Surcharges Are Gone: Card Fees Now Come Straight Out of Your Margin
Since 1 October 2026, Australian businesses can no longer add a surcharge to payments made with Visa, Mastercard, American Express or eftpos cards. The rule came from the Reserve Bank of Australia's card payment reforms, and the ACCC's guidance for businesses is clear: the price on your menu is now the price the client pays by card.
What hasn't gone away is the fee your payment provider charges on every tap. Before October, many salons passed that cost on as a 1–2% surcharge. Now it comes straight out of your margin — and plenty of owners haven't noticed yet, because nothing on the terminal looks different.
What the surcharge ban really costs a salon
Take a nail salon that takes A$30,000 a month by card. Here's what different merchant fee rates cost each month, now that none of it can be passed on:
- At 1.6%: A$480 a month, or A$5,760 a year
- At 1.2%: A$360 a month, or A$4,320 a year
- At 0.8%: A$240 a month, or A$2,880 a year
The gap between a high rate and a good one on the same card turnover can be thousands of dollars a year — before you add terminal rental, paper rolls and monthly account fees. These figures are an example; your own depend on your turnover, card mix and provider.
Three numbers to check this week
- Your effective rate. Add up every fee on last month's EFTPOS statement — merchant fees, terminal rental, monthly fees — and divide by your card turnover. That single percentage is the real cost of every tap.
- What you pay for the terminal. Many salons pay monthly rental for each terminal, often on a contract they've forgotten about.
- Whether the surcharge is really off. Check your POS and terminal settings, your booking page and your deposits. Surcharges must not be added anywhere.
If you'd like a step-by-step guide, read EFTPOS fees explained for nail salons and what the surcharge ban means for nail salons.
Your options now
- Get a better rate. This is usually the quickest win. Rates vary a lot between providers, and many salons are still on the rate they signed up with years ago.
- Cut fixed costs. Terminal rental and paid paper rolls add up across a year, especially with more than one terminal.
- Review your prices. Building card costs into your service prices is allowed, but do it deliberately and tell your regulars before they notice at the desk.
- Offer bank transfer or PayID for larger amounts, such as gift vouchers or packages, where clients are happy to pay that way.
How Ukilu can help
Ukilu is booking and POS software, not an EFTPOS provider. But we work with EFTPOS and payment partners, and when you join Ukilu we negotiate a rate for your salon and connect you with them. Through our partners:
- Card rates of around 0.7–0.8%, or lower, depending on your location and turnover
- No monthly terminal rental
- Free paper rolls
- Free setup — we connect the terminal to Ukilu and bring your services, staff and clients across from your old system
Once connected, the total goes straight from the sale on the iPad to the terminal — no typing, no mismatched totals — and card surcharges stay switched off as the law requires. See how it works on the salon POS system page, or read about integrated EFTPOS for nail salons.
Get a rate check
Send us your last EFTPOS statement and we'll show you what you're paying now and what you could pay through our partners. There's no obligation. Contact our team or email [email protected].
For the official rules on card surcharges, see the ACCC's guidance for businesses.