We brought a $20 gig but paid $24.1

why Fiverr has too much fees?

Fiverr, once known for its affordable $5 gigs, has transformed into a bustling marketplace for freelancers. But with this growth, the platform’s fees have ballooned—leaving both buyers and sellers feeling the pinch.

Freelancers Get Hit Hard:

Fiverr charges 20% of every transaction from freelancers. That means if you earn $100 for a project, $20 is instantly taken by Fiverr. This is one of the highest platform fees in the industry, and it doesn’t matter if you’re charging $5 or $500—the platform always takes its cut.

Imagine working hard on multiple projects each month, only to have a large chunk of your earnings disappear into Fiverr's pocket. It leaves freelancers with less to reinvest in their business or even cover their living expenses.

Buyers Are Also Paying More:

It’s not just sellers who are losing money—buyers face additional fees too. Fiverr charges a service fee of 5.5% on every purchase, and for orders under $100, an extra $3 small order fee is tacked on. These fees can add up quickly, especially for regular buyers or those working on multiple projects.

For example, if you’re paying $50 for a gig, you’ll be charged a $2.75 service fee plus the $3 small order fee, making your total payment $55.75. As you move to larger projects, the percentage-based fees increase, making Fiverr more expensive for both small and significant transactions. These hidden costs can really impact your budget over time.

Is Fiverr Worth the High Fees?

At this point, Fiverr's hefty fees have become a pain point for both buyers and sellers. Freelancers lose a fifth of their hard-earned income, and buyers are often frustrated by the extra costs tacked onto every gig.

With other platforms offering more competitive fees—some charging as little as 5-15%—many are starting to question whether Fiverr is worth the cost.

Here's a comparison table of charges across popular freelancing platforms:

This table shows how Fiverr's 20% freelancer fee and additional 5.5% buyer fee, plus the $3 small order charge, can be higher than many other platforms.

Should Freelancers Take Their Payments Outside the Platform?

While it might seem tempting to avoid Fiverr’s high fees by arranging payments directly with clients outside the platform, this is a risky move. Fiverr has strict policies, and any attempt to bypass their payment system can lead to account suspension or a permanent ban. Losing access to Fiverr’s large client base and your hard-earned reputation is not worth the short-term gain of saving on fees. Instead, focus on maximizing your earnings by setting competitive rates, upselling services, or exploring other platforms with lower fees, while keeping all transactions within Fiverr to protect your account.

Should You Stick with Fiverr or Explore Lower-Fee Platforms?

Freelancers should carefully consider whether Fiverr's fees align with their income goals. With Fiverr taking 20% of earnings and charging buyers additional fees, it might be worth exploring alternative platforms with lower fees like Upwork or Guru, which offer more competitive rates. Diversifying across multiple platforms can help freelancers retain more of their income while expanding their client base. Additionally, building a personal brand outside of these marketplaces can reduce reliance on platforms altogether, allowing freelancers to keep 100% of their earnings.