Paddle: Pricing, Features & Alternatives
Paddle acts as a Merchant of Record, handling payments, subscriptions, invoicing, VAT/GST compliance, and fraud. It is designed primarily for SaaS companies selling globally without managing tax or legal complexity.
Who it’s for: SaaS and software companies who want a merchant of record to handle sales tax, VAT, fraud and buyer support.
Category
Payment Gateway
Pricing
Pay-as-you-go
Free tier
No
Best for
Payment Gateway: merchant of record, SaaS, global tax
Paddle at a Glance
- What it is
- Payments and billing platform
- Merchant of record
- Yes
- Online card fee
- 5% + 50¢, tax handling included
- Monthly fee
- None
- Built for
- SaaS and software
Checked November 2026 against Paddle pricing.
Paddle Pricing Plans (2026)
| Plan | Price |
|---|---|
| Pay as you goPopular | 5% + $0.50 per transaction |
| Custom | Custom pricing |
Pricing summary: Usage-based. Always confirm current pricing on the official site.
Key Paddle Features
- Pay-as-you-go: 5% + 50¢ per checkout transaction
- Merchant of record: collects the right tax rate and files sales tax returns for you
- Payments, checkout, subscriptions and billing in one platform; fraud, chargebacks and buyer support included
- No monthly, migration or hidden fees; no lock-in period
- Custom pricing for high volume; contact Paddle for products under $10
Pros
- +Merchant of record: collects and files sales tax for you
- +Fraud, chargebacks and buyer support included
- +No monthly or migration fees
Cons
- −5% + 50¢ costs more per sale than a plain gateway
- −Products under $10 need custom pricing
- −Custom rates only through sales
Best Paddle Alternatives
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Paddle Compared
Paddle FAQ
What is Paddle used for?⌄
Paddle is a payment gateway tool. All-in-one payments, billing, and tax compliance platform for SaaS businesses.
Is Paddle free?⌄
Paddle does not offer a permanent free tier.
How much does Paddle cost?⌄
Paddle uses usage-based (pay-as-you-go) pricing. See the official pricing page for current rates.
What are the best Paddle alternatives?⌄
Popular Paddle alternatives include Polar, Lemon Squeezy, Razorpay, Chargebee, Square. Compare pricing and features on our Paddle alternatives page.
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