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Etsy Free Shipping Guarantee: The $35 Rule, Smart Pricing and the Catches

Etsy's free shipping guarantee automatically gives US buyers free shipping on any single item of $35 or more, or any order totalling $35 or more, from your shop. You still pay the carrier, so Etsy's advice is to build shipping into your item prices, and its smart pricing tool can do that for you in bulk.

Here's the catch. It only changes what US buyers see. A US order can still miss free shipping if the buyer hasn't set their Etsy region to the US and their currency to US dollars. And if an item's too big or heavy for the cheapest mail class, the free offer moves up to a service that fits, and you're still the one paying the carrier.

These rules come from Etsy's US help page as of October 2026, and the $35 threshold is in US dollars. Sellers in other countries may see local versions.

Three ways Etsy lets you offer free shipping

  • The free shipping guarantee, which this page is mostly about.
  • The smart pricing tool, which raises prices to recover shipping costs.
  • Shipping profiles, where you set free shipping yourself.

Whichever you use, you can offer free shipping only to buyers in your own country or to buyers worldwide. Etsy's example of pricing it in: a $35 item with a $5 flat-rate shipping charge becomes a $40 item with $0 shipping, so the buyer still pays $40 in total. For international buyers, a $35 item with $5 domestic and $10 international shipping becomes $40 with $5 international shipping, so an international buyer still pays $45.

How the $35 rule works

The guarantee applies to US buyers who buy an individual item of $35 or more from your shop, or place an order with a total of $35 or more. It also applies to new listings over $35 whatever your shop currency, and it covers domestic and international sellers shipping to US buyers. Shipping prices for buyers in other countries don't change: they still come from your shipping profiles and listings.

If a buyer chooses a shipping upgrade, they're charged for it even when the order qualifies for free shipping.

How to turn the guarantee on

  1. In Shop Manager, go to Settings, then Shipping settings.
  2. Open the Free shipping guarantee tab.
  3. Click Get started, then Next.
  4. Click Set free shipping now.

In the Etsy Seller app, tap More, then Shipping, then Next, then Set free shipping now.

Why a US order didn't get free shipping

The most common reason is on the buyer's side. As well as being in the US, they need their Etsy region set to the US and their currency preference set to US dollars. If either is different, the guarantee doesn't apply.

The second catch is size. A free shipping offer covers the lowest-cost mail class available, but if an order goes over the weight or dimensions that class allows, Etsy switches to a service that can take it. Etsy's own example is USPS Priority being offered free when an order is too big for First-Class. Keep your item dimensions accurate, because Etsy warns the carrier may charge you a shipping label adjustment fee if they're wrong.

What the smart pricing tool rewrites

The smart pricing tool bulk-edits prices on your items over $35 to recover shipping costs. You get it if your shop's located in the US, you don't already offer free shipping on items of $35 or more, and you've set up the guarantee. Here's the path Etsy gives:

  1. On the Free shipping guarantee tab, click Start repricing.
  2. Choose Build in shipping prices.
  3. Review and edit, then Edit item prices.
  4. Click Apply.
  5. Click Publish, and confirm Publish again.

New prices can take a few minutes to show. The built-in shipping price raises each item by the average amount US buyers would pay at checkout on Etsy, rounded up to the nearest dollar. The new prices are the same for every shopper, including people outside the US, and you still pay for shipping.

It also changes your shipping profiles:

  • US standard shipping drops to zero for profiles with adjusted items.
  • Fixed-price shipping to other countries is cut by the same amount as the US standard shipping price.
  • A profile with items both over and under $35 is split, and the $35-and-over items move to a new profile with the same name followed by (Reduced shipping).
  • Variation prices move by the same amount as the base price. Etsy's example: if a silver ring goes up by $5, the gold variation also goes up by $5.

Here's the one people miss: those price changes stay even if you turn the guarantee off later.

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Recovering costs without the smart pricing tool

With fixed shipping, you can build in the shipping prices you've set for each listing, or keep your current prices, and the adjustment amount is up to you. Sellers in the US and Canada on calculated shipping get four choices:

Cost-recovery option (calculated shipping, US and Canada sellers)How the item price is raised
Closest buyerBy the cost to ship to your own postal code
Average buyer distanceBy the cost to ship the median distance of your US orders in the last year, or similar items if you don't have orders
Farthest buyerBy the cost to ship to your farthest buyers
Keep current pricesNo change

If this is on your list, Etsy Shipping Labels is the next thing to read.

Free shipping outside the US

For free shipping beyond the guarantee, outside the US or on all orders, use a free shipping profile. In Shop Manager, go to Settings, then Shipping settings, edit a profile, pick I'll enter fixed prices manually for specific countries, choose Free shipping from the What you'll charge dropdown and save the profile. To apply it, go to Listings, select the items, open Editing options, choose Change shipping profile, pick the free profile and click Apply.

Sellers outside the US and India can set a different listing price for domestic and international orders. If you do, add domestic and global pricing to every other listing linked to that free shipping profile.

Curious about the neighbouring question? Try my Etsy Payments breakdown.

My verdict on the free shipping guarantee

If you sell to US buyers, I'd switch it on and price the shipping into your items, because Etsy applies it automatically at $35 and you're paying the carrier either way. Before you run the smart pricing tool, check the new prices for buyers outside the US, since their prices rise too and the changes stay if you change your mind. Measure your parcels accurately so a free upgrade doesn't catch you out. For the wider shop setup, see how to sell on Etsy step by step, and to keep track of what each sale costs you, here's how much Etsy takes.

Frequently asked questions

What is the Etsy free shipping guarantee?

It automatically gives US buyers free shipping on an individual item of $35 or more, or an order totalling $35 or more, from your shop.

Why didn't a US buyer get free shipping on Etsy?

The buyer also needs their Etsy region set to the US and their currency set to US dollars. Shipping upgrades they choose are still charged.

Does the free shipping guarantee change prices for other countries?

No. Shipping prices for buyers in other countries still come from your shipping profiles and listings. But if you use the smart pricing tool, the new item prices apply to all shoppers.

Who can use Etsy's smart pricing tool?

Shops located in the US that don't already offer free shipping on items of $35 or more and have set up the free shipping guarantee.

Do smart pricing changes reverse if I turn off the guarantee?

No. Etsy says the price changes stay even if you turn off the free shipping guarantee.

Published and maintained by the Lilach Bullock team, covering marketing, AI and business growth.
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