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Platform Fees

Shopify UK Fee Calculator

Shopify UK has tiered plans (Basic £25, Shopify £65, Advanced £304/month) plus per-transaction fees (2% / 1% / 0.5%) if you don't use Shopify Payments. With Shopify Payments enabled, transaction fees are waived but card processing applies (1.5%-1.2% + £0.25). Calculator below shows fees per sale.

Last verified: 25 April 2026 Source: Shopify UK Pricing Next review: 25 October 2026
Inputs
Sale value —
Transaction fee —
Card processing —
Total fees —
Net per sale (excl. monthly plan) —
Effective fee % —
Basic + Shopify Payments £100
£100 sale · Basic plan · Shopify Payments

0% transaction fee + 1.5% × £100 + £0.25 fixed Shopify Payments processing = £1.75 + £0.25 = £2.10. Net £97.90 (97.9% retention). Plus £25/month Basic plan amortised across all sales.

Basic + external processor £100
£100 sale · Basic · Stripe/external processor

Basic plan transaction fee 2% × £100 = £2.00 (penalty for not using Shopify Payments). Plus external processor (assumed Stripe ~2.9% + £0.30 = £3.20) — but external processing not modelled in transaction fee, only the £2 penalty. Total £2.40 here is Shopify-side only; total real cost ~£5.60.

Advanced + Shopify Payments £100
£100 · Advanced (£304/mo) · Shopify Payments

0% transaction + 1.2% × £100 + £0.25 = £1.20 + £0.25 = £1.45 + £0.29 transaction-level… actually just 1.2%+£0.25 + 0.29 = £1.74. Best processing rate but Advanced plan costs £304/month — only worth it above ~£70k/month revenue.

Shopify is the dominant UK e-commerce platform. The fee structure has multiple layers — getting the plan choice and payment processor combination right makes a material difference to net margins. Calculator above shows per-sale fees; below covers the wider economics.

The Shopify fee stack

Three layers stack:

  1. Monthly plan: Basic £25, Shopify £65, Advanced £304 (or Plus £2,000+)
  2. Transaction fee: 2%/1%/0.5% if NOT using Shopify Payments. 0% if you DO use Shopify Payments.
  3. Card processing: 1.5%/1.4%/1.2% + £0.25 (Shopify Payments domestic UK rates) — or your external processor’s rates if you go external.

Plan-tier economics

Revenue/month Best plan Approx total fees
Under £10k Basic + Shopify Payments ~2.5% all-in
£10k-£35k Basic ~2.0% all-in (plan amortising)
£35k-£70k Shopify ~1.7% all-in
£70k+ Advanced ~1.5% all-in
£500k+ Shopify Plus <1% (custom-rate)

Shopify Payments vs external

Using Shopify Payments waives the transaction fee. Using an external processor (Stripe, PayPal, Klarna) costs you:

  • The external processor’s fees (typically 2.9% + £0.30 for Stripe)
  • PLUS Shopify’s 2%/1%/0.5% penalty transaction fee

External + Stripe combined: ~5% on Basic plan. Shopify Payments alone: ~1.75%. Almost always Shopify Payments wins.

The exception: Shopify Payments isn’t available in some regions or for some product types (firearms, adult content, regulated goods). External may be your only option there.

Card type premium

Shopify Payments rates above are for domestic UK cards. Other rates:

  • EEA cards: same as UK
  • International cards: 3.0% / 2.9% / 2.7% (Basic / Shopify / Advanced)
  • AMEX: same as standard rates

If you sell internationally, expect 3% effective rate not 1.5%.

Apps — the hidden cost

Most Shopify stores spend £30-£200/month on apps:

  • Reviews (Judge.me, Loox): £10-£40/month
  • Email marketing (Klaviyo): £20-£200/month based on list size
  • Upsell/cross-sell: £20-£40/month
  • Stock management / multi-channel: £30-£100/month
  • Subscriptions: £20-£100/month

Bake these into your CAC analysis — they’re real costs.

