Paddle Fee Calculator
See what remains after Paddle handles billing, tax, and compliance as merchant of record.
Introduction
Paddle acts as merchant of record for software and digital product companies, handling VAT, sales tax, invoicing, and chargebacks under its own entity. That convenience comes with higher all-in fees than raw payment processing alone.
Indie developers and SaaS teams often accept Paddle's ~5% plus per-transaction charge in exchange for not registering for tax in dozens of countries.
This Paddle fee calculator estimates net revenue on a sale after standard MoR fees. Adjust the percentage if you negotiated custom pricing on higher volume.
How it works
- 1
Enter the customer-facing sale price.
- 2
Default to approximately 5% + $0.50 — common for Paddle Billing on standard plans.
- 3
Select currency based on your primary pricing region.
- 4
Compare net revenue against self-serve Stripe + tax tooling for the same price point.
Formula
Paddle bundles payment processing, tax compliance, and invoicing into one fee line.
Forward calculation
Paddle Fee = (Sale Price × Rate) + Fixed FeeReverse calculation
List Price = (Target Net + Fixed Fee) ÷ (1 − Rate ÷ 100)Worked examples
$29/month subscription
A bootstrapped SaaS sells a $29 monthly plan through Paddle.
- Amount: $29.00
- Rate: 5% + $0.50
- Total fee: $1.95
Net revenue: $27.05 per billing cycle before refunds.
$199 annual license
A desktop app sells a $199 annual license via Paddle Checkout.
- Amount: $199
- Rate: 5% + $0.50
- Total fee: $10.45
Net received: $188.55 with tax handled by Paddle.
Benefits of using this Paddle fee tool
- Price SaaS plans with MoR fees included from day one.
- Weigh Paddle's tax handling value against the higher fee percentage.
- Forecast MRR net of Paddle deductions for investor reporting.
- Compare Paddle all-in cost against Stripe Atlas + Quaderno-style stacks.
Common mistakes
Comparing Paddle to Stripe processing alone
Paddle includes tax compliance. A fair comparison adds tax software and accounting costs to self-serve processing.
Ignoring payout currency conversion
Paddle settles in specific currencies. Converting to your operating currency may add FX cost beyond the headline fee.
Forgetting refund and chargeback handling
Paddle manages disputes as MoR, but refunds still reduce net revenue. Model churn and refund rates separately.
Frequently asked questions
What percentage does Paddle charge?
Standard Paddle Billing plans often charge around 5% plus $0.50 per transaction. Enterprise volume may negotiate lower rates.
Does Paddle fee include VAT handling?
Yes. Paddle's merchant-of-record model includes global tax calculation and remittance in the all-in fee structure.
Paddle vs Stripe for SaaS?
Choose Paddle when you want MoR tax coverage; choose Stripe when you want maximum control and lower processing rates. Compare net on your price point.
Conclusion
Paddle trades higher fees for operational simplicity on tax and compliance. Run your actual plan price through this calculator, then decide if MoR convenience justifies the margin difference versus self-serve billing.
