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Pricing sourced from Paddle · Last verified March 2026
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View Full Features →As Merchant of Record, Paddle is the seller of record for supported transactions. In practice, that generally means Paddle handles payment collection, applicable indirect tax calculation and remittance, compliant invoicing, refunds, chargebacks, and related payment compliance workflows. Your company receives net payouts after fees, taxes, and other applicable deductions. Exact tax scope and jurisdiction coverage should be confirmed in Paddle's current terms.
Paddle's listed starting price in this record is 5% + $0.50 per transaction. Stripe and other payment processors may have lower base card-processing fees, but a like-for-like comparison should include separate costs for tax tooling, subscription management, revenue recovery, invoicing, compliance operations, and finance time. Paddle can be more attractive when the Merchant of Record model replaces several tools or internal workflows, while direct processors may be more attractive for companies that already manage tax and billing operations themselves.
Migration may be possible, but it requires careful planning because the billing entity, customer communication, payment method handling, and subscription records may change. Teams should verify Paddle's current migration tooling, payment-method portability, supported subscription states, and onboarding support before committing to a cutover.
Paddle collects customer payments, deducts its transaction fee and applicable taxes, then sends net revenue payouts according to the payout schedule and terms available to the account. Payout timing, supported currencies, reserves, and reconciliation details can vary, so companies should confirm the current payout policy during evaluation.
Yes, particularly for startups selling SaaS or digital products internationally and wanting to avoid building tax, billing, checkout, and revenue recovery operations early. The tradeoff is the higher per-transaction rate compared with basic payment processing, so teams should revisit the total cost as volume scales.
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Try Paddle Now →Complete payment infrastructure for online businesses with powerful APIs and tools.
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