Gumroad vs Whop: fees, tax and payouts
Gumroad and Whop both let you sell digital products with no monthly charge, but they price a sale in opposite ways. Gumroad takes 10% + $0.50 plus card processing and, as merchant of record, collects and remits sales tax and VAT. Whop charges card processing of 2.7% + $0.30 and leaves tax on direct sales with you unless you add its 2% tax service. Disclosure: IImagined sells its own membership through Whop, so weigh this page with that in mind.
Reviewed against 35 sources. Prices, models, policies and terms change, so check the linked pages before you buy, build, publish or trade.
The short answer
Whop is cheaper on every sale worked out here: a $50 sale on a US card costs $1.65 in fees on Whop and $7.25 on Gumroad. What Gumroad's higher fee buys is tax. It resells your product as merchant of record and remits sales tax and VAT, while Whop treats you as the supplier and charges 2% to remit in the United States, the EU and the UK.
Choose Gumroad if
- You want tax handled with nothing to set up. Gumroad has been merchant of record on every sale since 1 January 2025.
- You sell downloads to buyers in many countries. Whop's remit option stops at the United States, the EU and the UK.
- A refund costs you less. Gumroad returns its own fee on a refunded sale and keeps only the card processing part.
Choose Whop if
- Fees decide it. On a $200 sale Whop's card fee is $5.70 and Gumroad's fees are $26.60.
- You sell a membership, course or community. Chat, Forums, Events and Courses are apps you attach to a product.
- You want money sooner. Sale funds can be withdrawn after 1 to 4 business days; Gumroad holds a sale 7 days.
- You sell access to an AI tool. Gumroad prohibits AI services fulfilled outside Gumroad.
The facts, side by side
Each row shows the date it was checked and numbered links to the pages it was read from.
marks the side the facts favour on that row. Rows without one are a draw or a matter of fit.
Swipe the table sideways to see Whop.
| Compared | GumroadMerchant of record storefront | WhopPayments, apps and marketplace |
|---|---|---|
| What it is167222030 | A storefront and a marketplace, Discover. Gumroad resells your digital products to the buyer. | Checkout links, a store page, a marketplace also called Discover, and apps that deliver what you sell. |
| Merchant of record11621 | Advantage: Gumroad, on every sale since 1 January 2025. It is your reseller and the supplier for indirect tax. | Whop, for card network rules and payment settlement only. You are the supplier for VAT, sales tax and consumer protection. |
| Sales tax and VAT1420 | Advantage: Collected and remitted by Gumroad wherever it has a tax obligation. Seller tax settings are switched off. | Direct sales: Whop collects and remits in the United States, the EU and the UK, or calculates tax for you to remit, each for 2% per transaction, or leaves it to you. Discover sales: Whop handles tax where it is registered. |
| Monthly charge12219 | $0. Fees come out of each sale. | $0. Fees come out of each transaction and payout. |
| When a sale can be paid out32524 | After a 7-day hold, on your weekly payout day (Thursday for US bank accounts). Bank transfers then take 2 to 7 business days. | Advantage: Funds can be withdrawn 1 to 4 business days after the sale. Standard payouts take up to 5 business days; instant methods a few minutes. |
| Payout minimum323 | $100 on weekly, monthly and quarterly schedules. $1 on instant payouts, which are for eligible US creators. | Advantage: $10 minimum withdrawal, where one applies |
| Holds on a new account3232621 | No payouts until a risk review passes: 1 to 3 weeks, typically after 3 to 4 sales and a balance over $100. | Withdrawals need identity verification. Part of each sale can sit in a rolling reserve; the Seller Terms cap a hold at 180 days. |
| Downloads8930 | Digital product and e-book types. Files up to 20 GB each on a paid product; 250 MB in total on a free one. | The Files app shares templates, e-books and digital assets with buyers of a product. |
| Memberships1028 | Membership product with tiers, a free trial of a week or a month, and fixed-length options. | Recurring price billed weekly, monthly or yearly, with an optional waitlist and auto-expiring access. |
| Courses and communities81130 | Course or tutorial product with pages of files and streamed video. One plain-text chat per product; Discord and Circle invites by integration. | Advantage: Courses app with video lessons, quizzes and progress tracking, plus Chat, Forums and Events apps. |
| Software121431 | Licence keys with a verification API and multi-seat licences. AI services fulfilled outside Gumroad are prohibited. | Advantage: An access check by API for web apps, or licence keys that can be bound to one machine. |
| Notable things you cannot sell141533 | Physical products, adult content, event tickets, resold or private label rights products, services fulfilled outside Gumroad | Adult content, prop firms, cryptocurrencies and NFTs, legal services, therapy, and offers advertised as lifetime access |
Where each one is stronger
Gumroad Merchant of record storefront
Tax is part of the fee
