Poshmark is an online reselling marketplace most known for new and secondhand fashion. With over 80 million community members across the United States, Canada, Australia, and India, Poshmark is a leading social e-commerce marketplace for fashion! Poshmark is particularly popular for women’s clothing and accessories, with top-sellers being mid-range to high-end apparel.
Fun Fact: There is a Poshmark sale every second in the United States!
On Poshmark, you can sell women’s, men’s, and childrens fashion and beauty products, select home decor, some pet accessories, and certain categories of electronics.
Poshmark is a reseller favorite with the most user-friendly interface, quick listing form, and the most simplified shipping process. Poshmark listings are also promoted in major search engines.
Here is your guide to Poshmark selling fees, Poshmark payments, and how to withdraw your balance on Poshmark.
For a full guide to Poshmark, check out The Poshmark Bible: How to Get Started Selling on Poshmark.
Poshmark Selling Fees: How Much Does Poshmark Take?
The Poshmark selling fee is 20% of the sale price. For items sold under $15, Poshmark fees are a flat rate of $2.95.
Let’s break down the Poshmark commission fee:
I sold these pants for $50, and the Poshmark selling fee is $10, so I made $40 from the sale.
Note that Poshmark, like most platforms, collects and remits sales tax on your behalf, so you don’t have to worry about this.
However, the Poshmark fee is a flat $2.95 for all sales where the sale price is under $15.
So, I sold these earrings for $10, and the Poshmark selling fee is $2.95, so I made $7.05 from the sale.
Poshmark Fees: A Calculator
See the below chart for Poshmark Selling Fees. The left column shows sale price, and the right shows what you would make per item after Posh fees:
Poshmark Selling Fees Breakdown
The 20% fee applied to all sales over $15 is reasonable, but that $2.95 flat fee is no joke; for very low sale prices, the Poshmark fee can well-exceed 20%.
When you sell something for $5, you make only $2.05 after Poshmark selling fees (and, before you deduct your cost of goods or your time).
So, in my opinion, it is not worth it to sell items under $10 on Poshmark.
You also have to remember that buyers pay for shipping; so at this time, they pay $7.67 per order, as Poshmark has only one label tier. This makes it even more difficult to sell inexpensive items: because the actual cost of a $5 item to your buyer includes nearly $8 for shipping and might include sales tax as well (depending on their state).
For a full guide to Poshmark Shipping, click here.
Poshmark Bundling: Fees on Poshmark Bundles
A Posh bundle allows for a buyer to purchase multiple listings from the same closet. This means that a buyer can purchase multiple items in a single transaction.
Bundles allow you to sell and ship (up to 5 lbs of) several items in one transaction.
I sold these 8 listings in a bundle, offering a special bundle discount to my buyer. I offered $40 for this bundle:
This sale is one transaction. Thus, it was a $40 sale, and the 20% Poshmark selling fee of $8 was deducted; so I made $32. The buyer paid approximately $48 (and maybe taxes, if applicable) because they only paid the shipping fee once!
Thus, encouraging bundling is the key to selling inexpensive items on Poshmark. This allows you to make more for your items with lower Poshmark fees, and for the buyer to justify the shipping cost.
Many sellers offer promotions to encourage bundling such as “5/$25” (five items for $25). To learn more about how to run a Poshmark sale or promotion, check out this video.
Posh Lives: Poshmark Selling Fees on Live Sales
With the new Posh Live Auctions, fees are identical to the Poshmark standard fees: 20% of the sale price, and a flat rate of $2.95 for sales under $15.00
This means that if you start your auctions low, under $5, and there aren’t many bidders to raise the price: you won’t make very much money.
While you might be comfortable for $1-$4 per item to liquidate, this is not a sustainable model. The most sustainable model is to try to source for items that you can sell for at least $15-$20.
Fun Fact: Poshmark just rolled out bundling for Poshmark live sales which is a huge relief, as sellers were previously manually creating bundles after live shows.
To learn more about how to sell live on Poshmark, check out this article: Posh Shows Come to Poshmark! Learn About The New Live Auction Feature.
Poshmark Fees: Is Poshmark Worth It?
Poshmarks fees are higher than most other platforms. Most are between 10%-15%.
In turn, Poshmark provides the easiest listing process, simplest shipping options, the best seller protection, and the most advanced search engine optimization (SEO) on major search engines.
I crosslist on 8 marketplaces, and most of my items sell on Poshmark; Posh provides the perfect audience for my inventory and tools to make more sales.
You might also like: 10 Great Marketplaces Every Reseller Should Consider
I highly recommend Poshmark. Do not be deterred by the high selling fee. Simply take it into consideration when deciding what to sell.
I source with the idea that I will pay 20% fees, and if my items sell elsewhere for a lower fee, it is a pleasant surprise!
To learn more about how I crosslist to multiple marketplaces in just seconds, try Vendoo!