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PaddleFree tier and limits

Merchant of record for software sellers. Pay as you go at 5% + 50¢ per Checkout transaction.

Sniffed 14d agoNo card needed#merchant-of-record#payments#saas-billing#tax-compliance#subscriptions#vat

Paddle is the seller of record, so it handles the tax paperwork you would rather skip. Paddle is a merchant of record for software companies. It sells on your behalf and handles payments, checkout, billing, global tax and regulatory compliance, fraud protection, chargebacks and buyer support. The pricing page lists pay-as-you-go at 5% + 50¢ per Checkout transaction and custom pricing for high-volume, low-value transactions. G2 has 240 reviews, where ease of use is the top positive with 52 mentions and poor customer support is the main complaint. A Capterra reviewer called Paddle a necessity for operating an online business in the EU, while a r/SaaS poster titled a thread 'If you're planning to use Paddle, STOP' after earning about $200 in two months. A r/Notion post argues that a merchant of record's convenience comes at a steep cost. It suits software and SaaS sellers who want tax compliance handled and accept a higher fee.

Free tier quotas

PlanPay-as-you-go, no free transaction allowance
Fee5% + 50¢ per Checkout transaction
IncludedPayments, checkout and billing in one platform
TaxGlobal tax and regulatory compliance
RiskFraud protection, chargebacks and buyer support
High volumeCustom pricing for high-volume, low-value transactions

Last sniffed Oct 11, 2026. Always confirm on the official pricing page.

👍 Good boy

  • +One fee covers payments, checkout, billing, global tax and regulatory compliance, fraud protection, chargebacks and buyer support.
  • +G2 reviewers mention ease of use 52 times, the top positive theme across 240 reviews.
  • +A G2 reviewer said they appreciate that Paddle is a merchant of record for their money transactions.
  • +A G2 reviewer said the team goes above and beyond to make sure customers are happy.
  • +A Capterra reviewer called Paddle a necessity for operating an online business in the EU and said it gives peace of mind on international sticking points.
  • +Capterra text says Paddle handles global VAT and sales tax automatically for a small software business.
  • +Custom pricing is offered for high-volume, low-value transactions.

👎 Watch out

  • −G2 users report poor customer support, with delays in responses.
  • −The fee is 5% + 50¢ per transaction. On a $5 sale that is $0.75, or 15%.
  • −A r/SaaS poster titled a thread 'If you're planning to use Paddle, STOP' after earning about $200 in two months. The rest of the post was cut off in my excerpt.
  • −A r/Notion post argues that the convenience of a merchant of record comes at a steep cost.
  • −The Capterra page snippet shows a rating of 3.0 from 21 reviews, lower than the glowing individual review.
  • −The pricing page lists no free tier or trial.

The catch

Paddle has no free allowance. You pay 5% + 50¢ per Checkout transaction, and in return Paddle acts as the merchant of record for tax, compliance, fraud and chargebacks. The fixed 50¢ matters for cheap products: a $5 sale costs $0.75 in fees. Opinion is split. G2 reviewers praise ease of use and the merchant of record model but report slow customer support. A r/SaaS poster warned others off after a poor experience, though my excerpt of that post was truncated and I could not read the details. Read the thread before you decide. The Capterra product page snippet shows 3.0 from 21 reviews, while its top review is very positive, so scores vary by source.

What’s included

  • ✓Merchant of record
  • ✓Checkout
  • ✓Subscription billing
  • ✓Global tax and VAT handling
  • ✓Regulatory compliance
  • ✓Fraud protection
  • ✓Chargeback handling
  • ✓Buyer support
  • ✓Custom pricing for high volume

Free tier value

Generosity
B
Estimated value
5% + 50¢ per transaction
Feature parity
5% + 50¢ per transaction. Payments, tax and compliance in one price.

Screenshots

Homepage
Homepage
Pricing page
Pricing page

Paid plans

Pay-as-you-go, 5% + 50¢ per Checkout transaction

Payments, checkout and billing in one platform, global tax and regulatory compliance, fraud protection, chargebacks and buyer support.

Custom pricing

Pricing for high-volume, low-value transactions, flexible options for your business model, dedicated customer success, premium services and hands-on support from migration to launch.

Common questions

How much does Paddle charge?

5% + 50¢ per Checkout transaction on pay-as-you-go.

What is a merchant of record?

A reseller that sells your product, handles the tax on the sale and pays you the rest. A r/SaaS commenter describes it this way.

How is the support?

G2 users report poor customer support with delays in responses, though one G2 reviewer praised the team.

Is there a free plan?

The pricing page lists no free tier or trial.

Is it good for cheap products?

The fixed 50¢ makes small sales expensive: a $5 sale costs $0.75.

Change history

  • Checked October 22, 2026

    The pricing page lists pay-as-you-go at 5% + 50¢ per Checkout transaction and custom pricing.

Sources

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