If you’re new to buying or selling clothing and accessories on Poshmark you may be wondering how much does Poshmark take? This is a valid concern from both the buyer and seller side. In addition to knowing about fees, it’s important to see how these fees compare to other platforms for a full picture.
I’ll share in detail how these fees work and what you need to worry about if you are buying or selling on the app. Also if you are selling, there are some ways to avoid these fees or make them have less of an impact on you. I’ll provide those insider tips as well. I’ve been selling on Poshmark since 2017, have more than 75,000 followers and a 5-star seller rating.
How Much Does Poshmark Take?
Understanding Poshmark Fees and Fee Structure
If you’re new to Poshmark, it’s a social selling marketplace accessible via app or on the web. It’s a virtual thrift shop of sorts where individuals sell items from their personal closets to other shoppers. These items may be gently used or brand new items with the tags still on.
Many people are familiar with eBay as it’s been around for decades. An easy way to look at Poshmark is the same way but think of it as more of a clothing closet as most sales are clothing and accessories. Users on the platform are called “poshers” and list items for sale in their “closet” on the platform.
Free $10 Poshmark Coupon
- Enter invite code HFHAMMERS when you create your Poshmark account to receive a $10 credit toward your first purchase.
Related blog posts:
• What to Spend Money On: Ideas and Tips
• Poshmark Coupon to Save Money on Poshmark
• Tips for Selling on Poshmark to Make Money
• Gift Ideas for Poshmark Sales
Who Pays Poshmark Shipping Fees?
Buyers on Poshmark are responsible for paying in a few areas. First they pay the agreed upon price for the item they are buying. Second they pay shipping for the item (unless the seller offered free or discounted shipping, please note this is not required). Lastly, the buyer pays sales tax on the item.
Poshmark sets shipping fees in conjunction with the United States Postal Service. Over the last few years these rates have been adjusted on an annual basis. One of the biggest benefits for buyers on the platform is bundling of items for low shipping prices. Additional, items such as a heavy pair of boots does not cost more to purchase on Poshmark due to flat rate shipping fees negotiated by the platform.
What Percentage Does Poshmark Take?
For most people wondering how much does Poshmark take, they are probably thinking about fees. In order to sell an item on the platform, a seller is charged a fee. One thing I like the most about this app is as a seller you do not pay any fee unless your item sells!
Other platforms may charge a fee no matter what or charge a monthly subscription in order to access the platform. There are no such gimmicks with this platform. In fact you can list an item for sale, decide later you don’t want to sell it, remove it and no fees involved. Pretty awesome!
Now what happens if your item does sell? What does Poshmark charge? The fee structure is two-fold. First is the sale of any item $15 or less. In that case if the sale price is $15 or less, the fee is $2.95 per item. That means as a seller you would keep $12.05 if you sell your item for $15. That’s a decent chunk of change for the convenience of using the selling platform.
What if your item sells for more than $15? So starting at a sale price of $16 and going up indefinitely, the fee is 20 percent of the sale price. For example, an item that sells for $16, the Poshmark fee would be $3.20. In this example as a seller you would keep $12.80 if you sell your item for $16.
Poshmark’s Easy to Use Fee Structure
It’s important to note regarding how much does Poshmark take from sales, that the company has not changed this fee structure in years. This might be called the Poshmark commission or Poshmark percentage by some users. Other platforms often change fees willy nilly which can be not only confusing but make you feel taken advantage. The fee structure has been exactly the same ever since I joined the platform in 2017.
Poshmark is very transparent about their fees and also why they charge the fees, which I will expand on a bit more later. I wanted to point out that another reason I don’t mind these fees is because the fee structure allows me to perform easy math in my head. Usually I just round up the $2.95 to $3 in my head so I know on those smaller sales I’ll be forking over $3.
When it comes to sales of larger items It’s super simple as well. $50 sale? 10 percent of $50 is $5, then I just multiply that by two which is a fee of $10. A $70 sale would have a fee of $14, a $100 sale would have a fee of $20 and so on. Here’s an example below showing exactly what the fee screen looks like after you sell an item. This is from a recent sale on my account.
A Helpful Tip for Professional Sellers
Now I know the idea of losing any money on a sale might still sound discouraging I get that. As many would say it’s simply the cost of doing business. But if you are reading this and mainly selling on Poshmark I want to offer one tip. If your business is large enough that it’s an actual business and not a hobby.
For example you are selling things that were not from your personal closet – you can claim your business on your taxes. When you do that any Poshmark fees you paid can be marked as a business expense. If you need more insight on taxes TurboTax is tax accounting software which can help you not only file your taxes but also run through the ins and outs of business deductions.
A Note on Poshmark Shipping
Along these same lines, if you are a seller wanting to reduce your costs, keep in mind the following. You DO NOT have to offer free shipping or reduced shipping to your buyers. While Poshmark allows this option it’s not required and if it’s not something you want to do, then don’t do it. Some sellers offer discounts as part of their business model or personal preference, but it’s not required.
Why are there Poshmark Fees?
Now back to the fees themselves. One more important point to make is why Poshmark charges a fee and what you get in exchange for paying that fee on the sale of your item. This is important I think for understanding why this is still a great platform to sell on, and my personal preferred platform for selling clothing. The company is transparent in this area. Your fee goes toward:
• Handling the financial transaction for you
• Paying credit card processing fees on your behalf
• Providing a pre-paid, pre-addressed shipping label to you
• Serve as customer support for the sale of your item
• For items that sell for over $500 (typically luxury or premium goods) FREE authentication
I think the last item is especially important. I’ve been involved with a few disputes regarding Poshmark sales. Should any problem arise, customer support will walk you through this process. Regarding the labels, they are incredibly easy to use and print on a home printer. At the end of the day the fees do not bother me and in fact I’m just used to them at this point after selling on the platform for more than six years.
Fees and Shipping
In Summary
These are all of the fees involved with buying and selling on Poshmark. I think the company is very transparent about their fees and the easy math cannot be beat. If you are skeptical I encourage you try selling on some other popular platforms and compare.
Personally, I’ve found other platforms to change fees often or make fee structures confusing to the point where I can’t even calculate what the fee will be let alone shipping price without a home scale! I don’t know about you but I could deal without that headache when it comes to what percentage does Poshmark take?
Related blog posts:
• How to Sell on Poshmark Step by Step Guide
• Poshmark Coupon to Save Money on Poshmark
• Tips for Selling on Poshmark to Make Money
• Gift Ideas for Poshmark Sales
Again, personally Poshmark is my preferred platform for selling clothing and the buying experience has been enjoyable for me as well. If you want to learn more about the app be sure to check out my series of posts containing everything you need to know about Poshmark.
Free $10 Poshmark Coupon
- Enter invite code HFHAMMERS when you create your Poshmark account to receive a $10 credit toward your first purchase.
Any other fee questions? Let me know in the comments.
