Dodo Payments vs Paddle
Two merchant of record options for payments. When each fits, what it costs, who moves from one to the other, and what makers who chose it say.
Which fits you
- Your AI product charges by usage and sells to customers in many countries
Use it whenYou charge for usage and want metering and sales tax handled by the same provider.
Trade-offA younger merchant of record, with a shorter track record and fewer integrations than Paddle or Lemon Squeezy.
- Your SaaS already has steady revenue and you want to hand off global tax to a long-established MoR
Use it whenYou're moving an existing SaaS off a processor to offload global tax, and can wait out their review.
Trade-offStricter onboarding and domain review before you can sell.
At a glance
| Used by | 30 makers' products · 4 open-source projects | 79 makers' products · 2 open-source projects |
|---|---|---|
| Cost at default usagerevenue $10k, payments 400 payments | $560/mo Standard | $700/mo Pay-as-you-go |
| Downloads | 75.8k/wk4.3× vs npm | 177.8k/wk+62% vs npm |
| Pricing | Per-transaction fee; handles sales tax. · paid from 4% + 40¢ per transaction | Per-transaction fee; handles sales tax. · paid from 5% + 50¢ per transaction |
| Free tier | No | No |
| Open source | No | No |
| Incidents, 90 daysfrom its status page | no public status feed | 3 (1 major) |
Cost as you grow
At $500 a month Dodo Payments costs less ($28 vs $35); and still does at $250k a month ($14,000 vs $17,500).
The numbers, plan by plan
| Revenue per month | Dodo Payments | Paddle |
|---|---|---|
| 500 | $28 Standard | $35 Pay-as-you-go |
| 1,000 | $56 Standard | $70 Pay-as-you-go |
| 5,000 | $280 Standard | $350 Pay-as-you-go |
| 10,000 | $560 Standard | $700 Pay-as-you-go |
| 25,000 | $1,400 Standard | $1,750 Pay-as-you-go |
| 50,000 | $2,800 Standard | $3,500 Pay-as-you-go |
| 100,000 | $5,600 Standard | $7,000 Pay-as-you-go |
| 250,000 | $14,000 Standard | $17,500 Pay-as-you-go |
From each vendor's pricing page: Dodo Payments, Paddle.
What makers say
Makers on using it for payments, from Product Hunt and Starter Story interviews, each linked to the source. Products with a page of their own and fuller notes first.
Dodo Payments handles the payment and licensing side of Kapshot, which has made it much easier for me to sell the product and manage access without building an entire billing system myself.
As a solo maker based in Korea, Stripe wasn't available. Dodo Payments offered global payment processing with simple integration and fair pricing — no complex merchant-of-record setup needed.
Handles payments and VAT/tax compliance out of the box, which matters for a solo indie developer selling globally. Setup had some rough edges but gets the job done.
We love Paddle! They are how we were able to roll out our free accounts. We were also part of their AI Paddle Launchpad which provided an invaluable experience and community to rely on.
Merchant of record was the difference between selling to freelancers in 40 countries and doing VAT by hand. Subscriptions, tax and the customer portal in one integration.
Paddle gives indie developers a perfect payment solution, taking away the hassle of complex tax and integration issues, and simplifying everything that can be simplified.
Loved and watch-outs
Themes that recur in makers' words and Hacker News comments, each linked to what it summarises.
- As merchant of record it remits VAT and sales tax everywhere and handles refunds and disputes. PHHNHN 2
- Subscriptions, overlay checkout, the customer portal and a sandbox for testing come in one integration. PHPH 2
- Lets sellers in countries like Pakistan or Argentina take subscription payments from customers worldwide. PHHN

