New fee structure

[Carolyn-And-Stephen0]

This is absolutely a horrible decision on AirBnN’s part. It completely penalizes the host.  We have been hosting for over 10 years and a Superhost for the entire time.  I will be thinking hard about staying on with AirBnB bead on this policy change. It adversely affects the host too much.  Especially on the Income tax and Rooms& Meal Tax

[Shelley159]

How is the 9% calculated @Nigel316 ? Host payouts should stay the same.

[Nigel316]

Well, I didn't do the exact math, but my payout used to be $81, now it is $72 and some change. You're welcome to do the math and question all you want, but that is the reality for me, for the next few months of prebookings. Going to be difficult to eat. 

[Elaine701]

@Nigel316 

There's something wrong there Nigel. Others aren't experiencing this.

Did you set your prices manually?

Maybe New York is taking a tourist tax or something that that you didn't previously know about? 

You need to find out what that's about. 

Open a browser, go to Airbnb and check the price of your listing (as a guest). Is it the same as before? Or is it less? Maybe you just need to raise your prices to the same amount it was before. 

Otherwise, unfortunately, you may have to deal with obtuse Airbnb support bots to get any answers (if you ever do). 

Good luck with that.

[Shell1094]

I am new to hosting (one year) but I am thinking about lowering my prices on VRBO and Booking.com so that I get more business on those platforms. I don't like non transparency; it is just the suspicious me that needs to know where my money is going. I don't mind if the cost is small or hidden so that several clicks are needed to find it but it seems remiss to remove it altogether. I travel and I really want to know the costs --- especially how much my host is making. Thanks for the discussion about this... I would like to feel better about it before Sept 15. Thanks!

[Elaine701]

@Shell1094 

Since when does booking.com disclose their fees to the guest? And since when do guests care what fees the platform is charging?

[Greystone0]

Hi @Shell1094  - I agree with you. I don't like the lack of transparency either. And I think that guests do care about the underlying fee that the platform is charging. It puts things in perspective and that is now missing.

That has been my direct experience and I am well aware that there are those that feel otherwise and they do not need to comment on this comment.  It doesn't mean that my experience is not valid or true for my guests.

I think this whole episode shows that it is really important to be diversified as policies change and you may not be where you thought you were on any given platform.

I think that it will take a little bit of time for things to equalize as not all hosts are on this new program and so it is a bit chaotic.

And once Sept 15 comes, hosts that have not taken action will suddenly be cheaper, whether they want to or not and so there will be a divide for awhile while everyone gets things in order.

It is serendipitous to me that the 15% guest discount has appeared during this transition. The timing is not lost on me.

I think that ultimately things will settle to a new normal but you can't go back and sell unsold nights while things are in an odd state. So being diversified is always important and has new relevance now.

[Amy3807]

I agree. It completely punishes the people that are keeping this business open.

[Elaine701]

@Amy3807 

You should list your place with booking.com.

But you might want to wait before closing your Airbnb listing, because what you learn from other platforms will surprise you. 

Good luck with that. 

[Jane3076]

Passive aggressive!

[Billy194]

Im going to the STAY Platform.

[Jane3076]

I’m in Australia, about 12 months ago a government tax was applied to Airbnb (the guest pays it) 

below is a recent booking- could someone who is aware of the new fee structure and how it works please use these figure (in the photo) to demonstrate how the new fee structure will work. 
for example, am I going to be paying Airbnb 15.5% on the cleaning fee? And also on the tax charge? 
I really don’t understand how this is going to appear and what the listed price on my calendar is going to say. 

 

[Shelley159]

Hi @Jane3076 

I don't know the details of the Australian tax, but I can at least confirm the following:

1) The service fee has always been charged on all fees, including the cleaning fee and any others (pet fee, etc.)

2) The service fee is not charged on taxes

[Jane3076]

So where can I get the answer to my question? 

[Shelley159]

Hi @Jane3076 

Below is an indication of more or less what your screenshot will look like after the change to the single fee structure. Please note that I've had to make some assumptions to do it, so it won't be 100% the same. It's just to give you an illustration of what to expect.

I've assumed the tax you refer to is the 7.5% guest tax in the state of Victoria, and I've taken the calculation method from your screenshot.