ | 1% |
| Advanced | 2.5% + 30¢ | 0.6% |
| Plus | Custom | 0.2% |
In-person rates with Shopify POS are lower than online rates. Rates differ by country.
Worked example: what you'll really pay
Say you sell a $50 product on the Basic plan:
| Scenario | Processing | Shopify transaction fee | Total fees |
|---|---|---|---|
| Shopify Payments | $1.75 (2.9% + 30¢) | $0 | $1.75 |
| Third-party gateway at 2.9% + 30¢ | $1.75 | $1.00 (2%) | $2.75 |
On $10,000 a month in sales, that 2% difference is about $200 a month, which is more than a Grow plan upgrade. That's why we recommend Shopify Payments for almost everyone who can use it.
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Other fees to know about
- Currency conversion: if you sell in multiple currencies, a conversion fee applies on converted payouts.
- Chargebacks: a flat fee applies when a customer disputes a charge (refunded if you win in some regions).
- Apps: some apps charge a percentage of revenue or a per-order fee.
- Shopify Starter has its own, higher per-sale fees. See Starter plan review.
How to lower your Shopify fees
Use Shopify Payments
This removes the extra transaction fee entirely.
Upgrade only when the math works
Lower card rates on Grow and Advanced only pay off at higher volumes. See the break-even rule in Shopify pricing.
Encourage Shop Pay
It doesn't lower the fee, but it raises conversion, so you get more revenue for each dollar of fees.
Raise average order value
The flat 30¢ hurts small orders most. Bundles and free-shipping thresholds help.
How Shopify fees compare
Card processing costs are similar everywhere. BigCommerce doesn't charge transaction fees on any gateway, which is a real advantage if you need a specific processor. Etsy charges a 6.5% transaction fee on every sale. Shopify with Shopify Payments is usually much cheaper per sale than marketplaces.
Our verdict
Shopify's "transaction fee" sounds scary but is easy to avoid: use Shopify Payments and it disappears. You'll still pay standard card processing, as you would anywhere else.
Try Shopify free (opens in a new tab)Frequently asked questions
Does Shopify charge transaction fees?
Only if you use a third-party payment gateway instead of Shopify Payments. With Shopify Payments, you pay card processing fees but no separate Shopify transaction fee.
Does Shopify charge a fee on PayPal orders?
If Shopify Payments is your main gateway and you also offer PayPal, Shopify generally doesn't add its third-party fee to PayPal orders. You still pay PayPal's own fees. Check Shopify's current help docs for your country.
Why can't I use Shopify Payments?
Shopify Payments isn't available in every country or for every type of business. Some product categories are restricted. See our Shopify Payments review.