Hi I am new to Shopify need suggestions, I am developing a Shopify public app, my app have some messaging features for which store will have to fund my app wallet , WILL SHOPIFY TAKE 15-20 % COMISSION IN THAT PAYMENT ALSO, ? suggest me the best solution cant afford so much commission amount because wallet fund will not be my earning
Topic summary
A developer is building a Shopify public app with messaging features that require merchants to fund an in-app wallet. Their main concern is whether Shopify will charge 15-20% commission on these wallet deposits, which aren’t actual revenue for the developer.
Key clarifications provided:
- Shopify’s commission (0% up to $1M, then 15%) applies to app subscription fees and usage charges—not wallet funding used for app functionality
- Payment processing fees (2-4%) from providers like Stripe or PayPal are unavoidable regardless of approach
Suggested solutions to minimize fees:
- External payment method: Process wallet funding outside Shopify’s Billing API (requires compliance verification)
- In-app billing documentation: Clearly classify wallet deposits as functional, not revenue-generating
- Refundable wallet system: Structure deposits as refundable to potentially avoid earnings classification
Recommendation: Contact Shopify Partner Support directly to confirm the proper classification for this specific wallet funding scenario and avoid future complications.
Hi @user883
Welcome to Shopify development—it’s an exciting space to be in. Let me help clarify your concern about commissions and offer some possible solutions.
Shopify does not typically take a commission on wallet funding or other non-transactional payments that aren’t directly tied to sales through Shopify’s platform. However, there are important nuances to consider:
1. Shopify Commission on App Revenue
Shopify takes a 0% commission for app revenue up to $1M annually, and 15% for earnings beyond $1M (after costs). However, this applies to app subscription fees or usage charges—not wallet funding.
If the wallet funding is purely for functionality in your app and doesn’t involve processing payments directly through Shopify (e.g., via their Billing API), Shopify shouldn’t deduct a percentage.
2. Payment Processing Fees
If you’re collecting wallet funds via Shopify Payments, third-party gateways like Stripe, or PayPal, payment processing fees will still apply. These fees are unavoidable and typically range between 2% and 4%, depending on the payment provider and your location.
3. Suggestions to Avoid Excessive Fees
Here’s what you can do to minimize or bypass these fees:
Option A: Use an External Payment Method
Allow merchants to fund wallets via an external payment processor outside Shopify’s ecosystem (e.g., Stripe, PayPal, or direct bank transfers). You can then integrate the wallet balance with your app using APIs. This ensures Shopify doesn’t touch the funds at all. Keep in mind that some countries may have regulations around this, so ensure compliance.
Option B: In-App Billing (If Necessary)
If wallet funding must go through Shopify’s Billing API:
- Clearly document that the wallet balance is not your revenue but part of the app’s functionality.
- Structure your charges in a way that Shopify doesn’t perceive them as direct earnings. Shopify support may guide you on whether this will help reduce commissions.
Option C: Create a Refundable Wallet System
If the wallet system primarily involves refundable deposits (and not permanent charges), you may be able to classify this as something other than earnings. Discuss this with Shopify support for precise guidance.
4. Pro Tip
Always communicate with Shopify’s partner support team if you’re unsure. They’re super helpful and will guide you on specific scenarios like this. Misclassifying your wallet transactions could cause unnecessary complications.
If you need help setting up external payment integrations or navigating Shopify APIs, feel free to ask, and I’ll do my best to guide you through it!
Best regards,
Daisy