Platform Fees Explained
Daybook charges a small platform fee on some transactions to keep the free tier accessible to everyone. This guide explains how fees work and when you'll pay them.
Fee Structure
| Plan | Monthly Cost | Platform Fee | Stripe Fee |
|---|---|---|---|
| Free | $0 | 1% of paid invoices | ~2.9% + $0.30 |
| Solo | $24/month | 0% | ~2.9% + $0.30 |
| Team | $49/month | 0% | ~2.9% + $0.30 |
Key Difference
Free tier users pay a 1% platform fee. Paid subscribers (Solo and Team) pay no platform fee.
How Fees Are Charged
Free Plan
When your customer pays an invoice online:
- Customer pays $100
- Stripe takes ~$3.20 (2.9% + $0.30)
- Daybook takes $1.00 (1% platform fee)
- You receive $95.80
The platform fee is automatically deducted when payments are processed. You don't receive a separate invoice.
Paid Plans (Solo & Team)
When your customer pays an invoice online:
- Customer pays $100
- Stripe takes ~$3.20 (2.9% + $0.30)
- Daybook takes $0 (no platform fee)
- You receive $96.80
What's Included in Each Plan
Free Plan ($0/month)
- Unlimited clients
- Unlimited invoices
- Online payments with 1% platform fee
- Basic project tracking
- Client portal
- 500 MB file storage
Solo Plan ($24/month)
Everything in Free, plus:
- 0% platform fee
- QuickBooks integration
- Time tracking
- 5 GB file storage
- Priority support
Team Plan ($49/month)
Everything in Solo, plus:
- Up to 5 team members (additional seats $9/user)
- Team permissions
- 25 GB file storage
- 50 SMS credits/month
Calculating Your Break-Even Point
At what point does upgrading make sense?
Free tier platform fee: 1% of invoiced payments
Break-even for Solo: $24 ÷ 1% = $2,400/month in paid invoices
If you consistently invoice more than $2,400/month and accept online payments, Solo pays for itself.
Examples
| Monthly Invoices | Free Plan Cost | Solo Plan Cost | Better Choice |
|---|---|---|---|
| $500 | $5 | $24 | Free |
| $1,500 | $15 | $24 | Free |
| $2,400 | $24 | $24 | Equal |
| $5,000 | $50 | $24 | Solo |
| $10,000 | $100 | $24 | Solo |
What's NOT Subject to Fees
The 1% platform fee only applies to online payments processed through Stripe. These are NOT charged:
- Cash payments recorded manually
- Check payments recorded manually
- Bank transfers recorded manually
- Unpaid invoices
- Voided invoices
No Fee on Manual Payments
If you receive payment outside of Daybook (cash, check, direct deposit), you can mark the invoice as paid manually. No platform fee applies.
Stripe Fees
Stripe fees are separate from Daybook's platform fee. Stripe charges approximately:
- 2.9% + $0.30 for Canadian cards
- 3.5% + $0.30 for international cards
- Additional 1% for currency conversion
These fees are charged by Stripe, not Daybook, and apply to all plans.
Annual Billing Discount
Save money with annual billing:
| Plan | Monthly | Annual | Savings |
|---|---|---|---|
| Solo | $24/month | $240/year ($20/month) | 2 months free |
| Team | $49/month | $490/year (~$41/month) | 2 months free |
Frequently Asked Questions
Is the 1% fee capped?
No. The 1% platform fee is calculated on the full payment amount with no cap. However, you can avoid it entirely by upgrading to a paid plan.
When is the fee deducted?
The platform fee is deducted automatically when the payment is processed. It's taken from the payment before funds reach your bank account.
What if I upgrade mid-month?
Your platform fee stops immediately when you upgrade. Any payments processed after upgrading have no platform fee.
Can I get a refund on platform fees?
Platform fees are non-refundable. If you issue a customer refund, the platform fee from the original transaction is not returned.
Does the fee apply to partial payments?
Yes. The 1% fee applies to any amount paid through Stripe, including partial payments.
Upgrade to Remove Fees
Ready to eliminate platform fees?
- Go to Settings → Billing
- Click Upgrade to Solo or Upgrade to Team
- Enter your payment information
- Platform fees stop immediately