Payments · Flat-Rate Processors
Square Review
Flat-rate payments, invoicing and POS with a no-monthly-fee plan
Quick verdict
Square is best for Solo and small service businesses that want online sign-up, published flat rates, built-in invoicing and low-cost ways to take cards on site. Flat-rate markup costs more at high card volume; Free-plan online and invoice rate is 3.3% + 30¢ since January 2026; payment terms allow payout holds and reserves; lower rates require a $49 or $149 monthly plan per location.
Rates & pricing
Flat-rate. Square Free ($0/mo): in-person 2.6% + 15¢, online and invoices 3.3% + 30¢, manually keyed or card on file 3.5% + 15¢. Square Plus ($49/mo per location): in-person 2.5% + 15¢, online and invoices 2.9% + 30¢. Square Premium ($149/mo per location): in-person 2.4% + 15¢, online and invoices 2.9% + 30¢. ACH bank transfer on invoices 1% ($1 minimum; $10 cap on Plus and Premium). Cards issued outside the US add 1.5%.
Pricing model: flat rate · Monthly fee: $0 (Square Free)
Affiliate disclosure: The link to Square on this page goes to its own site and is not an affiliate link.
About Square
Square is the payments and point-of-sale business of Block, Inc., which renamed itself from Square, Inc. to Block in 2021. Square's own timeline starts in 2009 with its original mobile card reader, and Block's SEC filings list its offices in Oakland, California. Square says more than four million sellers run on it. You sign up online, and the Square Free plan has no monthly fee.
For a trade business, the useful pieces are Square Invoices and in-person payments. Square Invoices covers estimates and contracts with e-signature, upfront deposits with a separate due date for the balance, recurring invoices and automatic payment reminders. In the field, Tap to Pay on iPhone and Android takes contactless cards with no reader; Square lists a free magstripe reader and a $59 contactless and chip reader. Square also sells payroll (from $35/mo plus $6 per person paid) and business banking, and QuickBooks Online can import Square transactions automatically.
On Square Free, in-person cards cost 2.6% + 15¢, online and invoice payments 3.3% + 30¢, and manually keyed or card-on-file payments 3.5% + 15¢. Square Plus ($49/mo per location) and Square Premium ($149/mo per location) lower the in-person rate to 2.5% + 15¢ and 2.4% + 15¢ and the online and invoice rate to 2.9% + 30¢. A Square community manager posted in November 2025 that the standard online processing fee would rise from 2.9% + 30¢ to 3.3% + 30¢ on January 13, 2026. ACH bank payments on invoices cost 1% with a $1 minimum, capped at $10 on Plus and Premium.
The trade-off: flat rates are simple but carry the same markup on every card, so a shop with high card volume or large tickets should compare its effective rate with interchange-plus or subscription processors and steer big invoices to ACH. Square's payment terms also let it defer payouts, delay transfers or hold a reserve during an investigation or when it sees chargeback risk, so a contractor who depends on one large payment should keep a cash buffer.
How it works
You sign up online and can take payments in person (tap, dip or swipe with a Square reader, or Tap to Pay on iPhone and Android with no reader), online, through Square Invoices, or by keying in a card or charging a card on file. Each payment is charged a flat rate set by your plan: Square Free has no monthly fee, while Square Plus ($49/mo per location) and Square Premium ($149/mo per location) lower the rates. Square says payments taken before 5 PM PT arrive in your bank the next business day; instant and same-day transfers cost 1.95% per transfer. Invoices can collect cards or ACH bank payments, and payroll and banking sit in the same Square account.
Pros & cons
What works
-
Online sign-up, no contract
You sign up online, and Square's pricing page says there are no locked-in contracts and you can cancel or switch plans anytime. The Free plan has no monthly fee, so a solo contractor can start without a fixed cost.
-
Published flat rates
Every rate is on Square's fee page, so you know the cost of a payment before you take it: on the Free plan, 2.6% + 15¢ in person and 3.3% + 30¢ online or by invoice.
