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Even TIPS has commissions?


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This has been discussed so many times it isn’t hard to find the answer, but since here we are again, please realize that your options are most likely: Commission on Tips or No Tips. Which would you prefer?

Unethical sellers have a tendency to ruin this sort of thing for everyone. If Fiverr did not charge a commission on tips, some sellers would try to make a deal with buyer. For example, a buyer might PM a seller about a logo gig that costs $100. The seller could suggest that the buyer order the gig for $5 and promise to deliver a heavily watermarked .PNG version. If the buyer likes the logo, the seller could suggest that the buyer will pay a $95 commission-free tip in turn for receiving a non-watermarked logo and source files.

Fiverr would only earn $1 on a fake $5 order that should yield $20 commission on a real $100 order. Fiverr would go bankrupt over time and everyone loses. So, due to the few unethical sellers that would do that, Fiverr has to charge commission on orders and tips so they get paid enough to run the site.

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