Teachable Transaction Fees Explained (and How to Avoid Them)

Teachable transaction fees only apply on the Starter plan. Teachable’s pricing page lists a 7.5% fee per sale on Starter and 0% on Builder, Growth, and Advanced. Payment processing fees are separate, and you pay them on every plan.

Bottom line

• Starter charges 7.5% per sale. Builder and above have no platform transaction fee.
• Processing fees still apply. Teachable’s help center lists 2.9% + 30¢ for US cards and 3.9% + 30¢ for international cards through Teachable:pay, on top of any platform fee.
• The break-even point is around $530/month in sales. If you sell more than that on annual billing, Builder costs less than Starter.

Plans and fees change, so check Teachable’s current pricing page before you commit.

What are Teachable transaction fees?

A Teachable transaction fee is a percentage of each sale that Teachable keeps as a platform fee. It covers the cost of the platform on lower-priced plans and is taken automatically from each payment.

Two separate charges come out of every sale:

1. The platform transaction fee. It depends on your plan and is 0% on every plan above Starter.
2. The payment processing fee. Teachable:pay, which runs on Stripe, charges this on every plan, the same way any card processor would.

Many creators confuse the two. Upgrading removes the first charge but not the second, because card processing costs money on any platform.

Teachable transaction fees by plan

Teachable’s pricing page lists four paid plans. The table below summarizes them. Prices are the published monthly rates, with the lower annual-billing rate in parentheses.

Treat these numbers as a snapshot. Teachable has reorganized its plans more than once, so confirm current figures on the Teachable pricing page. For a full breakdown of features by plan, see our Teachable pricing guide.

If you’re on an older legacy plan, your fee may differ from the table. Check the billing section in your school admin to see the rate you actually pay.

How much do Teachable fees cost per sale?

On Starter, a $97 course sold to a US buyer costs about $10.39 in fees, so you keep about $86.61. On Builder, the same sale costs about $3.11, so you keep about $93.89.

Here’s the math, using the fee rates listed above:

International card sales cost more. At 3.9% + 30¢, processing on a $97 sale is about $4.08, so a Starter sale to an international buyer costs about $11.36 in total fees.

The percentage looks small on one sale. Across a launch with 50 sales at $97, Starter’s platform fee alone comes to about $364.

When does upgrading to Builder pay for itself?

Builder pays for itself once you sell about $533 a month on annual billing, or about $667 a month on monthly billing. Above those amounts, the 7.5% fee costs more than the price difference between the plans.

Here’s how we got those numbers:

• Annual billing: Builder ($69) minus Starter ($29) = $40/month. $40 ÷ 7.5% ≈ $533 in monthly sales.
• Monthly billing: Builder ($89) minus Starter ($39) = $50/month. $50 ÷ 7.5% ≈ $667 in monthly sales.

Use your average month, not your best one. A creator who earns $2,000 during a launch and $150 in a quiet month should average their revenue over a quarter before deciding.

Builder also raises the limits from one product to five and from 100 students to 1,000. Many creators upgrade because of those limits before the fee matters.

How to avoid paying Teachable transaction fees

The only way to remove the 7.5% platform fee completely is to move to Builder or a higher plan. Within Starter, you can reduce how much the fee costs you, but you can’t remove it.

Upgrade once you pass the break-even point

This is the simple fix. Track your monthly revenue in Teachable’s sales reports. Once it consistently sits above about $533 a month, switch to Builder on annual billing. You can compare plans on Teachable and switch from your billing settings.

Choose annual billing

Annual billing lowers both the subscription cost and the break-even point. Commit to a year only if you expect to keep selling, because you pay for the full year upfront.

Time your upgrade to a launch

If you sell mostly during launches, think about upgrading before a big launch week instead of paying the 7.5% on your best sales. Then reassess after the launch. Read Teachable’s terms on plan changes and refunds before you switch plans in the middle of a billing cycle.

Sell one higher-priced offer on Starter

Starter allows only one product. That’s a good reason to make that product a strong bundle at a meaningful price instead of a $19 mini-course. The 7.5% fee is the same percentage either way, but a single higher-priced offer gets you to the Builder break-even point with fewer buyers.

Know which costs you can’t avoid

Processing fees apply on every plan and every platform that takes card payments. Don’t switch platforms just to “avoid fees” without comparing what you’d pay in processing and subscription costs elsewhere.

Does Teachable charge fees on free courses or coupons?

No. The 7.5% fee is a percentage of the amount the buyer actually pays. A free enrollment generates no platform fee, and a discounted sale is charged on the discounted price.

Processing fees work the same way. The fixed 30¢ part makes very cheap sales relatively expensive: on a $5 sale, processing alone takes about 9% of the price.

Who should stay on Teachable Starter

Starter is a good fit if you’re validating your first course and don’t yet know whether it will sell. A low monthly price keeps your risk small while you test your offer, sales page, and audience.

Stay on Starter if:

• You sell less than about $500 a month
• You have one course or one bundle
• You have fewer than 100 students
• You’re still testing whether there’s demand

If you’re starting from zero, our guide on how to sell an online course on Teachable walks through setup.

Who should move to Teachable Builder or higher

Builder is the better plan once your sales are steady. At that point, the 7.5% fee costs more than the upgrade.

Move up if:

• You consistently sell above the break-even point
• You need more than one product, such as a course plus coaching
• You’re close to 100 students
• You’re planning a launch big enough that 7.5% would add up to hundreds of dollars

If you’re weighing Teachable against platforms with different fee structures, our Teachable alternatives roundup compares the main options side by side.

FAQ

Does Teachable take a percentage of sales?

Yes, on the Starter plan. Teachable’s pricing page lists a 7.5% transaction fee on Starter and 0% on Builder, Growth, and Advanced. Payment processing fees apply separately on every plan.

What are Teachable’s payment processing fees?

Teachable’s help center lists Teachable:pay processing at 2.9% + 30¢ for US cards and 3.9% + 30¢ for international cards. These fees apply on top of any platform transaction fee. Check the help center for current rates, because processors adjust them.

Is the Teachable Builder plan worth it?

Builder is worth it once your monthly sales pass about $533 on annual billing, or about $667 on monthly billing. Below that, Starter’s lower subscription costs less overall, even with the 7.5% fee.

Can I avoid Teachable fees completely?

You can remove the platform transaction fee by moving to Builder or a higher plan. You can’t remove payment processing fees on any plan, because they cover the cost of handling card payments.

The short version

On Starter, Teachable takes 7.5% of each sale. Once your sales are steady, that fee costs more than the upgrade. Run the break-even math against your own average monthly revenue and upgrade when the numbers support it, not before. When you’re ready, start on Teachable and pick the plan that matches your actual sales.