Gumroad has been merchant of record on all sales since 1 January 2025 and remits sales tax, VAT and GST wherever it has an obligation. On Whop that job is a 2% add-on covering the United States, the EU and the UK. 1420
Its own fee comes back on a refund
On a refund Gumroad returns its 10% + $0.50 and keeps only the card processing portion. Whop's refund guide has you pay back the full amount although fees reduced what you received. 2527
The rate halves in a big month
Once paid sales in a calendar month reach $20,000, new direct sales that month are charged 5% + $0.50. It applies automatically and resets on the 1st. 2
Whop Payments, apps and marketplace
A lower fee at every sale size
Whop's fees page lists card processing of 2.7% + $0.30 on a domestic card and no platform percentage: $5.70 on a $200 sale against $26.60 on Gumroad. With every optional service enabled and tax collected it lists 6% + $0.30, or $12.30. 192
Member apps are part of the product
Chat, Forums, Events, Files and a Courses app with quizzes and progress tracking attach to a product. Gumroad's built-in community is one plain-text chat per product. 3011
Faster access to money
Sale funds are available to withdraw in 1 to 4 business days, and Whop pays out to more than 200 countries. Gumroad pays weekly after a 7-day hold, from a $100 balance. 25233
Which to pick, by job
A $10 to $30 template or e-book sold to buyers in many countries
A paid community or membership with chat, lessons and live sessions
Pick Whop
Chat, Forums, Events and Courses attach to a Whop product with a weekly, monthly or yearly price; Gumroad's community is one plain-text chat per product. The fee repeats on each renewal: $1.65 on a $50 charge on Whop, plus 0.5% if its billing add-on is enabled, and $7.25 on Gumroad. 302811191
A $200 course with video lessons
Access to a web app or AI tool you host yourself
You need the money from a sale within days
What it costs
US dollars, for a US seller and a US card, read from each vendor's own pages. Each example applies the published rate to the listed price before any sales tax: arithmetic, not a quote. Gumroad adds card processing of 2.9% + $0.30 to its own fee; Whop prices tax handling, billing and payouts separately.
marks the side the facts favour on that row. Rows without one are a draw or a matter of fit.
Swipe the table sideways to see Whop.
| Compared | GumroadMerchant of record storefront | WhopPayments, apps and marketplace |
|---|---|---|
| Fee on a direct sale121922 | 10% + $0.50, plus card processing of 2.9% + $0.30. No monthly charge. | Advantage: 2.7% + $0.30 card processing on a domestic card. No monthly charge, and no platform percentage is listed. |
| Fee on a $10 sale219 | $1.00 + $0.50 + $0.29 + $0.30 = $2.09. That leaves $7.91. | Advantage: $0.27 + $0.30 = $0.57. That leaves $9.43. |
| Fee on a $50 sale219 | $5.00 + $0.50 + $1.45 + $0.30 = $7.25. That leaves $42.75. | Advantage: $1.35 + $0.30 = $1.65. That leaves $48.35. |
| Fee on a $200 sale219 | $20.00 + $0.50 + $5.80 + $0.30 = $26.60. That leaves $173.40. | Advantage: $5.40 + $0.30 = $5.70. That leaves $194.30. |
| Tax handling11920 | Included in the fee above | 2% per transaction for either managed option, charged when tax is collected. With it the $50 sale costs $2.35 + $0.30 = $2.65. |
| Marketplace (Discover) sale1219 | Flat 30% with card processing included: $15.00 on a $50 sale | Not published. The fees page lists no separate rate for Discover sales. |
| Surcharges and add-ons219 | None listed beyond the two fees above. PayPal sales carry PayPal's fees. | +1.5% for an international card, +1% for currency conversion. When enabled: billing 0.5%, orchestration 0.8%. Per transaction: 3DS $0.03, Radar $0.07. Financing: 15%. |
| Payout fees319 | Bank payout: no fee listed. PayPal payout: 2%. Instant payout for US creators: 3%, up to $10,000. | Next-day ACH: $2.50. Instant bank deposit: 4% + $2.50. Crypto: 5% + $1.00. Venmo: 5% + $2.50. Bank wire: $23.00. |
| Refunds and disputes262719 | Advantage: Gumroad returns its own fee on a refunded sale and keeps the card processing part. No dispute fee is listed. | You refund the full amount the buyer paid, although fees reduced what you received. Each dispute costs $15.00. |
| High-volume rate219 | 5% + $0.50 on new direct sales once paid sales in a calendar month reach $20,000 | No volume tier is listed. Enterprise customers book a call with Whop's sales team. |
What changed recently
Whop last updated its Terms of Service. 22
Gumroad last revised its list of prohibited products and activities. 15
Gumroad let buyers pay in their own currency, with local methods such as UPI, iDEAL and Pix. 17
Whop last updated its Seller Terms, which limit its merchant of record role to card network rules and payment settlement. 21
Whop launched Whop Tax Service, with its two managed options at 2% per transaction. 34
Whop began collecting and remitting sales tax on applicable Discover sales. 20
Whop announced card processing of 2.7% + 30 cents. 35
Gumroad became merchant of record and moved to 10% + $0.50 on direct sales plus card fees, with a flat 30% on Discover. 18
Questions people ask
Which is cheaper, Gumroad or Whop?
