Payments processed through Hostaway may incur several fees. This article explains each fee, how it is calculated, and how it appears in Stripe.
Fees
- 1% Application fee: Hostaway's 1% fee on the processed amount (Total price). It is borne by the host.
- Guest Service fee: the 1.8% fee that applies only to US listings and only to reservations made through the Hostaway Booking Website, including Google Vacation Rental bookings that are finalized through the Booking Website. It is calculated on the base rate and reservation fees (such as the cleaning fee), excluding taxes.
- Host Service Fee: the 0.5% fee that applies only to listings outside the US on Booking Website Pro (BWP). Like the Guest Service fee, it is calculated on the base rate and reservation fees (such as the cleaning fee). It does not apply to Standard Booking Website listings.
- Payment processing fees: charged by the payment processor you use (Stripe, Authorize.net, or Braintree).
The fees at a glance
- 1% Application fee: Hostaway's 1% fee on the processed amount (Total price).
- Guest Service fee: the 1.8% fee that applies only to US listings and only to website reservations, calculated on the base rate and reservation fees (such as the cleaning fee).
- Host Service Fee: the 0.5% fee that applies only to listings outside the US on Booking Website Pro (BWP), calculated on the base rate and reservation fees (such as the cleaning fee).
- Payment processing fees (Stripe, Authorize.net and Braintree).
Eligibility
Every payment processed through Hostaway carries the 1% Application fee. A Booking Website reservation can also carry one service fee: the 1.8% Guest Service fee for US listings, or the 0.5% Host Service Fee for listings outside the US on Booking Website Pro. The two service fees never apply to the same reservation, so a reservation is charged either 1% + 1.8% or 1% + 0.5%.
United States
- Guest Service fee (1.8%): applies to any Booking Website listing, Standard or Booking Website Pro (BWP), and to Google Vacation Rental bookings.
- Host Service Fee: not applied.
Rest of World (ROW)
- Host Service Fee (0.5%): applies only to Booking Website Pro (BWP) listings, and only when the reservation comes through Booking Website Pro, including Google Vacation Rental bookings.
- Guest Service Fee: not applied.
- Standard Booking Website: no additional fee, including Google Vacation Rental bookings.
1% Application fee
Hostaway charges a 1% Application fee on the processed amount (Total price). It applies to all payments processed through Hostaway and is paid by the host. With Stripe, it is deducted from the host's payout. With Authorize.net or Braintree, Hostaway invoices it separately.
For example:
| Item | Amount |
|---|---|
| Base Rate | $70.00 |
| Cleaning Fee | $10.00 |
| Taxes | $20.00 |
| Total Reservation | $100.00 |
| 1% Application fee | $1.00 |
Guest Service fee
The Guest Service fee is a 1.8% charge applied to the base rate and reservation fees (such as the cleaning fee), excluding taxes, for reservations made through the Hostaway Booking Website. It applies only to US listings and only to website reservations, including Google Vacation Rental bookings that are finalized through the Booking Website. It does not apply to reservations from other channels (for example Airbnb or Vrbo) or to manually created bookings.
Example: Guest Service fee and 1% Application fee on a US website booking
A US website booking with the following charges:
- Base rate: $70
- Cleaning fee: $20
- Taxes: $10
The Guest Service fee is 1.8% of the base rate and reservation fees, excluding taxes, so it is calculated on $70 + $20 = $90.
Guest Service fee: 1.8% of $90 = $1.62
The guest-facing breakdown is then:
- Base rate: $70
- Cleaning fee: $20
- Guest Service fee: $1.62
- Taxes: $10
- Total: $101.62
The 1% Application fee applies to the total price and is paid by the host. With Stripe, it is deducted from the payout. With Authorize.net or Braintree, Hostaway invoices it separately.
1% Application fee: 1% of $101.62 = $1.02
Host Service Fee
The Host Service Fee is a 0.5% fee that applies only to listings outside the US on Booking Website Pro (BWP), and only when the reservation comes through Booking Website Pro. Like the Guest Service fee, it is calculated on the base rate and reservation fees (such as the cleaning fee). It does not apply to US listings or to Standard Booking Website listings.
