Key points at a glance
- According to industry reports, the base commission is usually between 12 and 20 % per booking. Your actual rate is in your contract and the extranet, not in online guides.
- Genius costs no extra commission, but you fund the 10 to 20 % discount yourself. Preferred Partner and the Visibility Booster buy visibility in exchange for extra percentage points.
- Payments by Booking.com takes payment handling off your hands but charges its own fee. Compare it with your card terminal or payment provider.
- The commission invoice comes without VAT: under the reverse charge procedure you owe the tax yourself. With input tax deduction this is neutral; for small businesses (Kleinunternehmer) it is a real cost.
- Once a year, calculate your effective commission: all fees and discounts divided by your Booking.com revenue. Only then do you know which programme pays off.
This post is general information and does not replace legal or tax advice. Rules change and some differ between federal states: check the details with your chamber of commerce (WKO) or IHK, the competent authority or your tax adviser.
How high is the Booking.com commission?
Booking.com earns money on accommodation through a commission that the hotel pays after the stay. Guests pay no booking fee. There is no single rate: it depends on the country, the region, the type of property and your contract. For Austria, the Ö1 radio news programme Morgenjournal reported in August 2025 commissions of 12 to 20 % per room booking. Many smaller properties start at a rate around 15 %. Still, do not rely on averages from the internet; check your contract and the commission overview in the extranet.
The key distinction is between contract commission and effective commission. The contract commission is the percentage Booking.com charges on a booking. The effective commission covers everything the channel really costs you: extra points for programmes, payment fees, discounts you only give because of the portal and, for small businesses, the VAT on the commission. This figure is almost always higher than the one in the contract.
| Component | What it costs | Mandatory? |
|---|---|---|
| Base commission | Percentage per contract, usually 12 to 20 % according to industry reports | Yes |
| Genius | No extra commission, but a 10 to 20 % discount for Genius guests | No, opt-in |
| Preferred Partner | Higher commission, industry sources usually cite around 3 percentage points | No, by invitation |
| Visibility Booster | Higher commission for selected dates | No |
| Payments by Booking.com | Fee for payment processing, depending on country and payment method | No, depends on market |
| VAT on the commission | Reverse charge: 20 % (AT) or 19 % (DE), neutral with input tax deduction | Yes, by law |
How the commission is calculated and invoiced
The basis is the amount the guest pays for the booking, so after any Genius or promotional discount. According to Booking.com, this includes extra fees you charge, such as cleaning, cancellation and no-show fees. In most countries, commission is also charged on VAT; what applies to your property is set out in the General Delivery Terms. Booking.com charges no commission on local levies such as the Ortstaxe (local tourist tax in Austria) or the Kurtaxe and accommodation tax (Germany) if they are set up as a tax or levy in the extranet. Whether that applies to you can be seen on the commission invoice: check one booking line by line.
Booking and stay
The guest books; commission is only due once the stay has taken place. For free cancellations you pay no commission.
Report changes
If a guest leaves early, does not show up or pays less than booked, correct the booking in the extranet before the invoice is created. Otherwise you pay commission on revenue that never existed.
Monthly invoice
Booking.com usually issues one commission invoice per month for all departed guests. With Payments by Booking.com the commission is deducted directly from the payout.
Accounting
The invoice comes from the Netherlands without VAT. Your bookkeeping or tax adviser treats it under the reverse charge procedure (see below).
Genius: a discount you pay for yourself
Genius is Booking.com's loyalty programme for guests. According to Booking.com, guests with a free account immediately get Level 1 with 10 % off, after 5 bookings within two years Level 2 with 10 to 15 %, and after 15 bookings Level 3 with 10 to 20 %, at higher levels sometimes with breakfast or an upgrade. The discount applies to the price before taxes and charges. You are the one who pays for it: Booking.com charges no extra commission for Genius, but you sell the room cheaper and pay the normal commission on the reduced price.
The upside: according to Booking.com, Genius properties may be given preference in sorting and carry a badge, and Genius guests book a lot. The downside: some of these guests would have booked without a discount. According to the ÖHV complaint, Booking.com has also been showing the Genius discount to all travellers since July 2026, which makes non-participating properties look more expensive by comparison. So treat Genius like additional commission: a 10 % discount at 15 % commission means roughly a quarter of the original room rate stays with the channel.
