Point-of-sale (POS) system costs typically fall into three categories, software costs, hardware costs and card processing costs. POS systems can have a one-time purchase cost, monthly subscription fees or be free to use. Hardware costs are typically one-time expenses for mobile card readers, store register systems and other payment equipment. Card processing costs are ongoing fees charged each time you process a credit or debit card.
Featured Partners
1
Clover
$14.95 per month (plus hardware)
90 days
Versatile POS, invoicing, employee management
2
Toast
$0
No
POS built specifically for restaurants, payroll, online ordering, team and inventory management
3
KORONA POS
$59/mo
Unlimited
Inventory management, custom reporting, advanced cashier functionality, accounting integrations
4
Lightspeed
$89 per month (billed annually)
14 days
2.6% plus 10-cent processing fee, dedicated account manager, integrated payments
How Much Does a POS System Cost?
POS software costs can be $0 to more than $200 per month for cloud-based systems or a one-time expense starting at around $1000 for legacy systems. POS hardware costs range from $0 for a simple card reader to more than $1200 for a complete retail register. Payment processing fees are an ongoing expense based on credit and debit card sales.
All of these POS system costs can vary greatly based on the POS system you choose.
For example, free POS systems such as Square and PayPal Zettle deliver a surprisingly complete set of sales and business management tools with no startup or monthly fees. With free POS systems, your only costs are hardware needs and ongoing payment processing fees. However, expanding base features with paid upgrades and add-ons adds monthly fees to free systems.
Paid POS systems offer more robust features for advanced inventory tracking, restaurant operations, marketing, loyalty programs and other specialty business needs. A few examples are Lightspeed, Toast, Clover and Square Plus plans, which range from $50 to more than $200 per month. Along with monthly POS fees, you have hardware costs and ongoing payment processing fees.
Here’s a roundup of POS system costs for several top-rated providers, including typical monthly fees, average hardware costs and payment processing rates.
POS System Subscription Fees
POS software is the heart of any POS system and all providers deliver a core set of features. These include product, inventory, customer and staff tracking, sales processing and payments, returns management and business reporting. Paid POS systems deliver more features with no added costs, or you can add paid features to free systems to expand functionality.
Here’s a glance at subscription and add-on costs for seven top-rated POS systems.
| POS System | Monthly Subscription Costs |
|---|---|
| Square POS | $29 to $69 per month for Square Plus with upgraded retail, restaurant, appointments and staff management features |
| PayPal Zettle | $0 basic POS |
| eHopper | $0 basic POS $29.99 to $39.99 per month for advanced inventory, restaurant and e-commerce features |
| Lightspeed | $39 to $289 per month paid annually, based on plan, plus $39 per additional register per month. Higher tiers add e-commerce, loyalty, specialty features, accounting and advanced reporting |
| Clover POS | $14.95 to $94.85 per month for business-focused POS features for restaurants, services, retailers, mobile sellers and more |
| Shopify POS | $0 to $89 per location, per month with a Shopify $29 to $299 monthly e-commerce store plan |
| Toast | $0 to $165 per month with optional feature add-on costs, top tier supports online ordering and take-out app |
Virtually every POS system on the market offers increased functionality on higher-tier plans and optional features with added monthly fees. When comparing POS system costs, always consider the base set of features plus potential plan upgrades and add-on costs needed to fit your business’s unique needs.
For restaurants or multi-location retailers, a feature-packed top-level tier or specialty POS system can be more economical than a free system with lots of paid add-ons. Likewise, solopreneurs, mobile services and small multichannel retailers usually manage quite well with a versatile free POS and a few low-cost add-ons for marketing or loyalty perks.
POS System Hardware Costs
POS hardware includes everything from mobile card readers and store registers to self-service kiosks and integrated restaurant management systems. Based on your checkout equipment needs, POS hardware costs can be minimal or hefty. Many POS systems have proprietary hardware, so you’re limited to what they offer. However, a few POS systems support a variety of registers and terminals.
Here’s a look at the typical hardware options and costs for several top-rated POS systems.
| POS System | Mobile Reader Costs | Register Costs |
|---|---|---|
| Square POS | $0 to $49 per reader | From $149 for iPad stand (not including iPad) to $799 for Square Register |
| PayPal Zettle | $29 first reader $79 additional readers | From $159 for iPad stand (not including iPad) to $699 for register bundles |
| eHopper | Free terminal | Connect your own |
| Lightspeed | Per quote with sign-up | Per quote with sign-up or connect a supported card terminal |
| Clover POS | $49 per reader $499 per mobile terminal | From $1349 for counter registers to $3647 for full restaurant systems or connect a supported card terminal |
| Shopify POS | $49 per reader $399 per Shopify Go mobile terminal | From $99 to $185 for iPad stand register (not including iPad) or connect a supported card terminal |
| Toast | $0 starter kit with a free terminal, estimate $450 per added unit | Per quote based on plan, estimate $1350 for a countertop register bundle |
Many top POS systems help you save on hardware costs with free or discounted mobile readers and cash register equipment at sign-up. Several POS providers also offer payment plans on more expensive mobile terminals and register bundles.
