Newsletter Creator Revenue Calculator

How much does Substack take from paid subscriptions?

Substack charges a 10% platform fee on all subscription revenue. Additionally, Stripe payment processing fees apply (typically 2.9% + $0.30 per transaction for most countries). This means creators keep roughly 87% of each subscription after all fees on Substack. For a $10/month subscription, you would receive approximately $8.71 after Substack's 10% cut ($1.00) and Stripe fees ($0.29 + $0.30).

How do ConvertKit and Beehiiv fees compare to Substack?

ConvertKit charges 0% platform fee on the Creator plan (free) or 3.5% on the Creator Pro plan ($59/month). Stripe fees still apply. Beehiiv charges 0% platform fee across all paid plans - they use a flat subscription model instead of taking a commission. For growing newsletters with significant subscription revenue, Beehiiv and ConvertKit (free plan) are significantly cheaper than Substack, saving creators 10% of their revenue.

How is the effective take-home rate calculated?

The effective take-home rate is calculated as: (Monthly Net Revenue / Monthly Gross Revenue) × 100. It represents the percentage of your gross subscription revenue that you actually receive after deducting both the platform commission and Stripe processing fees. This rate varies by platform and subscription price - higher-priced subscriptions have a slightly higher take-home rate because the $0.30 fixed Stripe fee becomes a smaller percentage of the total transaction.

What is a good free-to-paid conversion rate?

Industry benchmarks for free-to-paid conversion rates range from 3-10%. Niche B2B newsletters often achieve 5-10% conversion, while general interest newsletters typically see 2-5%. Factors that improve conversion include: consistent high-quality content, a clear value proposition for paid tiers, exclusive paid-only content, community access, and strategic pricing. Improving your conversion rate by even 1% can significantly boost revenue.

Does Beehiiv take a percentage of subscription revenue?

No, Beehiiv does not take any commission on subscription revenue. They use a flat subscription pricing model for their platform (starting at $42/month for the Launch plan, $84/month for the Grow plan). You only pay Stripe processing fees (2.9% + $0.30 per transaction) on your subscription revenue. This makes Beehiiv one of the most creator-friendly platforms, especially for newsletters with high subscription revenue where the 10% Substack fee would be substantial.

What is the best monthly subscription price for a newsletter?

The most common price points for newsletter subscriptions are $8, $10, $12, and $15 per month. Pricing psychology suggests $10 and $12 are sweet spots - affordable enough to convert free subscribers but high enough to generate meaningful revenue. Annual subscriptions typically offer a 20-30% discount (e.g., $100/year instead of $120 at $10/month). The best price depends on your niche, content depth, and audience willingness to pay.

How many paid subscribers do I need for a full-time income?

At a $10/month price point on Substack, you would need approximately 1,100 paid subscribers to earn roughly $100,000/year (after Substack's 10% fee and Stripe processing fees). At $15/month, you would need about 730 subscribers. On Beehiiv (0% platform fee), you would need about 1,000 paid subscribers at $10/month for $100,000/year since there is no commission. These numbers assume the subscribers pay monthly; annual subscribers reduce churn but may pay a discounted rate.

What Stripe fees apply to newsletter subscriptions?

Stripe charges 2.9% + $0.30 per successful transaction for US-issued credit and debit cards. For international cards, an additional 1.5% fee applies (total ~4.4% + $0.30). For a $10/month US subscription, Stripe deducts approximately $0.59 per transaction. For annual subscriptions at $100/year, Stripe deducts approximately $3.20. These fees apply regardless of which newsletter platform you use (Substack, ConvertKit, or Beehiiv).