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Payment processing software · head to head

Stripe vs Square

Priya Nandakumar Written by Priya Nandakumar · Edited by Sebastiaan Smits · Fact-checked by Connor Blake · Published September 30, 2026 · Updated September 30, 2026

Stripe is an online-first, developer-first gateway with the broadest ecosystem of APIs and documentation. Square is an in-person-first system whose point-of-sale hardware and software share an account with a basic online store. SaaS companies, marketplaces and online shops end up on Stripe; shops, restaurants and sellers with a physical counter end up on Square.

Side by side

StripeSquare
What it isDeveloper-first payments, instant self-serve signupIntegrated in-person and online payments
Best forDeveloper-led SaaS, marketplaces and online storesHybrid online and brick-and-mortar sellers
HeadquartersUnited StatesUnited States
Pricing modelUsage-basedUsage-based
Pricing1.5% + EUR0.25 for standard EEA cards, higher for UK and international cards, per Stripe's published Netherlands rate card; no monthly fee for core payments; add-ons such as Billing, Tax, Sigma and the Managed Payments merchant-of-record service are charged separately.Square Free costs $0 a month per location and includes basic POS, an online site, item library and invoicing, paid for through processing fees; Plus at $49 and Premium at $149 per location per month lower the processing rates.
Free optionNoneFree plan
List price
as listed on September 30, 2026		1.5% + €0.25 per successful charge for standard EEA cards, no monthly fee (as listed on Stripe's Netherlands pricing page)$49 per month per location (Square Plus); Square Free is $0 per month with processing from 2.6% + 15¢ per in-person card payment
Place in our payment processing software ranking#4 of 15#8 of 15
Websitestripe.comsquareup.com

Both are reviewed in full in Best Payment Processing / Payment Gateway Software in 2026. Position in that ranking can be paid for; the wording of a review or of this comparison cannot. Placement disclosure.

Which one to choose

Choose Stripe if

your business lives online, developers will build the checkout, and you want subscriptions, marketplace payments and extensive documentation rather than a card reader on a counter.

Stripe, #4 in the ranking · Visit Stripe →

Choose Square if

you take payments face to face as well as online and want point-of-sale hardware, inventory, invoicing and a simple web store under one account with no monthly software fee.

Square, #8 in the ranking · Visit Square →

Where they differ

Taking cards across a counter

Square is built around point-of-sale hardware and software that a store or restaurant can set up in an afternoon; its Free plan includes the POS app, item library and booking, with in-person cards at 2.6% plus 15 cents. Stripe Terminal supplies card readers, Tap to Pay and SDKs, which you connect to your own or a third-party POS. A business where most sales happen at a till should choose Square.

Edge: Square

Online checkout and the API

Stripe's Payments API, Checkout, Billing and Connect for marketplaces come with documentation deep enough for a solo developer or an enterprise integration team. Square's online-only checkout and developer API are less mature for a business that is mainly an online store or SaaS product. If engineers are building the payment flow, Stripe gives them more to work with.

Edge: Stripe

Software included at no monthly cost

Square Free costs $0 per month per location and includes the POS app, an online site, an item library, invoicing and booking, paid for through processing fees. Stripe charges no monthly fee for core payments, but extras are priced separately on its Dutch price list: Billing at 0.7% of volume, Tax from 0.5% per transaction, Sigma from EUR9 a month. For a small seller needing business software, Square includes more.

Edge: Square

Reading the rate card

Square's US rates on the Free plan are 2.6% plus 15 cents in person, 3.3% plus 30 cents online and 2.9% plus 30 cents through its API; Plus, at $49 per month per location, lowers the first two to 2.5% and 2.9%. Stripe's Dutch price list shows 1.5% plus EUR0.25 for standard EEA cards online and 1.4% plus EUR0.10 in person. The lists cover different countries, so neither wins outright.

Edge: even

Tally: Stripe 1, Square 2, even 1.

When neither fits

A large, high-volume business that wants in-person and online payments on one platform at negotiated rates has outgrown both and should talk to Adyen. A European small business selling online that mainly wants transparent per-method pricing and local payment methods should look at Mollie.

See Adyen and Mollie among the 15 products in Best Payment Processing / Payment Gateway Software in 2026.

Questions and answers

Is Stripe or Square better for a retail store?

Square. Its point-of-sale hardware and software are the core of the product, with inventory management and an online store builder alongside. Stripe is designed online-first and its in-person hardware is considerably less mature, so a retailer or restaurant gets a more complete setup from Square.

Does Square or Stripe charge a monthly fee?

Neither requires one to start. Square Free is $0 per month per location; Plus is $49 and Premium $149 per location, each with lower processing fees. Stripe has no monthly fee for core payments and bills per transaction, with add-ons such as Billing, Tax and Sigma priced separately.

Can Stripe and Square both offer buy now, pay later?

Yes. Square offers Afterpay at 6% plus 30 cents per transaction on every plan, paying the seller immediately while the customer pays in four installments. Stripe supports several providers, including Klarna, Affirm, Afterpay or Clearpay and Zip, depending on the customer's country; its Dutch price list shows Klarna from 2.99% plus EUR0.35.

When do Square and Stripe offer custom rates?

Square says sellers processing more than $250,000 a year can talk to its team about eligibility for custom pricing and processing fees, along with hardware discounts and onboarding help. Stripe's price list likewise offers custom pricing for large volumes through its sales team. Below those levels both charge their published rates.

Sources

Prices, plan limits and product facts on this page were checked against the vendors' own pages on September 30, 2026. Vendors change both without notice, so treat the figures as of that date.