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So....Fiverr Taking Their 20% Cut On Tips....Let's Talk About That.


izah_moh

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7 hours ago, mobilefreedom said:

How many customers would anyone have if they asked “Hey Mr customer, please pay me $5 for the gig and before you even see the finished product, pay me a tip of $195 please!  

You don't pay a tip until after the order has been completed and accepted. 

Of course people would exploit this!

Have you seen the sort of scammers that use this platform?

You just need to take a look around the forum, and you'll find questions like (and I'm paraphrasing to make their bad auto-translations understandable here) "how can I cheat the system by using auto-refresher?" or "my account was removed for breaking the rules, now I made another and it was also removed". 

Others are discussing how to best use AI to produce cheap content for ignorant buyers so they can pretend to be professional "expart" content writers. 

7 hours ago, mobilefreedom said:

20% from a tip is illegal in most countries! 🤣🤣. It’s abuse! 

You have workers jumping off buildings in Japan because of long working hours, you have slaves being beaten to death for taking too many sips of water at work, you have kids getting beaten up in sweatshops because their fingers have grown too much to make cheap t-shirts even cheaper. 

And you call Fiverrs 20% "abuse"? 

 

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  • 3 weeks later...
On 9/1/2021 at 9:53 PM, newsmike said:

OK, so how do you get aroung the fraud issue that was brought up? There are plenty of scammers here, so how would you propose they prevent that?

But fiverr cut fee from out tips from orders also they get 3% fee from buyers too that's not right

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Of all my jobs I have received tips in 70% of cases. For some jobs they leave me tips of 15, for others they leave me tips of 20, I have even gotten tips of 35 and obviously it bothers me that they touch the tips because I do not commit fraud but as you already know: the just always pay for the sinners.

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3 hours ago, m_talha_mehmood said:

But fiverr cut fee from out tips from orders also they get 3% fee from buyers too that's not right

Then why did you join?  This was all disclosed.  Did you not read it? If you don't like the way they do business you are very free to leave. Complaining is so 9 years old. 

Edited by newsmike
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6 hours ago, dayne1234 said:

I've never agreed that Fiverr should take a 20% cut on tips.

Actually, you did. There was a little box you ticked that stated something along the lines of "I have read and agree with the Terms of Service" which state:

Quote

Please read the Terms of Service carefully before you start to use the Site. By using the Site, opening an account or by clicking to accept or agree to the Terms of Service when this option is made available to you, you accept and agree, on behalf of yourself or on behalf of your employer or any other entity (if applicable), to be bound and abide by these Terms of Service and Fiverr Payment Terms, found here (“Payment Terms”), which is incorporated herein by reference. You further acknowledge, you have read and understood our Privacy Policy, found here. If you do not want to agree to these Terms of Service or the Privacy Policy, you must not access or use the Site. For more detailed policies surrounding the activity and usage on the Site, please access the designated articles herein.

 The part about the 20% is in that "Payment Terms" section.

So, yes, you did agree to it. 

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1 hour ago, imagination7413 said:

Actually, you did. There was a little box you ticked that stated something along the lines of "I have read and agree with the Terms of Service" which state:

 The part about the 20% is in that "Payment Terms" section.

So, yes, you did agree to it. 

You and @newsmike are pretty proud of yourselves I see lol 🙂

Let me re-state it like this...

Yes, it's in their terms and I agreed to it. You're right. But it doesn't mean I have to LIKE it. I should of been more clear.

Then again, I do know it's the price we have to pay to use their platform. Their rules. Not mine.

It is what it is - whether I like it or not. 🤷‍♂️

 

 

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  • 2 weeks later...
On 4/19/2023 at 1:54 AM, dayne1234 said:

You and @newsmike are pretty proud of yourselves I see lol 🙂

Let me re-state it like this...

Yes, it's in their terms and I agreed to it. You're right. But it doesn't mean I have to LIKE it. I should of been more clear.

Then again, I do know it's the price we have to pay to use their platform. Their rules. Not mine.

It is what it is - whether I like it or not. 🤷‍♂️

 

 

But you pay tax on any income, including tips. Why does it bother you that Fiverr takes its portion of the income as well? After all, it's a business - that's what they exist for. And tips - it's income, too

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@olyasr But Fiverr charges customers an initial service fee on the order + another service fee on any additional item (it can be an offer from the seller) purchased after the initial transaction (if that's the case) + an ultimate service fee on tips! I’d wager many Fiverr customers incl. indie/unknown music artists do not tip for that reason. Indie/music artists oftentimes spend extraordinary fees (thousands) to create just one song, and then to video it and properly promote it. Add to that the money (millions) some indies have lost over various scams. Overcharging hurts both providers and clients.

Edited by davidd999
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On 9/1/2021 at 7:28 PM, izah_moh said:

So I've been getting a lot of tips on Fiverr from a lot of my recent orders (not that I'm complaining in any way, thank you universe for blessing me with this positive karma), and ever since the first tip I got I was confused (well, I'm not anymore, but I was then). It reflects on you earnings page as a regular order so the first time I didn't pay proper attention and thought they were just regular orders. Till it was time for payout and I saw my earnings wasn't complete and went back to check and realized the tip had a 20% cut taken from it.

Now this isn't me raising a torch flag at Fiverr, but back when I went to look for resources that explained whether they take cuts on tips or not, I found nothing. Not even posts on it on the forum. (Which, p.s, niiiiice forum update! I haven't been here in a while and was surprise by the new upgrade. I like it very much! 💕)

After I got more tips from more orders I realized that this was just how things were and didn't think to question it. After all, anytime you even breath about Fiverr's commission fees, there's someone ready to rip you limb from limb and scream that "If you don't like it then leave!!!". Which isn't what I'm here to do. I just wanted to see what other sellers think about this.

