Hi I am a new host and cannot quite understand service fees, so any help would be useful!
Seems that on a booking for 4 nights which came to £460 we had an additional £74 in service fees. I think that’s 16%, is that about right? after reading that hosts pay 3%. I assume they are adding VAT somewhere and here in UK it’s 20%. Also Why do some hosts pay more than others?
The answer is so complicated now.
Airbnb probably does the best explaining it.
https://www.airbnb.com/help/article/1857/what-is-the-airbnb-service-fee
They now have 2 options: host/guest split and one that’s all included in the host price.
Most of us use the host/guest split you’re referring to. Hosts pay 3% and guests pay something between 10-15% (typically). Hosts of certain (usually upscale or strict cancellation) properties pay a 5% fee.
That article covers VAT. I’m in the US, so not much help on that point.
Thanks Allison
Yes, maybe we are a bit more pricey than some in the area, so that could put us in the 5% bracket.
Andrew