To sell on Etsy, open a shop at etsy.com/sell from a desktop browser, pick your shop language, country and currency, connect a bank account for Etsy Payments, add a card for your Etsy bill, pay the one-time set-up fee and publish your first listings at $0.20 each. You can sell items you made or designed, vintage at least 20 years old, and craft supplies. On each sale Etsy keeps 6.5% plus a payment processing fee — 3% + $0.25 in the US, 4% + £0.20 in the UK.
Most new sellers price against the 6.5% alone. Both percentages also apply to shipping, UK sellers pay an extra regulatory fee, and a sale that came through Etsy's Offsite Ads costs another 15%. Below: what you can sell, the six steps to open a shop, and one $60 order worked through to the end — you keep $24.85, or $15.85 if the buyer clicked an Offsite Ad.
When people ask how to sell on Etsy
Usually you already make something — jewelry, ceramics, candles, prints, digital planners — and sell it to friends, at markets or on Instagram. Etsy looks like the obvious next step, and the questions come in order: how do I start an Etsy seller account, how much does Etsy take from a sale, what can't I sell, and can I really make money there.
"What sells best on Etsy" is the least useful of these. A shop works when you can make the product consistently at a price that still leaves a profit after fees and shipping. So the rules and the math come first.
What you can sell on Etsy
Everything on Etsy must be made, designed, handpicked or sourced by you. Reselling mass-produced items is not allowed.
- Made by you — handmade items, or items you produce with tools like a 3D printer, CNC or Cricut. Listing photos must be your own.
- Designed by you — digital downloads (templates, printables, planners) and physical items made from your design by a production partner. You must disclose the partner in the listing and any use of AI in the description.
- Handpicked by you — vintage items at least 20 years old and curated collections.
- Sourced by you — craft supplies, party decorations and items personalized with the buyer's own text or image.
Alcohol, tobacco, drugs, weapons, hazardous and illegal items are prohibited — the full list is in Etsy's Prohibited Items Policy. If you buy finished goods from a supplier and sell them as they are, Etsy is the wrong marketplace: general marketplaces such as Amazon or eBay are built for that.
How to open an Etsy shop in 6 steps
You set up the shop in a desktop browser and can run it from the Etsy Seller app afterwards. Have your bank details, a debit or credit card and a photo ID at hand.
- Account and shop preferences. Go to etsy.com/sell, choose Get started, then set the shop language, country and currency. The language can't be changed later. Price in the currency of your bank account (USD in the US, GBP in the UK): if they differ, Etsy charges 2.5% to convert every payout.
- Shop name. 4–20 characters, no spaces or special characters, not taken by another member and not someone else's trademark.
- Bank account. Choose where your bank is located and whether you sell as an individual or sole proprietor or as an incorporated business. US sellers verify the account through Plaid; others enter bank details and verify them.
- Billing card. Add a debit or credit card. Etsy charges it if your sales balance doesn't cover your fees.
- Set-up fee. One-time and non-refundable; the amount depends on your location and is shown at this step.
- Verify your identity and list. Complete identity verification if Etsy asks, then publish. Each listing costs $0.20 and stays live for 4 months.
Etsy doesn't require a business license, but you still follow the tax rules where you live. In the UK, for example, trading income above the £1,000 trading allowance means registering for Self Assessment.
Etsy seller fees in the US and UK
Three fees apply to almost every sale: $0.20 per listing, a 6.5% transaction fee and a payment processing fee. The rest depend on where you are and how the buyer found you.
| Fee | US seller | UK seller | Charged on |
|---|---|---|---|
| Listing | $0.20 | $0.20 | Each listing for 4 months, each renewal and each extra unit sold in one order |
| Transaction | 6.5% | 6.5% | Order total including shipping and gift wrap |
| Payment processing | 3% + $0.25 | 4% + £0.20 | Sale total including shipping and any sales tax you charge |
| Regulatory operating fee | — | 0.48% | Item price, shipping and gift wrap |
| Offsite Ads | 15% | 15% | Only orders from Etsy's ads off Etsy; 12% once you made $10,000 in the past 365 days, capped at $100 per order |
| Currency conversion | 2.5% | 2.5% | Only when listing currency differs from your payment account currency |
| VAT on fees | — | 20% | UK sellers who haven't added a VAT ID |
Etsy Ads (promoted listings in Etsy search) run on a budget you set yourself, and the shop set-up fee is charged once. To run your own numbers through these rates, use the Etsy fee calculator.
How much you keep from an Etsy sale: a worked example
What you keep = order total − 6.5% − payment processing − $0.20 listing − your shipping cost − your product cost. For a US seller that is order total × 0.905 − $0.45 before shipping and product cost.
Illustrative example for the arithmetic; the figures are not market prices. A ceramic mug at $45 plus $15 shipping — a $60 order. Materials and packaging cost you $14, postage $15. US seller.
| Line | Calculation | Amount, $ |
|---|---|---|
| Order total | 45 + 15 shipping | 60.00 |
| Transaction fee | 60 × 6.5% | −3.90 |
| Payment processing | 60 × 3% + 0.25 | −2.05 |
| Listing fee | one unit | −0.20 |
| Postage | your cost | −15.00 |
| Product cost | materials and packaging | −14.00 |
| You keep | 24.85 |
Etsy's fees came to $6.15, or 10.25% of the order — not 6.5%. If the same buyer arrived through an Offsite Ad, add 15% of $60, which is $9.00, and the mug leaves you $15.85: more than a third less for the same item.