Do you feel it's perfectly all right to charge 20% for your tips since they provided the platform that facilitated the exchange of your services? Or do you feel no, it's kinda wrong, it's like a restaurant taking a percentage of the tips waiters earned while working there.

I'm going Philly D with this and asking you what you're thoughts on the topic are and where you land on the spectrum? I'd love to hear from you!

(If it turns out that they DID mention this "20% from tips" thing somewhere in the terms of service, and my monkey brain just didn't find it, then kindly just ignore this entire post.)

Many sellers can trick the entire platform by selling their product at a low price and then ask for the tip for the rest of the amount. That’s why fiverr has this rules. I don’t think it’s wrong. 

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Is it just me or does anyone feel that it is a little gross that Fiverr takes a % off our hard-earned tips as well? I thought it was only on the product/service itself. How can we escalate this and make sure this stops? 

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They do this to ensure that they get their cut regardless of any deal that you may strike with the client.

We cannot escalate anything as we are working for Fiverr. We can only make a suggestion/request.

As for your concerns about the cut in general: have you tried setting up your own website and running ads?

If you try, you will probably realize that Fiverr's cut is not too much. 

Edited by sunboatrecords
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19 minutes ago, audreymah said:

Is it just me or does anyone feel that it is a little gross that Fiverr takes a % off our hard-earned tips as well? I thought it was only on the product/service itself. How can we escalate this and make sure this stops? 

They deserve those 20% cut because Fiverr has provided you a free platform where you can showcase your skills and can earn online by selling your services. With those 20% cut, Fiverr takes care of everything such as security, website maintenance etc.. 

Have you ever tried other freelancing websites where they ask you for enrolling for membership or pay them to increase the bid numbers (apologies, I cannot mention the exact names of those platforms).. So far, Fiverr is the best freelancing platform in terms of everything!

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On 4/18/2023 at 8:10 PM, dayne1234 said:

I've never agreed that Fiverr should take a 20% cut on tips.

A tip is for doing good work after the fact (and after paying the initial 20% Fiverr fees).

Just my opinion.

Why Would Fiverr Show that Tip option to his investors and put an extra burden If he can't get his own share?
I think Fiverr shows the Tip option in the best possible way and put in his effort and deserves that 20%.
May be you can say it could be %10. 

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On 4/18/2023 at 6:27 PM, adripoggetti said:

I don’t mind fiverr keeping 20% of tips, but i think it should count on the algorithm, like placing the gig higher on search results if you earn a lot of tips. (or maybe it already does?) 🤔

Tip Comes with Appreciation and increases average selling so It already help in the ranking.

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On 9/1/2021 at 8:53 PM, newsmike said:

Do you really think that people would not immediately start asking for a $200 order to be paid for as a $5 service and a sneaky $195 tip to avoid paying fiverr?

Buyers can't Tip more than the original price of an order. so It doesn't make sense. 
But Yes, It is Fiverr's Right to get its % from Tip as They offer this option for us. 

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The creator gets to set their own price, it's not like they are getting an hourly server wage and needs the tip to make up the difference! If it was a real tip they creator would get it all but you collect 20% of that tip ...that's just being greedy in my books! 

Edited by chourney
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  • chourney changed the title to Why is it customary to give a tip? Is it so you can collect 20% for doing nothing Fiverr?!?!
4 hours ago, chourney said:

If it was a real tip they creator would get it all but you collect 20% of that tip ...that's just being greedy in my books! 

You realize that if tips were not taxed with the 20% fee, people would just manipulate the system, place a $5 order and the rest would be sent as a tip? It would be extremely bad for newcomers, and it would allow scam buyers yet another way to scam people. On top of that, no one requires you to leave a tip as a buyer, nor do sellers expect it. 

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  • 1 month later...

As a buyer, I refuse to tip on this platform. I will go out of my way to find a third party platform we can agree on and tip them there. This whole "shady pricing practice" is garbage excuse to just be taking people's money.

I just made a transaction and I am INCREDIBLY happy to pay the price that was set, it was fair and reasonable.

Now I want to tip and I find out they take the tip? Absolutely not. The man who worked for me deserves every freaking penny of that tip. It wasn't Fiverr that did the work and went above and beyond, it was my freelancer.

Edited by cattelia
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36 minutes ago, cattelia said:

they take the tip

They don't take the tip. They take 20% off every transaction. They do that for tips too, in order to prevent system manipulationb (some people would just place $5 orders and use tips to give the rest to a seller, thus getting a lower price, etc). You already know if there's an opening for people to manipulate the system, they will use it.

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@cattelia, how did you find Fiverr?  Was it an ad, a recommendation from a friend, a blog post ... some other way?  That's down to the work Fiverr does behind the scenes - marketing, SEO, growing theit online and offline presence.  Worth 29% to me.

When you go to the dentist (if you do) or a shop or some other goods or service provider, do you resent the part of any payment you make goes to their landlord in rent?  Do you even think about that?

Of course not. 

Fiverr is not a charity.  It provides services to sellers as well as buyers.  They're not always obvious, but, heck, they're worth every cent in costs sellers don't have to pay for because Fiverr's doing it for them. 

Sellers don't work *for* Fiverr - they work for themselves.  Fiverr provides opportunities for sellers to make some cash doing what they're good at (hopefully!), rather than all the behind the scenes stuff that's just a distraction

 

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