Payment platform comparison · Reviewed October 2026

Dodo Payments vs Lemon Squeezy

Dodo Payments vs Lemon Squeezy as of October 2026: merchant of record fees, surcharges, refunds and chargebacks, payouts, billing models, and product rules.

The short answer

Dodo Payments vs Lemon Squeezy compares two merchants of record for SaaS and digital products. As of October 2026, Dodo's standard rate is 4% + 40¢ for domestic US card transactions, with +1.5% for international payments and +0.5% for subscriptions; Lemon Squeezy charges 5% + 50¢ with +1.5% international, +1.5% PayPal, and +0.5% subscription surcharges. Dodo also charges per refund ($1) and per chargeback ($30), and its payouts run twice a month by default with a $100 default threshold. Lemon Squeezy pays out twice a month with a $50 minimum and is owned by Stripe, which it says is moving users toward Stripe Managed Payments.

How they compare

CriteriaDodo PaymentsLemon Squeezy
Pricing (as of October 2026)4% + 40¢ per domestic US card or wallet transaction; +1.5% international; +0.5% subscriptions and usage billing; +3% PayPal or BNPL5% + 50¢ per transaction; +1.5% international; +1.5% PayPal; +0.5% subscriptions
Refunds and chargebacks$1 per refund; $30 per chargeback. Dodo's docs say chargebacks remain your financial responsibilityNo separate refund or chargeback fee on its fees page
Merchant of record and taxDodo is the legal seller and calculates, collects, files, and remits sales taxLemon Squeezy is the merchant of record and handles sales tax
PayoutsBi-monthly by default (18th and 4th); $100 default threshold, lowest $50; $5 fee on payouts under $1,000 per its docsCreated on the 1st and 15th after a 13-day hold; $50 minimum; free to US bank accounts, 1% outside the US
Billing modelsSubscriptions with add-ons, usage metering, credits, and one-time chargesOne-time sales and weekly, monthly, or yearly subscriptions
Checkout and deliveryEmbeddable checkout in 80+ currencies; license key generationHosted checkout and overlays; license keys, signed downloads, and affiliates
What you can sellSaaS, AI, digital goods, templates, plugins, and apps; no physical goods, in-person services, or consultingDigital goods including software, SaaS, ebooks, and design assets; no physical goods or services

Fees and features change. Confirm current pricing on each provider's site, and estimate your own costs with the payment processor fee calculator.

When Dodo Payments fits

Dodo Payments fits SaaS and AI products, including teams outside the US, that want a merchant of record with a lower base rate than Lemon Squeezy, usage and credit billing, and local payout methods. Budget for its per-refund and per-chargeback fees and the payout fee on smaller payouts, and confirm payout terms with Dodo because its pricing table and FAQ describe payout fees differently.

When Lemon Squeezy fits

Lemon Squeezy fits sellers who prefer its established storefront features, affiliate tools, and $50 payout minimum, and who are comfortable with its direction toward Stripe Managed Payments following Stripe's 2024 acquisition.

Publishing revenue from either platform

RevenueBug supports both. Dodo Payments connects with an API key configured with write access disabled; RevenueBug imports pre-tax payment principal, successful refunds, and accepted or lost disputes for a selected brand and converts supported currencies to USD. Lemon Squeezy connects with a full-access API key used only for read requests, scoped to a store you select, and its adapter cannot classify disputes. RevenueBug's headline figure is trailing 30-day revenue calculated before provider fees, so a provider's fee level changes what you keep, not the revenue shown on your profile.

Frequently asked questions

Is Dodo Payments cheaper than Lemon Squeezy?

On base rate, yes: as of October 2026, Dodo lists 4% + 40¢ for domestic US cards and Lemon Squeezy lists 5% + 50¢. Dodo charges $1 per refund and $30 per chargeback, so compare total cost using your own refund and dispute rates.

Are both merchants of record?

Yes. Both act as the legal seller and handle sales tax. You remain responsible for your own income and corporate taxes.

Who pays for chargebacks with Dodo Payments?

Dodo's documentation says chargebacks stay your responsibility with a merchant of record: the disputed amount and a dispute fee are deducted from your balance.

How often do Dodo Payments and Lemon Squeezy pay out?

Both pay twice a month by default. Dodo uses a $100 default threshold (adjustable to $50); Lemon Squeezy uses a $50 minimum after a 13-day hold.

Can I sell coaching or consulting on either platform?

No. Dodo's acceptance policy excludes consulting and custom human work, and Lemon Squeezy prohibits services.

Can I connect Dodo Payments or Lemon Squeezy to RevenueBug?

Yes. Both are supported. Dodo verification covers the selected brand; Lemon Squeezy verification covers the selected store.

Sources and further reading

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