# Paddle vs Lemon Squeezy: Which Is Actually Cheaper?

URL: https://www.paydude.io/resources/tools/paddle-vs-lemon-squeezy-fees
Type: Free interactive calculator
Summary: Paddle publishes 5% + 50¢; Lemon Squeezy publishes 5% + 50¢. Which costs less depends on your average transaction — see where the answer flips.

Two merchant-of-record providers publishing identical headline rates, which means the entire comparison is about what each actually handles for you.

## Summary

Paddle publishes 5% + 50¢. Lemon Squeezy publishes 5% + 50¢. Published rates are identical — the decision is about coverage and product. Compare at your own average transaction — the headline rate alone does not decide it.

## Published rates

**Standard published rates for domestic online cards, September 2026**

|  | Paddle | Lemon Squeezy |
| --- | --- | --- |
| Card rate | 5% | 5% |
| Fixed fee | 50¢ | 50¢ |
| Monthly fee | $0 | $0 |
| Pricing model | Merchant of record | Merchant of record |

## Which one is cheaper

Both charge around 5% + 50¢ and both act as merchant of record, taking on global sales tax and VAT registration, remittance, invoicing and fraud liability. On price there is nothing to separate them.

> **The 5% is not a processing rate:** It bundles tax compliance. The right comparison is not 5% against a processor's 2.9%, but 5% against 2.9% plus a tax compliance service plus the engineering to connect them plus the ongoing filing work.

## What actually decides it

Product fit. Compare checkout customisation, supported payment methods and currencies, subscription flexibility, payout schedules and the quality of the tax handling in the jurisdictions you actually sell into.

## For reference

The calculator above also shows Paydude, which publishes 2.6% + 25¢ improving with volume. It is there as a third data point rather than as the answer to a question about Paddle and Lemon Squeezy — for every provider side by side see the [full processor fee table](https://www.paydude.io/resources/payment-processor-fee-comparison).

**Compare every provider at once** Published rates for 18 processors, with the effective rate at three ticket sizes. — [See the table](https://www.paydude.io/resources/payment-processor-fee-comparison)

## Frequently asked questions

### Is Paddle cheaper than Lemon Squeezy?

Neither — both publish 5% + 50¢. Any cost difference between them comes from currency handling, payout fees and which payment methods they support in your markets, not from the headline rate.

### At what transaction size does the answer change?

It does not change on price, because the published rates are the same at every ticket size. It changes on which jurisdictions and payment methods each covers well.

### What is the difference between Paddle and Lemon Squeezy?

Both are merchants of record for digital products. Lemon Squeezy is simpler and aimed at solo founders and small teams; Paddle is more established with deeper subscription and enterprise billing features. The tax handling is the shared core of both.

### Where do these rates come from?

Both are publicly published standard rates for domestic card payments as of September 2026. Neither is a negotiated or promotional rate, and either provider may quote you something different from its list price.