Free calculator — click and see what Etsy actually takes from one saleFree etsy calculator
Log inStart my $1 trial
← Back to home

Etsy Offsite Ads Fee: How It Works and Whether You Can Opt Out

Last verified: October 29, 2026

Etsy charges 15% on any order that comes from one of its Offsite Ads, or 12% for shops that have reached $10,000 in sales within any 365 days, capped at $100 per order. Shops under that threshold can opt out. Above it, participation is required for the lifetime of the shop.

How the fee works

  • Rate: 15% for shops that have always made less than $10,000 in any consecutive 365-day period. 12% once a shop has reached that amount.
  • When it applies: only to orders where the buyer clicked an ad Etsy paid for and bought from your shop within 30 days.
  • Cap: the fee on a single order never exceeds $100, regardless of the order total.
  • Review: Etsy reviews your sales monthly to check whether you have reached the threshold.
  • Not to be confused with Etsy Ads, the on-site ads you choose to run and pay for. Offsite Ads are run by Etsy and you pay only when they lead to a sale.

Who can opt out

If your shop has never reached $10,000 in sales within any consecutive 365 days, you can opt out in Shop Manager under Settings > Offsite Ads. Once your shop reaches that level, Etsy requires participation for the lifetime of the shop, and the fee drops to 12%.

What the fee does to your profit

The fee is a percentage of the sale, not of your profit, so it hurts thin margins the most. Three example products, each sold through an ad at 15%:

ProductSale priceProfit before the adOffsite Ads fee (15%)Profit after the ad
Print$30.00$14.90$4.50$10.40
Mug$20.00$6.00$3.00$3.00
Keychain$12.00$2.50$1.80$0.70

The rule that falls out of this: an ad order is only worth having if your profit before the ad is higher than the fee. At 15% that means more than 15% of the sale price. At 12% it is 12%. If a product earns less than that, every ad-driven sale loses money.

The average cost across all your orders

Because the fee applies only to ad-driven orders, the effect on your whole shop depends on how many there are. The formula:

average ad cost per order = share of orders from ads × fee rate × average order value

If 10% of your orders come from ads, the rate is 15% and your average order is $30, that is 0.10 × 0.15 × $30 = $0.45 per order, or 1.5% of revenue. If 40% come from ads, it is $1.80 per order, or 6% of revenue. Check your Etsy statement to see the real share.

When does the $100 cap matter?

Only on large orders. At 15%, the cap is reached at a sale of about $667. At 12% it takes about $833. For most handmade and digital products the cap never applies.

Should you opt out?

There is no universal answer. The ads can bring buyers you would not have reached, and you pay only when a sale follows. But if your margins are thin, a sale through an ad can cost more than it earns. A practical way to decide:

  1. List your top products and their profit per order before any ad fee.
  2. Subtract 15% of the sale price. Any product that ends near zero or below is a product where ad sales hurt you.
  3. Look at your Etsy statement for how many orders carried an Offsite Ads fee.
  4. If you can opt out and the share of ad orders is high on thin-margin products, opting out or raising prices is worth considering. If you are above the threshold you cannot opt out, so pricing is the lever.

Common questions

Is the fee charged on shipping and taxes?

Etsy describes the fee as a percentage of the amount you made from the sale before the advertising fee was applied, and its help page does not spell out whether shipping and taxes are included. Check a real order in your payment account to see what Etsy charged.

What if I reach $10,000 and then my sales drop?

Etsy's help page says that once a shop reaches the threshold, participation is required for the lifetime of the shop, and it does not describe exceptions.

Do I pay if an ad is clicked but the buyer purchases later?

Only if the purchase happens within 30 days of the click.

See what it does to your own numbers

Put your own price and costs into the free Etsy fee and profit calculator to see your profit before any ad fee, then subtract the Offsite Ads percentage. For profit per order from your real Etsy statement, CraftKept does the same math for every order. Start my $1 trial

Try the free calculator →

This is an estimate, not tax advice, and Etsy can change its rates.

Sources

Last verified: October 29, 2026.

Related guides

Etsy Fees Explained: What Etsy Takes From a SaleEvery Etsy seller fee in plain English: listing, transaction, payment processing, Offsite Ads and more, with a worked $30 example. Updated October 2026.