To price from the profit you want, turn the formula around: price including shipping = (product cost + postage + profit + 0.45) ÷ 0.905 for a US seller. Check: (14 + 15 + 24.85 + 0.45) ÷ 0.905 = 60. If part of your sales come through Offsite Ads, check that the price still works with 15% less.
A UK seller with the same £60 order pays £3.90 transaction fee, £2.60 payment processing and £0.29 regulatory operating fee, plus 20% VAT on those fees without a VAT ID — about £8.15, plus the $0.20 listing fee converted to pounds. For margins across a whole catalog, see how to calculate markup.
How you get paid on Etsy
Buyers pay through Etsy Payments; your sales minus fees build up in your Etsy payment account and are deposited to the bank account you connected. In some countries — for example India, Brazil, Ukraine or the UAE — Etsy pays out through Payoneer instead, in US dollars only.
- List in your bank's currency. If your listing currency and payment account currency differ, Etsy charges 2.5% on the conversion. Buyers still see prices in their own currency — Etsy converts them for display.
- Fees come off your sales. If they are higher than your balance at the end of the month, you get an amount due and Etsy charges your card (US sellers can switch on auto-billing).
- Tax reporting. Etsy reports seller details to tax authorities in the UK and EU once you reach 30 sales of physical goods or about £1,700 / €2,000 in a calendar year.
Where new Etsy sellers lose money
- Charging fees only on the item price. 6.5% and processing apply to the whole order including shipping. In the example, a seller who expected to keep $27.88 keeps $24.85.
- Listing in the wrong currency. Prices in euros with a US or UK bank account cost an extra 2.5% on every sale.
- Ignoring Offsite Ads. An order from an Offsite Ad costs 15% more; a price with no room for it can end up at break-even.
- Forgetting repeat $0.20 fees. Every renewal and every extra unit in an order is another $0.20. On cheap items sold five or ten at a time, it adds up.
- Selling the same stock on your own site and social media with separate counts. The last unit sells twice, and one buyer gets a cancellation.
When Etsy is not your only sales channel
While you get a few orders a week and sell only on Etsy, the Etsy dashboard is enough. Once the same products also sell on your website, social media or other marketplaces, stock has to live in one place. In Elbuz, active Etsy listings become product cards, Etsy orders arrive with the buyer and address in one queue with orders from your other channels, and prices and stock are sent back to the listings on a schedule. New products from your catalog are published to Etsy with a photo, price and SKU, plus listing properties such as colour, size with its scale and material, which you map to your attributes once in the category mapping window. Without the required properties no listing is created, and if Etsy does not accept a property, the listing stays a draft.
One limit: Elbuz creates a listing as an item made by you to order, so publish vintage and craft supplies from your Etsy dashboard. How the connection works is on the Etsy integration page.
Etsy integration in ElbuzListings, orders and shared stock with your other channels — 14 days free
Frequently asked questions
How much does Etsy take from a $200 sale?
For a US seller, $19.45: $13.00 transaction fee (6.5%), $6.25 payment processing (3% + $0.25) and the $0.20 listing fee, if the $200 includes shipping and no sales tax. An Offsite Ads sale adds $30 more.
How do I start an Etsy seller account?
Go to etsy.com/sell on a computer, choose Get started, set your shop language, country, currency and name, connect your bank account, add a billing card and pay the one-time set-up fee. Then verify your identity if asked and publish your first listings.
Can you make $1,000 a month on Etsy?
Only if your volume supports it: at $24.85 kept per order, as in the example above, you need 41 orders a month. Work out your own profit per order first, then divide $1,000 by it.
What is the downside of selling on Etsy?
Fees apply to shipping too, Offsite Ads orders cost 15% more, and you can only sell handmade, your own designs, vintage and craft supplies. Etsy also controls the rules and search, so your shop depends on its policies.
What items cannot be sold on Etsy?
Mass-produced items for resale, plus alcohol, tobacco, drugs, weapons, hazardous, illegal and other items in Etsy's Prohibited Items Policy.
How do I get paid selling on Etsy?
Through Etsy Payments: your sales minus fees are deposited to the bank account connected to your shop. In some countries Etsy pays through Payoneer in US dollars.
Sources
- Etsy Help, "What are the Fees and Taxes for Selling on Etsy?" — listing, transaction, Offsite Ads, currency conversion, set-up fee — help.etsy.com.
- Etsy Help, "What are Payment Processing Fees for Selling on Etsy?" — US 3% + 0.25 USD, UK 4% + 0.20 GBP — help.etsy.com.
- Etsy Help, "What is a Regulatory Operating Fee?" — UK 0.48% — help.etsy.com.
- Etsy Help, "How VAT Is Collected on Seller Fees" — help.etsy.com.
- Etsy Help, "How to Open an Etsy Shop" — steps, shop name rules, Plaid, set-up fee — help.etsy.com.
- Etsy Help, "What Can I Sell on Etsy?" — help.etsy.com.
- Etsy Help, "What Information Does Etsy Report for Sellers in the EU, UK, and Canada?" — help.etsy.com.
- GOV.UK, "Tax-free allowances on property and trading income" — £1,000 trading allowance — gov.uk.
Checked 1 November 2026.