POS Credit Card Processing Fees
Credit card processing fees are an ongoing POS system cost that business owners pay each month. For startups and low-volume sellers, POS systems with built-in flat-rate card processing are economical, reliable and convenient. Plus, a few support a variety of third-party payment processors. Most POS payment services also offer online checkout or support online payment gateways to seamlessly connect your in-store, mobile and e-commerce sales.
| POS System | Card Payment Processing Rates |
|---|---|
| Square POS | 2.5% + $0.10 to 3.5% + $0.15 based on plan tier and type of sale |
| PayPal Zettle | 2.29% to 3.49% + $0.09 based on type of sale |
| eHopper | 0% with credit surcharge program to 2.5% + $0.10 per in-person sale, or connect a supported third-party payment provider |
| Lightspeed | 2.6% + $0.10 to 3.5% + $0.10 based on type of card and sale, or connect a supported third-party payment provider |
| Clover POS | 2.3% + $0.10 to 3.5% + $0.10 based on plan and type of sale, or connect a supported third-party payment provider |
| Shopify POS | 2.4% + $0 to 2.9% + $0.30 based on plan tier and type of sale, or connect a supported third-party payment provider |
| Toast | Interchange rates vary by card brand and type of sale |
Since flat-rate card processing is transparent, predictable and simple to understand, it’s ideal for startups and micro businesses. Another plus, you won’t find surprise charges for PCI compliance and statement fees at the end of the month.
However, when you start processing around $8,000 to $10,000 in card payments each month, other processing options can save you money. If you’re hitting these sales numbers, it’s smart to consider a POS system with volume rates, interchange-based card processing,or third-party payment integrations.
Other POS Costs and Fees
Most top-rated small business POS systems don’t have added fees beyond what’s covered above. Monthly system costs, one-time hardware expenses and ongoing payment processing fees vary drastically between plans and providers, but these cover the bulk of your POS system costs.
That said, expanding your POS system beyond core features and adding checkout stations or locations increases hardware needs and monthly fees. Here are a few added costs you’ll find with most POS systems.
Per-Register POS Fees
Lightspeed, Toast and Clover have added monthly fees to support more than one register or mobile terminal in one location. Lightspeed runs around $29 per month per added register or terminal, Clover charges $9.95 per add-on and Toast builds added registers and terminals into your overall plan. Square Plus charges $40 per month per added countertop checkout, but mobile and handheld terminals have no added fees.
Per-Location POS Fees
Upgraded Square Plus plans and Shopify POS Pro have per-location fees, but don’t charge extra for adding mobile or handheld terminals. Lightspeed, Toast and Clover typically have per-location fees on top of their per-register fees. However, when you reach multi-location sales volume, you generally can negotiate an expansion package with hardware discounts and lower card processing fees.
POS Costs for Add-On Features
À la carte features increase POS functionality and monthly costs. Both Square and Toast offer a full menu of add-on features for things such as email marketing, loyalty programs, payroll, online appointments and reservations and more. Add-ons can run a few dollars to hundreds per month, based on sales volume and the number of outlets.
Square publishes these costs so it’s easy to see if the free POS plus add-ons or paid Square Plus plan with built-in features is more economical. However, Toast and other specialized POS systems typically quote add-on module costs based on plan tiers, sales volume and systems needs.
Per-Transaction POS Fees
Most POS systems make money through built-in payment processing services. A few, including Square, Zettle and Toast don’t let you connect your own payment processor to their POS system. Others, including Clover, Lightspeed and Shopify POS support third-party processors, but you may have higher monthly fees or per-transaction surcharges.
Shopify is one that adds a per-transaction fee of .5% to 2% to online orders if you don’t use Shopify Payments. You can get around that on in-store Shopify POS Pro sales by connecting your payment provider’s terminal, but third-party hardware integrations can be tricky.
There are plenty of competitive credit card processing services to consider. However, it can be easier and more economical to use built-in POS payment services and negotiate lower rates and monthly fees as your sales volume increases.
Featured Partners
1
Clover
$14.95 per month (plus hardware)
90 days
Versatile POS, invoicing, employee management
2
Toast
$0
No
POS built specifically for restaurants, payroll, online ordering, team and inventory management
3
KORONA POS
$59/mo
Unlimited
Inventory management, custom reporting, advanced cashier functionality, accounting integrations
4
Lightspeed
$89 per month (billed annually)
14 days
2.6% plus 10-cent processing fee, dedicated account manager, integrated payments
Bottom Line
POS software, hardware and payment processing costs vary greatly between plans and providers. Free POS systems can be ideal for startups and solopreneurs and can quickly expand to meet the needs of fast-growing businesses. However, optional features increase costs, plus you have to use proprietary hardware and built-in processing. Paid POS systems with business-specific features, more hardware options and payment processing flexibility offer more economical and growth-oriented solutions in the long run.
Frequently Asked Questions
How much does it cost to build a POS?
Most small retail shops spend $0 to $99 per month for POS software, pay $30 to $800 for mobile readers or tablet-run registers and pay card fees based on sales volume. You can build a free POS system using the free Square POS and free mobile card reader and your only ongoing cost is credit card processing fees. Multilocation businesses might spend hundreds on monthly fees and pay thousands for cash register hardware.
How much is a POS system for small business?
Startups, side gigs and small businesses don’t have to pay much for a POS system. Square and PayPal Zettle are free and have mobile card readers ranging from $0 to $79. Your only ongoing cost is credit card processing fees. For larger or specialized businesses such as multi-location retailers and restaurants, advanced POS systems range from $14.95 to more than $200 per month and registers can cost into the thousands.
How do I choose the right POS system for my business?
The best POS system for your business depends on a variety of factors, including the type of business you have, your budget and the features you need. For many situations, it makes sense to invest in the best system you can afford, and preferably, the system can grow with your business.
How much does a POS register cost?
POS register costs depend on the POS system you use. Free and low-cost POS systems from Square, Zettle and Clover run on tablets and you can build a sleek countertop POS register with simple tablet stands that cost around $150 to $200. Full POS register bundles with barcode scanners, cash drawers and label printers range from $699 with Square POS to several thousand with POS systems from Clover, Lightspeed and Toast.
