← Back to comparisons Paddle vs Stripe Managed Payments
Paddle vs Stripe Managed Payments
side by side.
Compare Paddle and Stripe Managed Payments by accepted products, tax coverage, pricing, features and best use cases.
Paddle
Merchant of Record built for software, SaaS, and AI tools. Handles global tax, billing and chargebacks under Paddle's name.
True Merchant of Record high confidence
- Best for
- SaaS, Downloadable software, AI tools, B2B subscriptions
- Avoid if
- 1:1 coaching, Consulting, Services with human delivery
- Pricing
- 5% + 50¢ on most transactions
Stripe Managed Payments
Stripe's MoR offering bundled with Stripe Tax. Targets digital goods and software with familiar Stripe APIs.
True Merchant of Record high confidence
- Best for
- Digital products, SaaS already on Stripe, Software, Subscriptions
- Avoid if
- Human services not explicitly approved
- Pricing
- Approx. 5% + Stripe processing on managed flows
Product eligibility
| Product | Paddle | Stripe Managed Payments |
|---|---|---|
| SaaS | Accepted | Accepted |
| Downloadable software | Accepted | Accepted |
| Online courses | Unclear | Likely accepted |
| 1:1 coaching | Likely refused | Refused |
| Consulting | Refused | Refused |
| Communities | Unclear | Unclear |
| Digital downloads | Likely accepted | Likely accepted |
| Templates | Likely accepted | Likely accepted |
| AI tools | Accepted | Accepted |
Tax coverage
Paddle
- EU VAT
- Yes
- UK VAT
- Yes
- US sales tax
- Yes
- Canada GST/HST
- Yes
- Australia GST
- Yes
Stripe Managed Payments
- EU VAT
- Yes
- UK VAT
- Yes
- US sales tax
- Yes
- Canada GST/HST
- Yes
- Australia GST
- Yes