- Choose rates and rooms deliberately: check in the extranet which rates, room types and periods the Genius discount applies to.
- Do not stack discounts by accident: depending on your settings, Genius, mobile rates and promotions such as early booker deals can apply to one booking at the same time. Test your own prices in the guest view.
- Calculate higher levels: only offer breakfast or upgrades for Levels 2 and 3 if you know the cost per night.
- Think seasonally: in peak season, when you are full anyway, a discount brings less than in the off-season.
Preferred Partner and Visibility Booster: visibility for percentage points
The Preferred Partner programme is open to properties that Booking.com selects based on criteria such as reviews, conversion and prices. Participating properties get a thumbs-up badge and more visibility. Booking.com itself confirms that they pay a higher commission for it; industry sources usually cite around 3 extra percentage points, and there is no official public figure. You can see the exact amount in the extranet under the programmes before you agree. You can also leave the programme there.
The Visibility Booster works in a similar but targeted way: you raise the commission for specific arrival dates, for example a weak weekend or a trade fair. That can make sense to fill gaps. Left on permanently, it becomes an expensive habit.
Whether a programme pays off is a simple calculation: the extra percentage points apply to all bookings via Booking.com, not just the additional ones. Example: with €150,000 annual revenue via Booking.com, 3 percentage points cost €4,500 a year. At an average of €360 per booking, that already equals the revenue of 12 to 13 bookings. Because only part of each booking remains as contribution margin after cleaning, breakfast and commission, you need considerably more additional bookings, and ones that would not have come without the programme. With the break-even calculator you can check how many nights you need overall to cover your fixed costs.
Payments by Booking.com: fees for payment processing
With Payments by Booking.com, Booking.com collects the money from the guest and pays you the amount minus commission. That saves you work with credit cards, deposits and payment defaults. In return there is a payment processing fee, which varies by country, payment method and payout method. Provider websites cite values between roughly 1 and 3 % of the booking amount; you will find your actual rate in the Payments overview in the extranet.
According to the European Hotel Distribution Study 2026 by the European hotel association HOTREC, 65 % of hotels in Europe use the payment system of Booking Holdings. The ÖHV criticises that the terms allow Booking.com to pass on payment costs without a cap and without itemisation. For you this means: look closely at the Payments fees on your statement and compare them with the alternative.
| Option | Cost | Effort | Risk |
|---|---|---|---|
| Payments by Booking.com | Payments fee plus commission, deducted directly from the payout | Low | Payment defaults largely borne by Booking.com |
| Virtual credit card via your terminal | Fees of your payment provider, commission via monthly invoice | Medium | Card must be charged at the right time |
| Payment on site | Fees of your terminal, or cash | Medium | No-shows and cancellation fees harder to collect |
In some markets Payments by Booking.com is standard for new properties. Where you can choose, the comparison is worthwhile above all for properties that already have a good card terminal. How to protect yourself against no-shows with guarantees and cancellation policies is explained in the guide to online reservations.
VAT on the commission invoice: reverse charge in Austria and Germany
Booking.com invoices the commission from Booking.com B.V. in Amsterdam, without VAT. Because it is a service from a business in another EU country to your business, the tax liability passes to you (reverse charge). You calculate the Austrian or German VAT on the commission yourself and report it to the tax office.
| Austria | Germany | |
|---|---|---|
| Legal basis | Transfer of tax liability, § 19 UStG 1994 | Recipient as tax debtor, § 13b UStG |
| VAT rate on the commission | 20 % | 19 % |
| With input tax deduction | Tax and input tax cancel out, costs nothing | Tax and input tax cancel out, costs nothing |
| Small businesses (Kleinunternehmer) | Must pay the tax, no input tax deduction; VAT ID (UID) needed for the invoice | As businesses they also owe the tax (§ 13b (5) sentence 1 UStG), no input tax deduction |
Worked example: what is left of 360 euros
A guesthouse sells a double room for 3 nights at €120 each, including VAT and breakfast, excluding Ortstaxe or Kurtaxe. The booking comes from a Genius guest via Booking.com. The percentages are assumptions for illustration. Use your own figures from your contract and the extranet.