Whop, on every sale size worked out here. For a US seller and a US card, Gumroad's fees are $2.09 on a $10 sale, $7.25 on $50 and $26.60 on $200; Whop's card fee is $0.57, $1.65 and $5.70. Add Whop's 2% tax service where it remits and the $50 sale costs $2.65. An international card adds 1.5% on Whop and currency conversion 1%. 21920
Is Whop a merchant of record like Gumroad?
Not in the same sense. Gumroad's terms appoint it as your reseller and merchant of record, treated as the supplier for indirect tax. Whop's Seller Terms make it merchant of record for card network rules and payment settlement only, and name you as the supplier for VAT, sales tax and consumer protection. 1621
Do I have to collect sales tax or VAT myself?
On Gumroad, no: it collects and remits tax where it has an obligation. On Whop it is your choice for direct sales: Whop collects and remits in the United States, the EU and the UK (its Seller Terms currently name 18 US states), calculates tax for you to remit, or stays out of it. The two managed options cost 2% per transaction. None of this is tax advice. 142021
How long do Gumroad and Whop take to pay out?
Whop says sale funds are available to withdraw in 1 to 4 business days, and a standard payout takes up to 5 business days. Gumroad pays weekly on a weekday set by your bank's country, Thursday for US accounts, once a sale has sat 7 days and your balance is $100. Eligible US creators can take instant payouts for a 3% fee. A new Gumroad account is paid nothing until a review of 1 to 3 weeks passes; Whop can hold a reserve. 2524326
What can I sell on Gumroad and Whop?
Both sell downloads, memberships, courses and software licences. Gumroad's product types are digital product, course or tutorial, e-book, membership, bundle and services such as commissions and calls, priced up to $5,000. On Whop you attach apps such as Files, Courses, Chat, Forums and Events to a product, and checkout links are capped at $2,500 until you apply for more. Both ban adult content. 81314302933
What does a marketplace sale cost on each?
Gumroad charges a flat 30% when a new customer finds you through Discover, card processing included: $15.00 on a $50 sale. Whop does not publish a separate rate for Discover sales on its fees page. It does publish a default affiliate commission: any affiliate in its network can promote a listed product for 30% unless you change the rate. 121932
Sources
Each page was read on the date beside it. The links open the current version, which may have changed since.
- 1Gumroad: pricing
- 2Gumroad Help Center: Gumroad's fees
- 3Gumroad Help Center: getting paid by Gumroad
- 4Gumroad Help Center: sales tax on Gumroad
- 5Gumroad Help Center: issuing a refund
- 6Gumroad Help Center: chargebacks on Gumroad
- 7Gumroad Help Center: Gumroad Discover
- 8Gumroad Help Center: adding a product
- 9Gumroad Help Center: file size limits
- 10Gumroad Help Center: selling memberships and subscriptions
- 11Gumroad Help Center: Gumroad Community
- 12Gumroad Help Center: license keys
- 13Gumroad Help Center: sell digital services
- 14Gumroad Help Center: things not allowed on Gumroad
- 15Gumroad: Prohibited Products and Activities
- 16Gumroad: Terms of Service
- 17Gumroad blog: buyers can now pay in their own currency
- 18Gumroad blog: Gumroad is becoming a Merchant of Record
- 19Whop Docs: fees
- 20Whop Docs: taxes
- 21Whop: Seller Terms
- 22Whop: Terms of Service
- 23Whop Docs: set up payouts
- 24Whop Docs: payout methods
- 25Whop Docs: troubleshoot payouts
- 26Whop Docs: reserves
- 27Whop Docs: refunds
- 28Whop Docs: set up pricing
- 29Whop Docs: access higher checkout links
- 30Whop Docs: consumer apps
- 31Whop Docs: SaaS
- 32Whop Docs: set up global affiliates
- 33Whop Docs: prohibited businesses
- 34Whop blog: introducing Whop Tax Service
- 35Whop blog: built for the future of payments
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