-
Invoicing that fits job work
Square Invoices includes estimates, contracts with e-signature, upfront deposits with a later due date for the balance, recurring invoices for maintenance plans and automatic reminders.
-
Low-cost ways to take cards on site
Tap to Pay on iPhone and Android needs no reader, Square lists the magstripe reader as free, and the contactless and chip reader is $59.
-
Adjacent tools in one account
Square Payroll (from $35/mo plus $6 per person paid) and Square Banking sit in the same account, and QuickBooks Online can import Square transactions automatically.
What doesn't
-
Flat-rate markup at volume
You pay the same percentage whatever a card's underlying cost, so at high card volume an interchange-plus or subscription processor can cost less. Work out your own effective rate before you commit.
-
Higher online rate on the Free plan
A Square community manager announced that the standard online processing fee rose from 2.9% + 30¢ to 3.3% + 30¢ on January 13, 2026. Square's fee page now lists 3.3% + 30¢ for online and invoice payments on the Free plan.
-
Payouts can be held
Square's payment terms let it defer payouts or restrict access to funds during an investigation, hold a reserve, and delay payouts when chargebacks are pending. A contractor who depends on one large payment is exposed if that happens.
-
Lower rates cost a monthly fee
The reduced rates require Square Plus at $49/mo or Square Premium at $149/mo, charged per location. At that point, compare the total cost with processors that price differently.
-
Percentage fees add up on big tickets
A $15,000 invoice paid by card online on the Free plan costs $495.30 at 3.3% + 30¢. The same invoice paid by ACH costs 1%, or $150 on Free and $10 on Plus or Premium because of the cap.
Features & integrations
Key features
Integrations
Frequently asked
What are Square's payment processing fees?
On Square Free: in person 2.6% + 15¢, online and invoices 3.3% + 30¢, and manually keyed or card on file 3.5% + 15¢. Square Plus ($49/mo per location) lowers these to 2.5% + 15¢ in person and 2.9% + 30¢ online; Square Premium ($149/mo per location) lowers in person to 2.4% + 15¢. ACH on invoices is 1% with a $1 minimum, capped at $10 on Plus and Premium, and cards issued outside the US add 1.5%.
Is Square a cheap option for a contractor?
It is simple and has no monthly fee on the Free plan, but a flat rate charges the same markup on every card. As your card volume or average ticket grows, compare your effective rate with interchange-plus or subscription processors, and consider the Plus or Premium plan only if the lower rates cover the monthly fee.
Can Square hold my funds?
Yes. Square's payment terms say it may defer payouts or restrict access to your proceeds during an investigation, hold a reserve that it can raise or lower at its discretion, and delay payouts while chargebacks are pending. If you take large or irregular payments, keep a cash buffer or a backup way to get paid.
Should a contractor use Square or the payments built into their field-service app?
If your field-service app offers its own card processing, that keeps payments in the same system as the job. Square makes sense if you want a standalone processor with invoicing, a POS and hardware, or if its rates beat your app's. Compare effective rates and where you want payments to reconcile.
Is Square good for big-ticket jobs?
Card fees get large on big invoices: a $15,000 invoice paid by card online on the Free plan costs $495.30 at 3.3% + 30¢. Square Invoices can also take ACH bank payments at 1% ($1 minimum), which Square caps at $10 on the Plus and Premium plans, so steering large invoices to ACH saves real money.
Other payment processors
Stripe
Flat-rate online payments, cheap ACH and billing tools that other software builds on
Helcim
Interchange-plus card processing with a published margin and no monthly fee
Stax
Subscription pricing: a monthly fee instead of a percentage markup on card payments
QuickBooks Payments / GoPayment
Card, ACH and wallet payments that auto-match to your QuickBooks invoices
PayPal Point of Sale (formerly Zettle)
No-monthly-fee card acceptance with Tap to Pay, invoicing and PayPal and Venmo payments
Clover
Fiserv's all-in-one POS hardware and software: get the full quote and contract terms in writing