Payment processing fees
Payment processing fees are charged by the payment processor you use (Stripe, Authorize.net or Braintree).
| Provider | Standard Online Card Rate | Monthly Fee |
| Stripe* | 2.9% + $0.30 | $0 |
| Authorize.net* | 2.9% + $0.30 (or $0.10/tx + batch) | $25 |
| Braintree* | 2.59% + $0.49 | $0 |
* Example average costs. Payment processor pricing varies by region and contract and is not set by Hostaway, so use these figures as an indication only. For your exact rates, contact your payment processor.
How does it work?
The difference is that, with the Guest Service fee, you choose whether the fee is added to the guest's price. You always pay the fee to Hostaway: with Stripe, it is deducted from your payout, and with Authorize.net or Braintree, Hostaway invoices it with your Hostaway subscription. The setting only decides whether the fee is shown in the guest's price breakdown on the Booking Website. By default, it is added to the guest's price, so the guest pays a higher total. To leave it out of the guest's price:
- Go to Hostaway Dashboard > Listings > Edit > Price & Fees > Guest service fee.
- Untick the checkbox Include in reservation total (paid by guest).
- Click Save to apply the changes.
You can copy the settings of each listing to other listings.
How the fees appear in Stripe and Hostaway
On the Stripe side, there is a single field called Hostaway Application fee. This field sums the different fees applied to the charge. Because Stripe shows only this combined total, you can't distinguish the individual fees there.
When reviewing your reservation payouts, it is important to understand how fees appear in both Hostaway and Stripe. There are two main scenarios.
Non-website reservations
For reservations that are not made through the Hostaway Booking Website, such as bookings from Airbnb, Vrbo or manually created bookings, no Guest Service fee or Host Service Fee is applied. The payout values in Hostaway match the amounts shown in Stripe.
Website reservations with a Guest Service fee
If a reservation is made through the Hostaway Booking Website and a Guest Service fee is enabled in your listing settings, this fee (1.8% of the base rate and reservation fees, excluding taxes) is deducted from the payout in Stripe. As a result, the payout value shown in Stripe is lower than the total displayed in Hostaway, because Stripe shows the Guest Service fee in the customer fee breakdown under the Hostaway Application fee line, per charge.
Financial reporting
In Hostaway financial reporting, the Guest Service fee is recorded as guestChannelFee (or hostChannelFee when it is paid by the host). It is not part of paymentProcessingFee. It appears as a separate Guest channel fee entry, while the remaining Stripe processing fees are grouped as Payment service processing fee.
Paid by guest vs. paid by host
Paid by guest
If you add the fee to the guest's price, it appears in the guest's price breakdown at checkout and the guest pays a higher total. You still pay the fee to Hostaway (deducted from your Stripe payout, or invoiced with your Hostaway subscription on Authorize.net or Braintree), but because the guest covered it in the total, it does not reduce your revenue from the reservation.
- Stripe: The 1.8% Guest Service fee appears grouped in the single Stripe line item Hostaway Application fee.
- Taxes: Under Listings > Edit > Financial settings > Taxes, you can set existing or new taxes on the Guest Service fee.
- Financial reporting: The fee is called guestChannelFee. It is not part of paymentProcessingFee. It appears as a separate Guest channel fee entry, while the remaining Stripe processing fees are grouped as Payment service processing fee.
Paid by host
If you exclude the fee from the price breakdown, the total price stays the same, and your payout decreases, since you do not pass the cost to the guest.
- Stripe: The 1.8% Guest Service fee appears grouped in the single Stripe line item Hostaway Application fee.
- Taxes: Nothing can be set up in the Hostaway Dashboard if it is paid by the host.
- Financial reporting: The fee is called hostChannelFee. It is not part of paymentProcessingFee.
Why is the Guest Service fee applied?
This fee is part of our ongoing commitment to driving more direct bookings for our property managers.
- We apply the fee only when a reservation is made through the Hostaway Booking Website or comes from Google Vacation Rental, to align with your success.
- We have conducted guest research to ensure this fee remains acceptable and does not burden property managers directly.
- The Guest Service fee is designed to cover the costs associated with the use of the Booking Website.
- This is not the only option. You can use any booking website with Hostaway or even build your own through our integrations.
If you need any clarification about the Guest Service fee, please do not hesitate to contact our support team.
Important information
- The Guest Service fee applies only to reservations made through the Hostaway Booking Website, including Google Vacation Rental bookings that are finalized through the Booking Website. It does not apply to any other channel.
- The Host Service Fee is added to the Hostaway Application fee on Stripe.