WP Payment Pal Documentation
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Adding Setup Fees

Charge a one-time setup fee when customers start a subscription. This guide covers configuring setup fees and common use cases.

Reading time: 3 minutes | Difficulty: Beginner

Overview

Charge a one-time setup fee when customers start a subscription. This guide covers configuring setup fees and common use cases.

Prerequisites

  • A subscription price option configured
  • Understanding of your pricing model

What is a Setup Fee?

A setup fee is a one-time charge collected at the start of a subscription:

  • Charged immediately at signup
  • Separate from recurring billing
  • Covers initial costs or provides revenue

Step 1: Access Subscription Settings

  1. Edit your payment form
  2. Click the Price Options tab
  3. Expand your subscription price option
Subscription settings

Step 2: Enable Setup Fee

  1. Find the Setup Fee setting
  2. Toggle it On
  3. Enter the fee amount
Setup fee toggle on with $25.00 entered

Payment Timeline

Example: $49 setup + $29/month subscription

Event Charge
Signup $49 setup fee
Month 1 $29 recurring
Month 2 $29 recurring
Month 3 $29 recurring
… Continues

With Trial Period

Event Charge
Signup $49 setup fee
Trial (14 days) $0
After trial $29/month

The setup fee is charged even during free trials.

Common Use Cases

Software Onboarding

Setup Fee: $99
Monthly: $49

Covers:
- Account configuration
- Data migration
- Training session

Membership Initiation

Setup Fee: $50
Annual: $200

Covers:
- Welcome kit
- Member card
- Initial materials

Service Activation

Setup Fee: $25
Monthly: $15

Covers:
- Account setup
- Integration work
- Initial consultation

Equipment Cost Recovery

Setup Fee: $199
Monthly: $29

Covers:
- Hardware shipped to customer
- Installation support

Displaying Setup Fees

Customers see the setup fee clearly:

  1. In the price option description
  2. In the order summary at checkout
  3. On the PayPal payment page

Frontend Display

The checkout shows:

Pro Plan - $29/month
Setup Fee: $49 (one-time)
─────────────────────────
Due Today: $49
Then $29/month

Setup Fee with Coupon

If coupons are enabled:

  • Percentage coupons – Apply to both setup fee and recurring
  • Fixed coupons – Apply to the total due today

Configure coupon behavior based on your preference.

Communicating Setup Fees

Be transparent about setup fees:

In Form Description

“A one-time $49 setup fee applies to cover your personalized onboarding.”

In Confirmation Email

Your order summary:
- Setup Fee: $49.00 (charged today)
- Monthly Subscription: $29.00/month (starts today)

Thank you for subscribing!

On Sales Pages

Clearly list the setup fee alongside the recurring price.

Waiving Setup Fees

To occasionally waive setup fees:

Option 1: Coupon Code

  1. Create a 100% discount coupon
  2. Apply it to the setup fee form
  3. Share with select customers

Option 2: Separate Form

  1. Create a duplicate form
  2. Disable setup fee on the duplicate
  3. Share special link with select customers

Option 3: Manual Credit

  1. Accept the setup fee
  2. Issue a partial refund for the setup amount
  3. Document the waiver

Refunding Setup Fees

Setup fees can be refunded:

  1. Go to the transaction
  2. Issue a partial or full refund
  3. Subscription continues (if only setup fee refunded)

See Processing Partial Refunds.

Setup Fee vs First Payment

Setup Fee First Payment
One-time charge Recurring charge
Can be different amount Same as regular billing
Separate line item Part of subscription
Can be refunded separately Part of subscription refund

Best Practices

  1. Justify the fee – Explain what it covers
  2. Keep it reasonable – Don’t scare off customers
  3. Consider waiving – For promotions or loyal customers
  4. Be transparent – Show clearly at checkout
  5. Factor in trials – Setup fee applies even with free trial

Common Questions

Is the setup fee included in the subscription?

No, it’s a separate one-time charge.

Can I have a setup fee without a trial?

Yes, setup fees and trials are independent options.

What if I change the setup fee later?

Changes only affect new subscribers. Existing subscriptions are unchanged.

Troubleshooting

Setup fee not charging

  • Verify Setup Fee is enabled
  • Check the amount is entered
  • Test in Sandbox mode

Setup fee showing wrong amount

  • Clear browser cache
  • Save form and reload
  • Check currency settings

What’s Next?

Last Modified: February 26, 2026