Shopify Transaction Fees Explained (2026): How to Avoid Them
By Saurabh Pandey · Updated · 3 min read
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Shopify transaction fees confuse a lot of store owners, because there are really two different fees that people call "transaction fees":
- Card processing fees – what you pay to accept card payments through Shopify Payments.
- Shopify's third-party transaction fee – an extra 2%, 1% or 0.6% that Shopify charges when you use an external payment provider instead of Shopify Payments.
This guide explains both, the rates in five countries, and how to avoid paying the second one.
Card processing fees with Shopify Payments
If you use Shopify Payments, you pay a card rate per online order and no additional Shopify transaction fee. The rate depends on your plan and country:
| Country | Basic | Grow | Advanced |
|---|---|---|---|
| United States | 2.9% + 30¢ | 2.7% + 30¢ | 2.5% + 30¢ |
| United Kingdom | 2% + 25p | 1.7% + 25p | 1.5% + 25p |
| Canada | 2.8% + 30¢ | 2.6% + 30¢ | 2.4% + 30¢ |
| Australia | 1.7% + 30¢ | 1.55% + 30¢ | 1.35% + 30¢ |
International and American Express cards cost more in most countries. The current rates for each country, with the date we last checked them:
| Country | Plan | Per month | Shopify Payments card rate | Third-party fee |
|---|---|---|---|---|
| United States | Basic | $39.00 ($29.00 yearly) | 2.9% + $0.30 | 2% |
| Grow | $105.00 ($79.00 yearly) | 2.7% + $0.30 | 1% | |
| Advanced | $399.00 ($299.00 yearly) | 2.5% + $0.30 | 0.6% | |
| United Kingdom | Basic | £25.00 (£19.00 yearly) | 2% + £0.25 (3.1% intl/Amex) | 2% |
| Grow | £65.00 (£49.00 yearly) | 1.7% + £0.25 (2.7% intl/Amex) | 1% | |
| Advanced | £344.00 (£259.00 yearly) | 1.5% + £0.25 (2.5% intl/Amex) | 0.6% | |
| Canada | Basic | C$49.00 (C$37.00 yearly) | 2.8% + C$0.30 (3.5% intl/Amex) | 2% |
| Grow | C$132.00 (C$99.00 yearly) | 2.6% + C$0.30 (3.4% intl/Amex) | 1% | |
| Advanced | C$517.00 (C$389.00 yearly) | 2.4% + C$0.30 (3.3% intl/Amex) | 0.6% | |
| Australia | Basic | A$56.00 (A$42.00 yearly) | 1.7% + A$0.30 (3.5% intl/Amex) | 2% |
| Grow | A$149.00 (A$114.00 yearly) | 1.55% + A$0.30 (3.4% intl/Amex) | 1% | |
| Advanced | A$575.00 (A$431.00 yearly) | 1.35% + A$0.30 (3.3% intl/Amex) | 0.6% | |
| India | Basic | ₹1,994.00 (₹1,499.00 yearly) | Not available | 2% |
| Grow | ₹7,447.00 (₹5,599.00 yearly) | Not available | 1% | |
| Advanced | ₹30,164.00 (₹22,680.00 yearly) | Not available | 0.6% |
Last verified: . Official sources: Shopify pricing (US) · Shopify blog: credit card processing fees · Shopify pricing (UK) · Shopify pricing (CA) · Shopify pricing (AU) · Shopify pricing (IN)
The third-party transaction fee
If you use an external payment provider such as PayPal-only checkout, Stripe, Razorpay or another gateway instead of Shopify Payments, Shopify charges its own fee on every order on top of what your provider charges:
| Plan | Third-party transaction fee |
|---|---|
| Basic | 2% |
| Grow | 1% |
| Advanced | 0.6% |
According to Shopify, this fee does not apply to orders paid with manual payment methods, such as cash on delivery or bank deposit.
Worked example: Shopify Payments vs a third-party gateway (US)
A US store on Basic sells 100 orders a month at $50.
- With Shopify Payments: 2.9% + 30¢ = $1.75 per order, plus $0.39 of the $39 plan per order = $2.14 per order (4.3%).
- With a third-party gateway at 2.9% + 30¢: $1.75 to the gateway + 2% Shopify fee ($1.00) + $0.39 plan = $3.14 per order (6.3%).
That extra $1 per order is $100 a month, or $1,200 a year, for the same sales. See your own numbers:
Shopify Fee Calculator
Open full calculatorFee breakdown
Enter your average order value to see Shopify's fees.
Shopify transaction fees in India
Shopify Payments is not available in India, so Indian stores use a third-party gateway such as Razorpay, PayU or Cashfree, and pay Shopify's third-party transaction fee on every online payment.
A store on Basic with 100 orders a month at ₹1,500, using a gateway that charges 2%:
- Gateway fee: 2% × ₹1,500 = ₹30
- Shopify fee: 2% × ₹1,500 = ₹30
- Plan cost per order: ₹1,994 ÷ 100 = ₹19.94
- Total: ₹79.94 per order (5.3%)
On Grow (1% Shopify fee) with 400 orders a month, the cost per order falls to about ₹63.62 (4.2%). For Indian stores with steady volume, moving up a plan can pay for itself through the lower transaction fee. Cash on delivery orders, as a manual payment method, are not charged Shopify's transaction fee, but they bring their own costs in failed deliveries and returns.
How to avoid Shopify's transaction fee
- Use Shopify Payments if it is available in your country. You can still offer PayPal, Apple Pay and Google Pay alongside it.
- Upgrade your plan when volume justifies it. The fee drops from 2% to 1% on Grow and 0.6% on Advanced.
- Do the maths on upgrades. In the US, Grow costs $66 a month more than Basic and saves 0.2% on card rates plus 1% on any third-party payments.
Other Shopify costs to include
- Your plan: $39, $105 or $399 a month in the US (less when billed yearly).
- Apps and themes: many apps charge monthly fees.
- Currency conversion on payments in other currencies.
- Chargebacks when buyers dispute payments.
Our Shopify plans compared guide covers the plans in detail.
The bottom line
Use Shopify Payments where you can to avoid paying two fees on every order. Where you can't, compare plans by total cost per order, not monthly price alone. The Shopify fee calculator works it out for the US, UK, Canada, Australia and India.
Rates in this guide were checked against Shopify's pricing pages for each country in October 2026.
Frequently asked questions
Does Shopify charge transaction fees?
Not if you use Shopify Payments: you only pay the card processing rate. If you use a third-party payment provider, Shopify charges an extra 2% on Basic, 1% on Grow or 0.6% on Advanced.
How do I avoid Shopify transaction fees?
Activate Shopify Payments where it is available. Where it isn't, such as in India, choose a higher plan when your volume makes the lower transaction fee worthwhile.
Is Shopify Payments available in India?
No. Indian stores use third-party gateways and pay Shopify's third-party transaction fee on online payments.
Does Shopify charge transaction fees on cash on delivery?
According to Shopify's help centre, the third-party transaction fee is not charged on orders paid with manual payment methods such as cash on delivery.