Is Shopify Basic Worth It for Digital Products? (2026: Starter Is Closed to New Stores)
The $5 Starter plan is not an option for a new store. Here is when Basic’s monthly fee pays for itself, and when a percentage-fee platform keeps more.
Shopify’s Help Center now says the Starter plan isn’t available to new stores, so a new digital-product shop starts at Basic: $39 a month, or $29 a month billed yearly (US pricing). Against a 5% platform fee such as Payhip Free, Basic only wins once you sell more than about $580 a month on the yearly plan, or $780 a month paying monthly.
What happened to Starter
Starter was built for selling through social media and messaging links with a simplified store and one theme. Shopify’s Help Center states that it isn’t available to new stores, and that a merchant who leaves Starter can’t switch back. If you read older advice recommending a $5 Shopify plan for digital downloads, it no longer applies to a new account.
The break-even line
Scroll the table sideways to see every column.
| Monthly sales | 5% platform fee | Shopify Basic (yearly, $29) | Shopify Basic (monthly, $39) |
|---|---|---|---|
| $200 | $10 | $29 | $39 |
| $580 | $29 | $29 | $39 |
| $780 | $39 | $29 | $39 |
| $1,500 | $75 | $29 | $39 |
Plan fee only. Card processing applies on both sides, and Shopify adds its own transaction fee if you use a third-party payment provider instead of Shopify Payments. Check the current rate for your country on Shopify’s pricing page before you decide.
What Basic gives you for digital products
- A full online store with themes, a blog, and your own domain.
- The free Digital Products app for delivering files after purchase.
- One place for physical and digital items, if you also sell prints, merch, or kits.
What it does not solve
- Tax on digital sales. Shopify’s digital-product tax guide explains EU VAT by buyer location and advises checking your obligations with a tax expert. Some creator platforms, such as Payhip, say they collect and pay digital VAT and sales tax for you.
- Traffic. A Shopify store has no built-in marketplace. Buyers come from your own links and posts.
- Fixed cost in slow months. The plan fee is due whether you sell or not.
Shopify’s plans for a digital-product store
US pricing as listed on Shopify’s pricing page in October 2026. Card rates are for standard cards through Shopify Payments.
| Basic | Grow | Advanced | |
|---|---|---|---|
| Billed monthly | $39/mo | $105/mo | $399/mo |
| Billed yearly | $29/mo ($348/yr) | $79/mo ($948/yr) | $299/mo ($3,588/yr) |
| Online card rate | 2.9% + $0.30 | 2.7% + $0.30 | 2.5% + $0.30 |
| Premium cards (Amex, business) | 3.5% + $0.30 | 3.3% + $0.30 | 3.1% + $0.30 |
| International cards | +1% on top of the card rate | ||
| Extra fee if you use another processor (PayPal, Stripe) | 2% | 1% | 0.6% |
| Staff accounts | None | 5 | 15 |
What one $20 sale costs on Shopify Basic
| Buyer pays with | Fee | You keep (before the monthly plan) |
|---|---|---|
| Standard US card | $0.88 | $19.12 |
| Premium card (Amex, business) | $1.00 | $19.00 |
| International card | $1.08 | $18.92 |
| Card through a third-party processor (Stripe-like 2.9% + $0.30, plus Shopify’s 2%) | $1.28 | $18.72 |
Per sale, Shopify is cheap. The monthly plan is what you have to cover, which is why sales volume decides everything.
The real monthly bill, Shopify vs Payhip
Average order $20, US cards, Shopify Basic billed yearly ($29). Both use the same 2.9% + $0.30 card processing, so the difference is the plan and the platform fee.
| Monthly sales | Shopify Basic | Payhip Free (5%) | Payhip Plus ($29 + 2%) | Cheapest |
|---|---|---|---|---|
| $500 (25 orders) | $51 | $47 | $61 | Payhip Free |
| $1,000 (50 orders) | $73 | $94 | $93 | Shopify Basic |
| $3,000 (150 orders) | $161 | $282 | $221 | Shopify Basic |
| $10,000 (500 orders) | $469 | $940 | $669 | Shopify Basic (Payhip Pro: $539) |
Totals include card processing. Shopify’s numbers leave out sales tax work, apps and a paid theme, covered below.
When Grow beats Basic
Grow saves 0.2% on card fees but costs $50 more a month on yearly billing. That only pays off above about $25,000 a month in card sales. Before that, upgrade only if you need staff accounts.
Costs Shopify’s pricing page doesn’t lead with
- Sales tax and VAT are your job. Shopify is not the merchant of record. Shopify Tax calculates US sales tax, free for the first $100,000 in sales and then 0.35% per taxed transaction (capped at $0.99 per order), but you still register and file. Selling to the EU or UK means VAT registration too. Compare with platforms that handle tax for you.
- Using PayPal or Stripe instead of Shopify Payments adds 2% on Basic on top of their own fees.
- Currency conversion: 1.5% for US stores when a buyer pays in another currency.
- The intro offer ends. After a 3-day trial, Shopify charges $1 a month for the first three months on eligible plans, then the full price. Billing cycles already charged are generally not refunded.
- Apps and themes: Shopify’s own Digital Products app is free, but paid themes and extra apps add up.
How to sell a digital download on Shopify
- Start the trial and pick Basic.
- Install Shopify’s free Digital Products app.
- Create the product and untick “This is a physical product” so no shipping is asked at checkout.
- Attach the file in the Digital Products app; buyers get a download link after paying.
- Turn on Shopify Payments to avoid the 2% third-party fee.
- Set up Shopify Tax and check where you need to register before your first sale.
Which one to choose
- Under about $580 a month in digital sales → a percentage-fee platform keeps more. Compare Payhip plans (affiliate link).
- Steady sales above the line, or physical products too → Shopify Basic, billed yearly once you are sure. See Shopify plans (affiliate link; we may earn a commission at no extra cost to you).
- Not sure yet → start on the free option, record one month of real sales, then recalculate.
Sources: Shopify Help Center: Starter plan, Basic plan, Digital Products, tax on digital products, Payhip pricing (affiliate link).
Related: Shopify vs WordPress · Payhip Review · Sell Without a Website
FAQ
How much does Shopify cost for digital products?
Basic costs $39 a month, or $29 billed yearly, plus 2.9% + $0.30 per card sale through Shopify Payments. Digital downloads use Shopify’s free Digital Products app.
Is Shopify Starter still available?
Not for new stores. Shopify’s Help Center says Starter isn’t available to new stores, so a new digital-product shop starts at Basic.
Is Shopify cheaper than Payhip?
Below about $580 a month in sales, Payhip Free costs less. Above that, Shopify Basic usually costs less than Payhip’s free or Plus plans, but you handle sales tax yourself.
Does Shopify handle sales tax on digital downloads?
It calculates tax, but Shopify is not the merchant of record. You are responsible for registering, collecting and filing sales tax and VAT.
When should I upgrade from Shopify Basic to Grow?
When you need staff accounts, or above about $25,000 a month in card sales, where Grow’s lower card rate covers its higher price.
Does Shopify have a free trial?
A 3-day free trial, then $1 a month for the first three months on eligible plans, before the full price.
Not sure which platform fits your numbers? Put in your price and monthly sales and see what you keep on every platform at once. If you are just starting, a Payhip store costs $0 until you sell, so you can set it up first and decide later.
Compare my numbers →Start a free Payhip store