---
source_url: "https://ultimatethrifting.com/new-poshmark-fees/"
title: "New Poshmark Fees: What Buyers & Sellers Need to Know"
mirrored_at: 2026-08-13T01:38:16.003Z
host: ultimatethrifting.com
cited_in_42a: true
mirror_canonical: "https://index.42a.ai/ultimatethrifting.com/new-poshmark-fees/index"
---

> **Original source:** https://ultimatethrifting.com/new-poshmark-fees/

Poshmark U.S. just rolled out its most significant change to fees in its history, and there have already been strong reactions from both buyers and sellers. While seller fees have decreased, buyers are now on the hook for fees as well, and total fees collected by Poshmark (for most price points under $100) have increased. While Poshmark claims this change will simplify transactions, help sellers earn more profit, and attract sellers, many buyers are experiencing sticker shock at checkout, leading both buyers and sellers to reconsider their use of the platform. In this post, we’ll explore the changes in more depth and their impact to the American Poshmark community.

## What’s changing?

On October 2, 2024, Poshmark (in the U.S. only for now, no change has been announced for Canada) [announced](https://blog.poshmark.com/2024/10/02/poshmarks-new-fee-structure/) that they were replacing the existing 20% flat fee for sellers with a fee structure that affects both buyers and sellers. Both parties now pay $1 each in fees for items less than $15, $2 for items between $15 but less than $50, and $3 for items equal to or greater than $50. In addition, both buyers and sellers pay an additional 5.99% fee on the order total, **including shipping and taxes**.

Poshmark says that the new structure is intended to help sellers keep more profit as a result of their lower fees. Users, on the other hand, are concerned that high buyer fees will force sellers to drop prices and that sticker shock may lead buyers to turn to other platforms.

Here’s a chart (courtesy of [Reddit user SirCrowsALot](https://www.reddit.com/r/poshmark/comments/1fye3vb/chart_of_poshmark_fee_change_oct_2024/)) that shows how old and new fees compare at different price points (where a 7% sales tax rate is assumed):

![](https://ultimatethrifting.com/wp-content/uploads/2024/10/poshmark-fee-changes-1024x620.png)

This chart, which combines fees for buyers and sellers, shows that Poshmark is earning more on transactions where the item or bundle price is less than $100. It’s also clear that selling at $49 instead of $50, or $14 instead of $15, yields better fee outcomes for buyers and sellers.

## Seller Impact of Poshmark Fee Changes

Poshmark sellers will be most affected for sales less than $50. In most cases, it will make more sense for sellers to focus on higher value items and bundles in an effort to keep costs lower.

Planning is likely to be more difficult with the new changes, as the 5.99% fee is applied on the order total, _after_ taxes and shipping, which may vary depending on where the buyer is located. For sellers who try to estimate fees in their pricing model, a range may be needed, as exact calculations will be almost impossible.

Poshmark sellers on a variety of sites are also reporting a rise in lowball offers and increased pressure from buyers to lower prices, as buyers are pushing back on absorbing the new fees and paying more.

Not sure what price you should charge or negotiate with buyers with the new fee structure? We built the calculator below to help. Just enter your item cost, the profit you want to make, and we’ll tell you what your minimum price should be. This example assumes approximate sales tax of 7% and shipping fees of $7.97 for the purposes of the 5.99% seller fee.

When negotiating with a buyer, don’t go any lower than the value in the last field of the calculator.

## Buyer Impact: Higher Costs & StIcker Shock

There’s no way around it: buyers are seeing significantly higher fees at checkout than they used to. The new “Buyer Protection Fee” of $1-3 plus 5.99% on all orders is marketed as covering value-added services that were previously included at no additional buyer cost. While prices on items may look the same initially, by the time a customer reaches the checkout page, the net cost of an item may be over 50% higher than its advertised price. When Mercari introduced similar fees for buyers in March, it led to an increase in abandoned carts and mixed results—including laying off almost half of U.S. staff in June. ([source](https://www.valueaddedresource.net/poshmark-shifts-some-fees-to-buyers/))

![Poshmark New Fees](https://ultimatethrifting.com/wp-content/uploads/2024/10/poshmark-new-fees-1-1024x666.jpg)

## Fees on Alternative Platforms

Poshmark certainly isn’t the only online platform for selling secondhand clothes. As these buyer and seller fees take effect, many Posh users are likely to explore other platforms, where fees may be lower. In our [recent roundup of online sites for selling used clothes](https://ultimatethrifting.com/sell-clothes-online-united-states/), we explored some of the alternatives and their fee structures.

eBay continues to have lower net fees, with most transactions having a net fee of approximately 16%. Mercari and Depop advertise 10% seller fees, but that doesn’t include payment processing and seller fees. Because of the complex fee structure now in place for most platforms, which changes at different price points, sellers may find that they need to use or build new models to calculate selling prices and that cross-listing on multiple platforms becomes increasingly important.

## What Can Buyers and Sellers Do?

While platform changes always inspire some initial panic, the actual results of the adjustments will be hard to measure for at least several months. In the interim, here are some tips for buyers and sellers to make the best of an evolving situation:

#### Tips for Poshmark Sellers

-   Focus on high-value items and bundles, as fees are lower than the previous 20% charged at higher price points.
-   Consider diversifying and posting to other platforms.
-   Push back on early buyer complaints to drop prices to account for increased fees.

#### Tips for Poshmark Buyers

-   Try bundling more items to reduce fees and per-item costs.
-   Negotiate politely with sellers for discounts, recognizing that both parties are affected by the fee changes.
-   Look for Posh Pass shipping discounts and special events to minimize shipping and other fees.

## Conclusion

Poshmark’s new fee structure in the United States has left many buyers and sellers wondering if they’ll be better or worse off—and whether they’ll stay on the platform. While the changes might benefit high-value and high-volume sellers, others may need to adjust their pricing strategies or even explore alternative platforms. For Poshmark users who can navigate the changes and leverage them to their benefit, whether by bundling, negotiating, or rethinking prices, the updates may be a net positive.

What are your thoughts on the Poshmark fee changes? Let us know in the comments!