Fiverr is a global online marketplace offering tasks and services, beginning at a cost of $5 per job performed. The site is primarily is used by freelancers who use the platform to offer a variety of different services, and by people who purchase these services as a buyer. However, there is one question that new sellers or buyers on Fiverr often ask: Does Fiverr take a cut or commission?
Let’s find the answer to that. To make it simple, I straight away answer the question.
Yes, Fiverr take a cut from both the seller and buyer but the charges depends on various circumstance. Let’s break it down.
Fiverr’s commission structure varies for sellers and buyers and let’s have a look at both.
Fiverr’s cut for the seller
Fiverr charges 20% of the total for each gig that the seller completes.
If you sell a gig that costs $5, you will be paid after deducting 20%, which is $4. Note that the percentage of the amount will be deducted from the total, which includes all the extras as well.
Fiverr’s commission calculator for the seller
While transferring the money to your bank, you will further be charged depending on the payment methods and currency conversion. Paypal, Payoneer, and Fiverr Revenue cards are the major sources for withdrawing and each has its own commission structure for transferring your money to your bank but for the Fiverr Revenue card, you will also be charged at the Fiverr end.
It’s really simple and the fee depends on the speed of the transaction. By default, the payment will be processed within 14 days, and to withdraw funds in 2 hours, you will be required to pay $1, and for 2 hours, it’s $3.
Moreover, to withdraw funds from Fiverr Revenue Card to Payoneer, you will be charged an additional $3. It’s kinda confusing but the structure is really simple.
If you withdraw directly to Payoneer, you won’t be charged a fee at the Fiverr end. However, if you use Revenue Card to withdraw, you will be charged an additional fee.
Here is the official article by Fiverr for withdrawal methods and fees, make sure to check it out if you have any more doubts.
Fiverr’s cut for buyer
Fiverr take a commission of 5.5% on all the orders. Moreover, for orders below $50, an extra $2 will be charged.
If you buy a gig that costs $10, you will be required to pay $12.55 in total. That is 5.5% plus $2, which makes it a total of $12.55.
However, if you buy a gig that costs $55, you will be required to pay $58.02 in total because Fiverr only charges 5.5% for every gig that is above $50.
For orders below $50:
For orders above $50:
Conclusion: Does Fiverr take a cut?
Fiverr takes 20% on all the orders for sellers and 5.5% on all the orders for buyers plus an extra $2 for orders below $50. This is how Fiverr works and generates revenue to maintain the platform.
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