Best POS system for a small business? What each costs a year

Three businesses, five systems, one year

Check this first. Restaurant or retail? Clover and Toast price each kind differently. These are US prices for cards taken in person.

Each bar is one year of hardware, software and card fees at each vendor's published in-person price, with the same card total and payment size. The order is fixed, not by cost.

• Hardware, once
• Software, 12 months
• Card fees, 12 months

A one-register shop: US$20,000 a month on cards, 500 payments of US$40

Needs an item list, discounts, returns and sales reports.

• Square FreeSquare Terminal
  US$7,439 · hardware US$299 + software US$0 + card fees US$7,140
• Clover Retail, Standard bundleStation Duo
  US$9,038 · hardware US$1,899 + software US$1,019 + card fees US$6,120
• Toast Point of Sale for retail
  Not confirmed by us · software from US$1,080 a year, hardware and the card rate not published
• Lightspeed Retail, Basic, billed yearly
  At least US$7,908 · software US$1,068 + card fees US$6,840 · hardware not published

A small cafe with one counter terminal: US$30,000 a month on cards, 2,500 payments of US$12

Needs menu items for a counter.

• Square FreeSquare Terminal
  US$14,159 · hardware US$299 + software US$0 + card fees US$13,860
• Clover Restaurant, Starter bundleStation Solo
  US$14,158 · hardware US$1,799 + software US$1,079 + card fees US$11,280
• Toast Starter Kit, pay as you gofirst terminal included
  US$11,124 · hardware US$0 + software US$0 + card fees US$11,124 · no per-payment fee is stated
• Toast Point of Sale, hardware bought up front
  At least US$9,792 · software US$828 + card fees US$8,964 · hardware not published · no per-payment fee is stated, and the plan and the rate come from two pages, so this pairing is our inference
• Lightspeed Restaurant, Starter
  Not confirmed by us · software from US$828 a year, hardware and the card rate not published

A retailer with inventory: US$50,000 a month on cards, 1,000 payments of US$50

Needs stock counts and purchase orders.

• Square PlusSquare Terminal
  US$17,687 · hardware US$299 + software US$588 + card fees US$16,800
• Clover Retail, Standard bundleStation Duo
  US$17,918 · hardware US$1,899 + software US$1,019 + card fees US$15,000
• Toast Point of Sale for retail
  Not confirmed by us · software from US$1,080 a year, hardware and the card rate not published
• Lightspeed Retail, Basic, billed yearly
  At least US$17,868 · software US$1,068 + card fees US$16,800 · hardware not published

Estimates, not quotes: all payments in person with a card, one location, hardware bought outright and counted in year one, list prices, no tax, tips, refunds or typed-in sales. Square Plus for the retailer is its cheapest plan listing stock counts and purchase orders. Clover Standard is its cheapest bundle listing item management, which only partly meets that need. Hardware is not like for like: Square's Terminal has a printer but no cash drawer or customer screen; Clover's Station Duo has a drawer, a printer and an 8 inch customer screen. Lightspeed Retail is billed yearly (US$109 if monthly). Square says over US$250,000 a year in processing may get custom pricing: the shop (US$240,000) is just under, the cafe (US$360,000) and retailer (US$600,000) over, so ask for a quote.

Where the answer flips

1. Card volume

   On rates alone, Square's paid plans pay off only above US$49,000 a month

   • Plus costs US$49 a month and takes 0.1 points off the card rate: it breaks even at US$49,000 a month
   • Premium against Free breaks even at US$74,500; Premium against Plus at US$100,000
   • Next: use your card total, not your sales total
   Details

   Plan fee over the points saved, per location. How rates are built.

2. Payment size

   Under about US$31 a payment, Square's 15 cents costs more than Toast's flat 3.09%

   • On a US$12 payment: Square Free 3.85%, Clover 3.13%, Toast pay as you go 3.09%
   • Square Free crosses Toast's flat 3.09% at US$31 a payment; Clover crosses it at US$13
   • Next: use your average payment
   Details

   If Toast adds a fixed fee, the crossings move.

3. Hardware and contracts

   Hardware is a quote at Lightspeed and Toast, and a 36-month subscription at Clover

   • Lightspeed: "Request a quote". Toast: no hardware price published
   • Clover's monthly option is 36 months: no refunds or cancelling, but it can be paid off early
   • Square lists every device price and has no locked-in contract

The published terms side by side

What is not in these numbers

• Hardware you add. A cash drawer (Clover Basic and Square Terminal have none), a scanner, a second terminal. Toast says later devices cost extra.
• Contracts. Lightspeed's agreement renews itself, charges the rest of the term on early exit, and ties discounted hardware to 24 months of Lightspeed Payments. We did not read Square's or Toast's merchant agreements.
• Your own processor. Toast requires its processing. Lightspeed adds a monthly fee for another processor and cannot use terminals you own.
• Typed-in and online sales. Square charges 3.5% + 15 cents and Clover 3.5% + 10 cents typed in; Toast and Lightspeed publish none.
• Fast payouts and disputes. Square charges 1.95% for an instant transfer and Clover 1.75% for Rapid Deposit; Lightspeed lists instant payouts, no fee found. Lightspeed's chargeback fee is 15 (no currency shown).
• A kitchen screen. Per device a month: Square Plus US$30, Clover US$25, Lightspeed US$30, plus the screen. Lightspeed's is not re-read by us.
• Offers. Toast: 60% off a new customer's first hardware order. Clover: US$450 statement credit, online only, new merchants, 3-year contract.

Which fits, by situation

• Payments under about US$31: Toast's flat 3.09% costs less than Square Free. Clover's Standard, Advanced and Restaurant bundles cost less than any Square plan at any size; Clover Basic (2.6% + 10 cents) costs more than Square Plus above about US$50 and Premium above about US$25. Clover is lower than Toast pay as you go (3.09%) above about US$13, and than Toast's 2.49% rate above about US$53.
• Over US$49,000 a month on cards: price Square Plus against Free, and ask each vendor for a quote.

Quick answers

Not for you if

• Square: not for you if you sell mostly small itemsOn a US$12 payment, Square's 15 cents makes the in-person rate 3.85%.
• Clover: not for you if you want a short commitmentPaying monthly is a 36-month subscription.
• Toast: not for you if you want hardware prices firstNone is published, and you must use Toast's processing.
• Lightspeed Retail: not for you if you may leave earlyThe agreement renews itself, with a fee for leaving early.
• Lightspeed Restaurant: not for you if you need a US card rate todayPlans from US$69 to US$399 (billing period not labelled), no US card rate or hardware price.

Vendor pages: Square, Clover, Toast, Lightspeed Retail, Lightspeed Restaurant.

How we know

• Nov 8, 2026An independent reviewer re-read Square, Clover Restaurant, Toast and Lightspeed Retail in a real browser and found the same prices, except Clover's 48-month and automatic-extension wording, which we dropped. Our builder read Clover's offer terms.
• Nov 7, 2026Clover's Retail page, in a real browser, by our builder.
• Nov 6, 2026We first read Square's US pages, Lightspeed Retail's plans, payments page and service agreement, and Toast's help article, by plain request. Honest Fees research had earlier read Toast, Clover's Restaurant page, Lightspeed's US card rate and the restaurant plans.

We opened no account and tested none of these systems: we read their pages. Numbers marked not re-read by us come from earlier Honest Fees research.

Sources: Square pricing, Square hardware, Lightspeed Retail pricing, Lightspeed service agreement, Toast help, Clover Retail pricing, Toast starter kits.