Does Fiverr Take A Cut? Understanding Fees On Fiverr

Does Fiverr Take A Cut

In the bustling world of online freelancing and digital services, Fiverr stands out as a renowned marketplace that connects talented individuals with clients seeking a wide range of services. However, beneath the surface of this thriving platform lies a common question that often piques the curiosity of both freelancers and clients: “Does Fiverr take a cut?” In this article, we embark on a journey to unravel the intricacies of Fiverr’s fee structure, shedding light on how fees are managed on this popular platform. Whether you’re a seasoned seller or a curious buyer, understanding these nuances is essential to making the most of your Fiverr experience. So, let’s dive in and demystify the world of Fiverr fees!

Does Fiverr Take A Cut?

Yes, Fiverr does take a cut. When a seller completes an order, Fiverr typically deducts a service fee of 20% of the total order value. This fee is one of the ways Fiverr generates revenue and maintains its platform.

The Basics Of Fiverr

Before we get into the nitty-gritty of fees, let’s first understand what Fiverr is all about. Fiverr is an online marketplace that allows individuals and businesses to buy and sell various digital services, commonly referred to as “gigs.” These services can range from graphic design and content writing to programming and marketing. Fiverr provides a platform for freelancers (sellers) to showcase their skills and offer their services to potential clients (buyers). It’s a user-friendly platform that has gained immense popularity over the years due to its ease of use and vast array of services available.

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How Fiverr Works

Fiverr is an online platform designed to connect freelancers with clients seeking specific services. Here’s how it generally works:

Service Offerings (Gigs): 

Freelancers on Fiverr create and display ‘gigs,’ which are specific services they offer. These gigs include details about the service, the price, and the time frame for completion. Services can range from graphic design, digital marketing, writing, and programming, to more unique offerings like voiceovers or lessons.

Searching For Services: 

Clients in need of a specific service can browse through Fiverr’s extensive list of categories or use the search function to find a gig that matches their needs.

Placing Orders: 

Once a client finds a gig that meets their requirements, they can place an order. This process often involves communicating with the freelancer to clarify the project details and expectations.

Payment Process: 

Fiverr holds the payment made by the client until the service is delivered. This system aims to ensure that both parties – the client and the freelancer – are protected. The client is charged upfront, but the freelancer receives the payment only after the service is completed.

Delivering The Work: 

The freelancer works on the project and delivers the service within the specified timeframe. Clients then review the work and can request revisions if necessary, depending on the terms of the gig.

Completion And Reviews: 

Once the client is satisfied with the service, they mark the order as complete. Both clients and freelancers can then leave reviews for each other, which helps build their reputation on the platform.

Payment To Freelancers: 

After the order is completed, Fiverr releases the payment to the freelancer minus a commission fee, which Fiverr takes as its revenue model. Fiverr provides a platform for freelancers to showcase their skills and for clients to find the services they need. The platform emphasizes user reviews and ratings, which play a crucial role in building trust and credibility within the community.

Understanding Fiverr Fees

Now, let’s address the big question: Does Fiverr take a cut, and how does their fee structure work? Yes, Fiverr does charge fees to both sellers and buyers, but the specifics can vary depending on several factors.

Fees For Sellers:

  • Service Fee: When a seller completes an order, Fiverr deducts a service fee, which is typically 20% of the total order value. For example, if a seller’s gig is priced at $100, Fiverr will take $20 as a service fee, leaving the seller with $80.
  • Withdrawal Fee: When sellers withdraw their earnings from Fiverr, there may be additional fees, depending on the withdrawal method chosen. Common withdrawal methods include PayPal, bank transfer, and Fiverr Revenue Card. Each method has its associated fees, so it’s essential to check the details on Fiverr’s website.
  • Currency Conversion Fee: If you earn money in a currency different from your account’s default currency, Fiverr will apply a currency conversion fee.

Fees For Buyers:

  • Processing Fee: Buyers are charged a processing fee when they place an order. This fee is typically $2 on orders up to $40 and 5% on orders above $40.
  • Currency Conversion Fee: Similar to sellers, buyers may also incur a currency conversion fee if they pay in a currency different from their default payment method.

Additional Costs:

It’s crucial to consider these fees when setting your prices as a seller or when budgeting your purchases as a buyer on Fiverr. Keep in mind that while Fiverr does charge fees, it provides a platform that connects you with a vast network of potential clients or service providers, making it a valuable resource for many.

Tips For Managing Fiverr Fees

Now that you understand how Fiverr fees work, here are some tips to help you manage them effectively:

For Sellers:

  • Price Your Gigs Strategically: Take into account Fiverr’s service fee when setting your gig prices. You’ll want to ensure that your earnings after fees still reflect the value of your services.
  • Offer Gig Extras: Fiverr allows sellers to offer additional services as “gig extras.” These can be priced separately, allowing you to earn more without significantly increasing your base gig price.
  • Choose The Right Withdrawal Method: Compare withdrawal fees for different methods and choose the one that works best for you based on your location and financial preferences.

For Buyers:

  • Budget Accordingly: Consider Fiverr’s processing fee when budgeting for your project. It’s a small cost in the grand scheme of things but important to factor in.
  • Check Currency Conversion Rates: If you’re paying in a different currency, be aware of the conversion rate and any associated fees to avoid surprises.


In conclusion, yes, Fiverr does take a cut, but it’s important to view these fees in the context of the value the platform provides. Fiverr connects talented freelancers with clients worldwide, streamlining the process of finding and offering digital services. While fees are a part of using the platform, they enable Fiverr to maintain a secure and user-friendly marketplace for everyone involved. As a seller, understanding Fiverr’s fee structure allows you to price your services competitively while still ensuring you receive fair compensation for your work. For buyers, knowing the processing and currency conversion fees helps you budget effectively for your projects. Ultimately, Fiverr fees are a small trade-off for the convenience and opportunities the platform offers to both sellers and buyers. Whether you’re a freelancer looking to showcase your skills or a business seeking professional services, Fiverr remains a valuable tool in the gig economy landscape.

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