Should I Charge an Extra Guest Fee? How Much?

As a host on platforms like Airbnb, determining whether to charge an extra guest fee and how much to charge can significantly impact your profitability and guest satisfaction. With evolving regulations and changing guest expectations in 2025, understanding these dynamics is crucial for successful short-term rental management. This comprehensive guide explores the considerations, best practices, and current trends surrounding extra guest fees.

The Rationale Behind Extra Guest Fees

Charging for additional guests beyond the base occupancy of your listing is a common and often necessary practice for hosts. The primary reasons for implementing an extra guest fee include:

• Covering Increased Costs: More guests mean higher utility consumption (water, electricity, gas), increased wear and tear on amenities and furnishings, and greater cleaning expenses. An extra guest fee helps offset these direct costs.
• Fairness and Value: It ensures that guests who utilize more resources contribute proportionally to the costs. This also allows hosts to offer a more competitive base rate for couples or solo travelers, providing better value for smaller groups.
• Preventing Abuse and Managing Capacity: An extra guest fee can deter guests from exceeding the stated maximum occupancy, which can strain resources, violate local regulations, and lead to neighbor complaints. It also helps hosts manage the property’s capacity effectively.
• Maximizing Revenue: For hosts whose properties can comfortably accommodate more than the base number of guests, an extra guest fee is a straightforward way to increase revenue without necessarily raising the base nightly rate.

How Much Should You Charge?. Find out more about Airbnb extra guest fee calculator 2025.

The amount charged for an extra guest fee can vary widely, depending on several factors. As of 2025, hosts are advised to consider the following when setting their fees:

• Calculate Your Additional Costs: Track your utility bills, cleaning supplies, and any increased maintenance costs associated with each additional guest.
• Research Competitor Pricing: Analyze similar listings in your area to understand the prevailing extra guest fees. This helps you remain competitive while ensuring your pricing is fair.
• Consider Your Base Rate: Some hosts base their extra guest fee on a portion of their nightly rate. For example, if a listing for two guests is $60 per night, a $30 fee per additional guest might be considered.
• Deterrent vs. Cost Recovery: Some hosts opt for higher fees ($100 or more) to strongly discourage exceeding occupancy limits, while others set fees primarily to cover increased costs.
• Local Regulations: Be aware of any local ordinances or platform policies that might influence or cap the fees you can charge.

Examples of common extra guest fees range from $10 to $30 per person per night, though some hosts may charge more depending on their specific circumstances and market.

Implementing Extra Guest Fees on Airbnb. Find out more about how much to charge for extra guests on Airbnb guide.

Airbnb provides a straightforward process for hosts to set up extra guest fees:

1. Navigate to the Host menu.
2. Select Manage Listings and choose the listing you wish to edit.
3. Go to Pricing, then Extra Charges.
4. Edit the Extra Guest charge by entering the desired amount per night per extra guest.
5. Specify the number of guests included in the base price before the extra guest fee applies.
6. Save your changes.

It’s important to note that any new extra guest fee you set will only apply to future reservations. For confirmed bookings, you will need to send a trip change request through Airbnb to adjust the price.. Find out more about Airbnb policy changes extra guest fees May 2025 tips.

Important Policy Updates and Considerations for 2025

Recent policy changes, particularly those effective from May 2025, have significant implications for how hosts manage and display fees, including extra guest fees:

• Fee Transparency: As of May 10, 2025, Airbnb’s Off-Platform and Fee Transparency Policy mandates that all mandatory fees, including extra guest fees, must be declared within Airbnb’s designated fee fields. Fees cannot be listed solely in the description or collected off-platform.
• Total Price Display: In alignment with a new U.S. Federal Trade Commission (FTC) rule effective May 12, 2025, platforms like Airbnb are required to display the total price of a stay upfront, including all mandatory fees (excluding taxes). This means extra guest fees must be factored into the initial price shown to potential guests.
• No Off-Platform Collection: Hosts are prohibited from collecting any fees related to Airbnb reservations outside of the platform, with limited exceptions for software-connected hosts who must still disclose these fees within Airbnb’s pricing fields.
• Clear House Rules: Hosts should clearly state their maximum occupancy and policies regarding extra guests in their listing description and house rules to manage guest expectations from the outset.

Best Practices for Hosts

To ensure a smooth and profitable hosting experience:. Find out more about setting up extra guest charges on Airbnb listing strategies.

• Be Explicit: Clearly communicate your extra guest policy, including the fee amount and when it applies, in your listing description and house rules.
• Use Airbnb’s Tools: Utilize the built-in extra guest fee feature on Airbnb to manage pricing and ensure transparency.
• Monitor Your Listing: Regularly review your pricing and policies to ensure they align with your costs and market conditions.
• Consider Guest Experience: While fees are important, balance them with the overall guest experience. Avoid excessively high fees that might deter bookings.
• Use Exterior Cameras (with Disclosure): For hosts concerned about unannounced guests, exterior cameras can provide proof, but ensure these are disclosed to guests as required by law and best practice.

Conclusion

Charging an extra guest fee is a vital strategy for hosts to cover costs, ensure fairness, and manage their properties effectively. By understanding the rationale, setting appropriate fees, and adhering to the latest platform and regulatory requirements, hosts can optimize their listings for both profitability and guest satisfaction in the evolving short-term rental landscape of 2025.