What this calculator doesn’t model

  • Monthly subscription fee (amortise yourself based on monthly volume)
  • International card processing premium (3%+ vs 1.5%)
  • Currency conversion fee (1.5% on non-GBP payments)
  • App subscription costs
  • Shopify Plus custom pricing
  • Chargeback fees (£15 per disputed transaction)

For e-commerce tax planning, see the side hustle tax calculator. For comparison with Etsy, see the Etsy fee calculator. For pure payment processor comparison, see the Stripe UK calculator.

Common mistakes
  • Choosing the wrong plan for your revenue. Basic (£25/mo) is right below £35k/month revenue. Shopify (£65/mo) above ~£35k. Advanced (£304/mo) above ~£70k. Wrong tier costs hundreds per month in either subscription overhead or transaction-fee penalties.
  • Using external processor on Basic plan. Adds 2% transaction fee on top of your processor’s own fees — typically 5%+ all-in. Shopify Payments waives the 2% penalty. Almost always cheaper unless you have specific processor requirements.
  • Forgetting monthly subscription cost. £25/month is £300/year. £304/month is £3,648/year. Bake into per-sale cost: £25/mo at 100 sales = £0.25 fixed cost per sale on top of percentage fees.
  • Missing currency conversion fee. Shopify charges 1.5% currency conversion if you accept non-GBP payments. Adds up fast for international stores.
  • Ignoring the credit card processing tier ladder. Domestic UK cards: 1.5%/1.4%/1.2% (Basic/Shopify/Advanced + £0.25 fixed). EEA cards: same rates. International: 3.0%/2.9%/2.7% — significantly higher.
  • Treating Shopify as cheaper than alternatives without comparing total cost. WooCommerce is free software but you pay hosting + plugins + Stripe. Squarespace Commerce £25-£60/month with built-in Stripe rate. Run total cost-of-ownership maths, not just per-transaction.
What this calculator doesn't cover
  • Doesn’t include Shopify monthly plan fee (£25/£65/£304) — amortise based on your monthly sales volume.
  • Doesn’t include international card processing premium (3.0%-2.7%).
  • Doesn’t include currency conversion fee (1.5%) for non-GBP payments.
  • Doesn’t include app subscription fees (most stores spend £30-£200/month on apps).
  • Doesn’t include Shopify Plus tier (£2,000+/month for high-volume merchants).
  • Doesn’t account for chargeback fees (£15 per dispute won, not won returned).

Frequently asked questions

Should I use Shopify Payments or my own processor?

Almost always Shopify Payments. The 2% transaction-fee penalty for external processors negates any savings from a cheaper external rate. The exception: if you have specific processor requirements (Klarna, regional alternatives, B2B-only processors) that Shopify doesn’t support natively.

Which Shopify plan should I pick?

Below £35k/month: Basic (£25). £35k-£70k/month: Shopify (£65). £70k+/month: Advanced (£304). The plan-fee + transaction-rate combination crosses over at these revenue levels. Below £10k/month, consider whether Shopify is even right vs WooCommerce or Squarespace.

Are Shopify fees deductible against UK tax?

Yes — fully deductible against trading income. Subscription, transaction, and processing fees all qualify as business expenses. See side hustle tax calculator for self-employment tax basics.

Does Shopify charge VAT on its fees?

Yes — UK VAT 20% on monthly subscription. Card processing fees are VAT-exempt under financial services rules. VAT-registered sellers reclaim the subscription VAT.

How do Shopify fees compare to Etsy?

Shopify is fixed plan + low transaction. Etsy is no plan + 6.5% transaction + 4% processing + £0.20 listing. For low volume (£500/month), Etsy is cheaper. Above ~£3,000/month, Shopify usually wins. Run Etsy fee calculator for direct comparison.

What about Shopify Plus?

For high-volume merchants (£500k+/month). £2,000+/month base plan, custom features, B2B Channel, ShopifyQL, headless commerce. Outside scope of this calculator. If you’re at this volume, you have a dedicated finance team running the maths.

About this calculator. Maintained by Jordan — a UK seller and creator who actually uses these platforms (Etsy, eBay, Vinted, DistroKid). Built to be accurate, mobile-fast, and honest about its limits. Spot a bug? Email hello@payoutmath.co.uk.