| Item | Amount | Calculation |
|---|---|---|
| List price 3 nights | €360.00 | 3 × €120 |
| Genius discount 10 % | −€36.00 | Guest pays €324.00 |
| Base commission 15 % | −€48.60 | 15 % of €324 |
| Preferred surcharge 3 percentage points | −€9.72 | 3 % of €324 |
| Payments fee 1.5 % | −€4.86 | 1.5 % of €324 |
| What reaches you | €260.82 | €324 minus €63.18 |
| Kleinunternehmer only: VAT on commission and Payments fee | −€12.64 (AT) or −€12.00 (DE) | 20 % or 19 % of €63.18 |
Measured against the list price of €360, around €99 or just over 27 % goes on discounts and fees, more than 30 % for Kleinunternehmer. The contract commission of 15 % is only part of it. The Payments fee is also subject to VAT: for bookings from 3 September 2026, Booking.com shows a separate “VAT on Payment Charge” item. Clarify with your tax adviser how to book both.
For comparison: if the same guest books directly on your website, you pay the fee of your booking engine and payment provider, often just a few percent. Even if you give direct bookers a perk such as a dinner or a late check-out, considerably more usually remains. How to win such guests is explained in the guide direct bookings for hotels. How to build the commission into your price floor is shown in the article on calculating room rates.
How to lower your effective commission
Small properties can rarely negotiate the base rate. But the effective commission can be pushed down in many places without turning your back on Booking.com.
Check the statements
Report no-shows, cancellations and shortened stays in the extranet on time. Every forgotten correction costs full commission.
Evaluate programmes individually
Do not leave Genius, Preferred and the Visibility Booster running out of habit. Once a year, check for each programme whether the extra bookings cover the extra cost.
Limit discounts
Avoid stacked discounts, target Genius at the off-season and specific rooms, and only give breakfast and upgrades when you have costed them.
Compare payment methods
Compare the Payments fee with the cost of your own payment provider and virtual credit cards.
Handle the tax correctly
Book the reverse charge correctly, deduct input tax if you are entitled to, and as a Kleinunternehmer check whether switching to standard VAT taxation pays off.
Bring repeat guests direct
Anyone who came via Booking.com once should book directly next time: with a website, booking button, newsletter and direct perk.
The last step usually brings the most. Free booking links on Google and a well-kept Google Business Profile make sure that guests searching for your name land directly with you. An invitation via newsletter before each season brings repeat guests back without commission. Good Google reviews strengthen trust in your own website.
How to get it right
- Spot-check the commission invoice every month
- Calculate the effective commission per year
- Evaluate programmes with before-and-after figures
- Use Booking.com as a channel for new guests, serve repeat guests directly
Better not
- Leave Preferred and the booster running permanently without control
- Combine Genius, mobile rates and promotions without checking
- Fail to report no-shows and changes to departure dates
- Forget the VAT on the commission
Briefly on pricing: no more parity obligation
Booking.com may no longer impose best-price clauses on you in the EEA. In Austria they are void under the Preisauszeichnungsgesetz (Price Labelling Act) anyway, in Germany the Federal Court of Justice (BGH) declared the narrow clauses anticompetitive, and the Digital Markets Act bans them for Booking.com across the EU. So you may be cheaper on your own website or build the commission into your portal price. Details and background are in the guide direct bookings for hotels.
Compare annual commission with your own website
Put your annual Booking.com commission next to the cost of your own hotel website with a booking button. The cost calculator shows one-off and running costs.
Annual check: your Booking.com costs in 30 minutes
Check once a year
- Look up and note the contract commission in the extranet
- Add up all commission invoices and Payments fees for the year
- Estimate the Genius and promotional discounts granted or read them from the reports
- Calculate the effective commission: all costs divided by revenue via Booking.com
- Compare bookings before and after for Preferred and the Visibility Booster
- Agree the reverse charge with your tax adviser, check the VAT ID on the invoices
- Note your share of direct bookings and set a target for next year
More direct bookings with your own website
See in the free preview how your hotel or guesthouse could look with rooms, a direct perk and a booking button.
A free preview of your venue website, designed by us.
Sources
- Booking.com: How we work (commission, sorting, Genius, Preferred)
- Booking.com: Genius levels and discounts
- Tageskarte: ÖHV complains about Booking.com to the European Commission (September 2026)
- ORF.at: class action against Booking.com, commissions of 12 to 20 %
- WKO: B2B services from foreign businesses (reverse charge)
