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

[Patricia2526]

Hi @Carolyn-And-Stephen0 

In principle, your economic outcome shouldn’t change if you increase your nightly rate to offset the 15.5% host-only fee. You’re simply moving the Airbnb service fee from the guest side into your accommodation price.

While the simplified pricing model is designed to keep your payout roughly the same, it may not be tax-neutral in every jurisdiction. Hosts should check how their local tax authority defines gross revenue and whether Airbnb’s host service fee is deductible.

This is one area where Airbnb could provide much clearer guidance, especially for hosts in countries with different tax systems.

[Carolyn-And-Stephen0]

Again this is a terrible decision on AirBnB’s part.  All in pricing was already there for people booking.  All you’re doing is negatively impacting hosts.  Member’s that are booking should see the fees that you are charging, in a very short time it will be forgotten and guests will think that Hosts are making more money when in fact we are making less.  

[Elaine701]

@Carolyn-And-Stephen0 

So far, those who have been on the industry standard single fee model have not experienced any downside.

No change in bookings, earnings or guest prices. It's as if nothing has changed, except it's easier to account for and consistent with the whole industry.

Perhaps it might be best to wait to see if it affects you in any way? It hasn't affected others. 

[Amy3743]

It will have a negative impact on my local taxes!

[Robert9305]

Not in my experience. To raise prices and accommodate their fee I have less bookings. 

[Shelley159]

How did you raise prices @Robert9305 , manually or did you run the update tool?

I ask because if you run the update tool, the guest pays virtually the same as before. So there should be no impact on demand.

[Shelley159]

If you use the tool to adjust your fees before the deadline, you will receive the same payouts as before @Carolyn-And-Stephen0 

Your guests will also pay very close to the same as before (with some minor variations).

[Francesco602]

Hosts will pay more taxes; therefore the revenue will be less. 

If you want to make the same amount of money, you'll have to increase your rates, with consequences on how much the guests will be paying. 

It works like this in many countries; especially in the ones where Airbnb is more present ;). 

[Bruce817]

Airbnb says the price adjustment was in response to feedback from hosts about how confusing the old pricing was. Which is nonsense. There was no notice of this, they did it unilaterally. This adjustment made my nightly rates go from $170 to $195. A recent booking under the new pricing shows the guest fee is $0. This is deceptive and totally false. The guest still pays the fee in the form of a higher nightly rate, which Airbnb deducts from my payout. Guests should be aware that they are still paying the same Airbnb service fee in the form of increased nightly rates that I had no choice in.

The income reporting breaks out the fee so it can be deducted from income, so there is no additional tax paid as a result. But this is just Airbnb looking out for themselves, trying to look good and avoid complaints about their fees. This didn’t reduce confusion, it created it. Airbnb’s premise that this adjusted price shows what the guest will actually pay is also false, since the occupancy taxes are still added separately. I do not like this policy, and want it rescinded.

[Shelley159]

@Bruce817 I understand what you're saying, but I disagree that it's not simpler to be on the single fee structure. The single fee structure works as follows:

Most hosts pay 15.5%, remaining hosts typically pay 14%-16%, and hosts pay a 16% fee for listings in Brazil and Mexico.

That's all in one sentence!

The split fee structure used to work as follows:

Host service fee:

Most hosts pay a 3% service fee, but some pay more. Hosts pay a 4% fee for listings in Brazil and Mexico. The fee is automatically deducted from the total price (service fees are a percentage of the nightly price and any fees charged by the host, but exclude the guest service fee and taxes) to calculate the host payout.

Guest service fee

The guest service fee can be found in the Price breakdown before booking a reservation.

Guests pay a service fee ranging from 14.1% to 16.5% of the booking subtotal (the booking subtotal includes the nightly price and any additional fees charged by the host, but excludes the guest service fee and taxes). The guest service fee varies based on a variety of factors and may be higher or lower depending on the booking.

For bookings where the guest pays using a different currency from the one set by the host for their listing, we adjust our fees to align with the value we provide our guests. For these cross-currency bookings, the guest service fee will include an additional amount, resulting in a guest service fee of up to 16.5% of the booking subtotal.

The above is copied from this help article:

https://www.airbnb.co.uk/help/article/1857

The concerns we presently see from hosts about the fee structure change, almost all come from the fact that they didn't know exactly how the complicated split fee structure worked. They thought they paid 3% and that was the end of it.

Hosts who were aware of all the issues around the complicated split fee structure, are generally not opposed to the single fee structure. The exception is hosts in areas where there are taxes, levies or subsidies calculated with gross income (not net income) as reference point. For such hosts there are legitimate concerns about paying more tax. From what I can see in the Community Center, the main group affected by this, is hosts in some European countries who cannot deduct the service fee as an expense unless they register their short-term rentals as a business.

[Bruce817]

I didn’t say it wasn’t simpler. I know how both fee structures work, and the split fee wasn’t complicated. I don’t like the disingenuous way Airbnb buried their service fee in the nightly rate, then showing the guest paid $0 for the service fee, which isn’t true.  I also don’t like that as a host, I had no input in the policy.

[Bruce817]

And look at all the chatter about this on the Community Center and tell me it hasn't created confusion.

[Bruce817]

Under Airbnb’s new service fee structure and adjusted pricing (“new fees”), here are some facts to consider. Draw your own conclusions:

1. I live in New York. In nine seasons as a host, Airbnb has collected and remitted a 3% County hotel tax. 3% is applied to the nightly rate to determine the amount of tax, paid by the guest, shown as a separate item.
2. In 2025, New York State implemented a separate, additional 9% hotel tax. 9% is applied to the nightly rate, collected and remitted by Airbnb, paid by the guest, shown as a separate item.
3. Under the new fees, the price I set is still not what guests see. Hotel taxes are added to the nightly rate, shown as a separate item, which guests pay.
4. Under the new fees, Airbnb adjusted my nightly rate from $170 to $195 to include the new 15.5% host service fee. Now the hotel tax rate is applied to a higher nightly rate, so guests pay more hotel tax.
5. Under the old fees, guests had a separate line item showing the 14% service fee, which they paid directly to Airbnb. Under the new fees, it shows guest fee $0, but it is included in the higher nightly rate, then deducted from the host payout, so the guest still pays the service fee to Airbnb.
6. When NY proposed adding a hotel tax, Airbnb fought it, saying it would increase prices and make us less competitive.
7. Under the new fees, Airbnb collects more in fees, and the taxing authorities collect more in taxes. Only by a few dollars, but multiply this by thousands of guests and hosts. This makes more money for them, it’s more expensive for guests, and less competitive for hosts.
8. Airbnb didn’t solicit input from me on this, the new fees were imposed unilaterally. However, I did recently receive an email from Airbnb suggesting I lower my prices to “help my listing stand out in more searches”.

[Shelley159]

Hi @Bruce817 

Your analysis above makes 100% sense to me.

If the taxes you mention are calculated on the gross calendar prices of the host, and service fees cannot be deducted, your guests will pay more.

The only consolation I have:

1) This is now in line with platforms like Booking.com (which has the same single fee structure)

2) Everyone in your area is equally affected, so you're not worse off than competitors.

But I agree, the taxes you describe will work out more expensive for guests.

(Perhaps Airbnb could hold back on their regular "drop your prices" messages for a bit, at least until the dust has settled around the fee structure change 😃)