This article answers common questions about how billing works in Shippo, including when charges occur, how invoices are generated, and how billing thresholds affect charges.
How does billing work in Shippo?
Shippo uses a pay-per-label billing model, meaning you are charged for shipping labels as you purchase them rather than receiving a single monthly bill.
Charges are applied based on your account’s billing threshold, which determines how frequently label purchases are charged to your payment method.
When am I charged for labels?
You are charged as you purchase shipping labels, based on your current billing threshold.
For many accounts, charges may appear shortly after a label is purchased. In some cases, multiple label purchases may be grouped together into a single charge if your billing threshold allows it.
Your default payment method on file will be charged automatically when the applicable threshold is reached.
How are return labels charged?
Return labels are only charged when they are used, not when they are created.
When a return label is scanned by the carrier and enters transit, the cost of the label will be billed automatically using your account’s current billing setup.
Return labels count toward your account’s billing threshold
Charges are applied to the payment method on file at the time the return label is used
Unused return labels are not billed
Will my invoice show the payment method used?
Yes — if all charges on an invoice were paid using a single payment method, your invoice will display the last 4 digits of that payment method (e.g., "Paid with Visa ending in 1234").
If a Shippo account credit was applied alongside a single payment method, your invoice will show both "Shippo credit applied" and the last 4 digits of the payment method used for the remaining balance.
If more than one payment method was used to cover charges on a single invoice, payment method details will not be displayed on the invoice.
This applies to all invoice types, including invoices for label purchases, subscription fees, carrier adjustments, and other charges.
Why do I see multiple charges instead of one invoice?
Multiple charges may appear if:
You purchase multiple labels at different times
Your billing threshold causes charges to be applied more frequently
You are charged separately for other items, such as insurance or subscription fees
Each charge corresponds to label purchases or services billed according to your account’s billing setup.
Can I change how often I’m billed?
Billing frequency is dependent on your account’s billing threshold.
Some users may be eligible for higher billing thresholds, which allow more label purchases to be grouped together before a charge is applied. Eligibility depends on account history and other factors.
If you would like to explore whether your account qualifies for a higher billing threshold, please contact Shippo Customer Support.
What address appears on my invoice?
The address shown on your Shippo invoice is the Sender Address associated with your account.
Note: Shippo invoices always reflect the current Sender Address on file. If you update your Sender Address, the updated address will be reflected on both new and previously generated invoices.
Can I have a separate billing address from my sender address?
No. Shippo does not support a separate billing address from your Sender Address. The Sender Address on your account is used for billing purposes and appears on invoices.
Because the Sender Address is also used to calculate shipping rates, creating a shipping label with an origin that differs from the Sender Address on file may result in incorrect rates. This can lead to carrier adjustments (an additional charge).
To avoid unexpected charges, always ensure the Sender Address matches the actual ship-from location for each shipment.
Why am I receiving a bill from my carrier?
If you purchase a shipping label using your own carrier account connected to Shippo, the carrier will bill you directly for the cost of the label and any applicable carrier adjustments.
Shippo only bills for:
Labels purchased using Shippo’s carrier accounts
Carrier adjustments tied to shipments created with Shippo carrier accounts
Subscription fees (such as the Pro plan)
Third-party insurance fees, if added to your shipments
What currency will my charges appear in?
Shippo processes all charges in USD to the payment method on file.
If you are an international customer, your financial institution determines the exchange rate on the day the payment is processed and may charge a foreign transaction fee (if applicable).
On Shippo invoices:
Individual invoice items may appear in a local currency
The invoice total is always shown in USD
Can I change which card or payment method is charged?
Yes. You can update your default payment method from the Billing tab in your Shippo account.
However, payment methods cannot be changed for charges that have already been processed. Once a label purchase or invoice is billed, the charge will remain on the payment method that was on file at the time of billing.
After updating your payment method, all future charges (including future label purchases and invoices) will be applied to the new payment method.
Note: If you plan to switch cards, we recommend updating your payment method before creating additional labels to ensure charges go to the correct card.
Do you offer other delayed billing terms?
No. Shippo does not offer alternative billing terms or monthly mailed invoices for payment at a later date.
All label purchases are charged automatically based on your account’s billing threshold.
Where can I view or download my invoices?
You can download your invoices from the Billing.
Click Settings, and find Account in the left navigation panel
Select Billing
Under Invoices & Transactions, open the Invoices tab
Click the Invoice # you’d like to view or download
Why was I charged if my label purchase failed?
In some cases, a label purchase may fail after a charge is initiated. When this happens, the charged amount is returned to your Shippo account as a credit, which is automatically applied to future label purchases.
If you do not plan to use the credit or have questions about a failed purchase, contact Shippo Customer Support for assistance.
Who can I contact if I have billing questions?
If you have questions about charges, billing thresholds, invoices, or payment methods, you can contact Shippo Customer Support, and our team will be happy to help.