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# Fee Management

Pays each Tempo transaction's network fee in a USD stablecoin, with no separate gas token.

## Overview

Fee management decides who pays each transaction's network fee and which stablecoin pays it. Every Tempo transaction pays its fee in a USD stablecoin, so accounts need no separate gas token.

Fee tokens and fee sponsorship work on mainnet and testnet. The same fee rules apply to configurable accounts, which run only on the [Tempo Accounts devnet](https://tempo.xyz/developers/docs/accounts/create#connect-to-the-devnet) until T14.

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## Fee Payment

Each transaction pays its fee in one of three ways:

* **By Default:** The account pays its own fee. A plain transfer pays in the stablecoin it sends.
* **With a Fee Token:** The fee is paid in a different stablecoin, the [fee token](https://tempo.xyz/developers/docs/accounts/fees/fee-tokens).
* **With a Fee Payer:** A [fee payer](https://tempo.xyz/developers/docs/accounts/fees/fee-sponsorship) pays for your customers. It can't change the account's calls or move its funds.

## Fee Costs

A standard stablecoin transfer costs about $0.00003 when the network is quiet. It costs about $0.0006 at the base fee's cap.

Before the transaction runs, Tempo deducts its maximum fee from the fee payer's balance in the fee token. The maximum fee is the gas limit times the gas price. Afterward, Tempo refunds the unused part.

When the validator producing the block wants a different stablecoin, the [Fee AMM](https://tempo.xyz/developers/docs/protocol/fees/spec-fee-amm) converts the fee to it. The Fee AMM is a set of built-in exchange pools.

If the fee token fails any of [Tempo's fee token checks](https://tempo.xyz/developers/docs/accounts/fees/fee-tokens#supported-fee-tokens), the transaction is invalid. Tempo never includes it, so it costs nothing. A transaction that's included and then fails still pays its fee.

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## Fee Token Order

Tempo uses the first of these that applies:

1. `feeToken` on the transaction.
2. The fee payer's default fee token.
3. The token being transferred. This applies when every call is a `transfer` or `transferWithMemo` on the same USD token. The account must also pay its own fee.
4. The input token of a single Stablecoin DEX swap.
5. pathUSD, the first stablecoin deployed on Tempo.

Tempo checks only that first token. If the fee payer can't pay in it, the transaction is invalid, even when a later token would work. Without a default, a transaction that isn't a transfer or swap falls back to pathUSD. If the fee payer can't pay in pathUSD, the transaction is invalid. [Set a default fee token](https://tempo.xyz/developers/docs/accounts/fees/fee-tokens#set-a-default-fee-token) on each account that pays fees.

## Related

[Fee Tokens](https://tempo.xyz/developers/docs/accounts/fees/fee-tokens): Use for choosing which stablecoin pays an account's fees, per account or per transaction.

[Fee Sponsorship](https://tempo.xyz/developers/docs/accounts/fees/fee-sponsorship): Use for paying your customers' fees with a fee payer, so they need no fee balance.

[Fee Specification](https://tempo.xyz/developers/docs/protocol/fees/spec-fee#fee-token-preferences): Covers fee token preferences and how Tempo picks the fee token.

[Fee AMM Specification](https://tempo.xyz/developers/docs/protocol/fees/spec-fee-amm): Covers how the Fee AMM converts fees between stablecoins.
