The calculation of the seller's earnings is as follows.
Total item sales amount
(-) Design Source usage fee
(-) Website deduction commission
(-) Withholding tax
Total item sales amount
● Total amount of items sold from the first to the last day of the month
● Includes items sold through Design Source when other sellers' items are sold
(When someone resells my item as a component in a garment file, the price of my item is included in my sales revenue)
(-) Design Source usage fee
● If paid items are used, the revenue is shared with the seller who created those items.
(When a paid garment, fabric, or trims are purchased to create a paid garment, and the garment is sold, the price of the included paid items is categorized as the sales revenue of the seller of those items)
(-) Website Commission Deduction
● 70% of the total sales amount is allocated as the seller's revenue, while 30% is deducted as a service fee.
(-) Withholding tax
● For orders where the buyer is American, a withholding tax may be additionally applied.
● The withholding tax rate is calculated based on the agreed upon rate between the United States and the seller's country.
[Example]
● Without using Design Source, a $100 item was created and sold, with the buyer not being from the United States,
- Total Sales Amount: $100 (-) Website Commission: $30 = Total Payment: $70
● Using $10 fabric, a $100 item was created and sold, with the buyer not being from the United States,
- Total Sales Amount: $100 (-) Cost of Design Source Fabric: $10 (-) Website Commission: $27(30%) = Total Payment: $63
● A Polish individual created a $100 item without using Design Source and sold it to a buyer from the United States,
- Total Sales Amount: $100 (-) Website Commission(30%): $30 = User's Earnings: $70 (-) Withholding Tax (5% between Poland and the United States): $3.5 = Total Payment: $66.5
● A Korean individual created a $100 item using $30 buttons and sold it to a buyer from the United States,
- Total Sales Amount: $100 (-) Cost of Design Source Buttons: $30 (-) Website Commission(30%): $21 = User's Earnings: $49 (-) Withholding Tax (10% between South Korea and the United States): $4.9 = Total Payment: $44.1