TikTok Shop fees 101: Your seller’s guide for 2026

Marketplace commission fee (referral fees)

The platform takes a small cut from each sale – this is the TikTok Shop commission fee or referral fee. 

But what percentage does TikTok Shop take from each sale? 

Typically, the platform charges a 6% referral fee per order, calculated from the item price before sales tax and shipping. 

Some product categories, such as certain jewelry items, have a lower 5% referral fee.

Let’s look at how the commission fee calculation works. Imagine you sell a Gildan heavy cotton tee for $12 on TikTok Shop. Since clothing falls under the 6% referral fee, here’s how to calculate the cost:

$12 × 6% = $0.72

So, TikTok would automatically deduct $0.72 from the sale, and you’d keep the rest – before other expenses like shipping costs or withdrawal-related transaction fees. 

If you’re running a flash sale or offering seller coupons, the referral fee is calculated based on the discounted price, not the listing’s original price. 

Using the $12 t-shirt example, let’s say you apply a $2 seller discount. The calculation will look like this:

Price after seller discount:$10

Referral fee:$10×6% = $0.60

Withdrawal transaction fees

When selling on TikTok Shop, payments are processed through the platform’s payment system. 

While the marketplace doesn’t charge traditional card processing costs per order, TikTok Shop may apply a small service fee when funds are withdrawn from a seller’s account.

How much does TikTok Shop take for transferring your earnings? Here’s how the withdrawal transaction fees work:

• If you move your balance to a bank account, the service fee charged is $0.05 per transaction, and the minimum payout threshold is$2.
• For PayPal, TikTok charges a 0.9% service fee on the withdrawal amount, with the same minimum payout threshold.

Let’s return to our $12 t-shirt. Here’s what happens after accounting for TikTok Shop seller fees:

• Marketplace commission fee (6%): $0.72
• Bank withdrawal fee: $0.05
• Total fees: $0.72 + $0.05 = $0.77
• Your earnings: $12 – $0.77 = $11.23

Advertising fees

If you want to run ads on TikTok Shop, there are two minimum budget requirements to keep in mind. These limits keep your ads running smoothly without interruption. 

Campaign-level budget (for the whole campaign)

Think of this as the big-picture budget for your entire ad campaign. If you’re running multiple ads under a single campaign, this covers them all.

• Daily budget: At least $50 per day
• Lifetime budget: At least $50 total for the entire campaign

Ad group-level budget (for specific ads in a campaign)

This is the budget for a smaller group of ads inside your campaign. Each ad group has its own budget and can target different audiences or promote different products.

• Daily budget: At least $20 per day
• Lifetime budget: At least $20 per day × the number of days the ad runs

Let’s say you create an ad group that runs for 10 days:

• Daily budget: $20 per day
• Lifetime budget: $200 total ($20 × 10 days)

If you promote products through TikTok Shop’s affiliate program, you’ll need to pay the creator for sales generated through their content. 

You can set the affiliate partner commission rate yourself, and the costs are separate from TikTok’s advertising fees. 

Fulfilled by TikTok (FBT) fees

The Fulfilled by TikTok (FBT) program provides warehouse services, packaging, and shipping to simplify order fulfillment for sellers. 

Here’s a quick breakdown of FBT fees (from January 12, 2026):

1. Free shipping policy

Starting June 16, 2025, products fulfilled through FBT automatically qualify for free shipping with no minimum order value. 

This change replaced the earlier co-funded free shipping fee discount program and helps improve product visibility across TikTok Shop. 

Sellers may opt out. In that case, customers pay a $5.99 shipping fee on orders under $30, and in return, you can receive a $0.75 per-item shipping fee rebate.  

2. Updated fulfillment fees

These fees cover the full fulfillment process, including picking items from the warehouse, packing orders, preparing packaging materials, and shipping the package to the customer.

Starting January 12, 2026, fulfillment pricing follows a tiered structure based on product weight and number of units per order. For example:

• 4 oz or less: Start at $4.28 per unit
• 8-12 oz items: Around $4.70 per unit

Discounted per-unit rates also apply when two or more items from the same seller are purchased during a single checkout. For instance, a 4-8 oz product would cost:

• $4.52 for a single unit
• $2.91 per unit for two items 

3. Optional hub placement fees

If you send inventory through TikTok’s East or West inbound hubs, hub placement fees may apply depending on the shipment weight and routing option.

For example, for a 0-4 oz item:

• West hub: $0.04 per unit
• East hub:$0.06 per unit 

Inventory shipped directly to TikTok fulfillment centers does not incur hub placement fees.

4. Storage fees

Sellers using FBT warehouses may also pay storage fees if inventory remains in storage for extended periods.

• 0-60 days: Free storage
• 61-90 days: Fees begin at $0.03 per cubic foot per day

Storage costs gradually increase the longer the inventory stays in the warehouse.

Here’s how the FBT fees would apply to our $12 t-shirt:

Fulfillment fee: For a single t-shirt order, you’d pay $4.28 per unit.

Storage fee: If the t-shirt remains in storage beyond 60 days and occupies 0.5 cubic feet, storage would begin at approximately:

$0.015 per day (0.5 × $0.03)

Returns and refunds

For returns and refunds, TikTok Shopapplies a Refund Administration Fee.

The rate is 20% of the original referral fee, which helps cover processing costs. Starting May 15, 2025, this fee is capped at $5 per SKU.

TikTok does not charge a Refund Administration Fee if the order is canceled before shipping.  

Using the $12 t-shirt example, here’s how the refund fee would apply:

• Product price: $12
• Referral fee (6%): $0.72
• Refund Administration Fee (20% of the referral fee): $0.14
• Total refund fee: $0.14

During the after-sales period, customers generally have 30 days to request a return for most products. Depending on the return reason, sellers may also be responsible for return shipping fees or other logistics expenses.