What you need before you start

Square requires three things before you can open an account: a valid email address, a phone number, and a way to verify your identity. You will also need a bank account in your name — Square deposits your payments there, usually within one to two business days. If you are setting up Square for a business, have your business name, address, and tax ID (EIN or SSN) ready.

Square does not charge a setup fee. You pay only when you process a payment: 2.6% plus 30 cents for card-present transactions (in-person with a reader), or 2.9% plus 30 cents for card-not-present transactions (online or phone). ACH transfers and cash have no fee.

You can start the account setup on your phone, tablet, or computer. The process takes about 10 minutes, though identity verification can take up to 24 hours.

Key Takeaways

  • Square requires an email, phone number, and bank account in your name, plus a way to verify your identity before you can process payments.
  • The account setup itself is free and takes about 10 minutes, but you pay a percentage of each transaction when money actually moves.
  • Square deposits your payments to your bank account within one to two business days, minus the transaction fee.
  • You can accept payments in person with a card reader, online through a link or invoice, or by phone without any additional software.

Step-by-step account creation

Go to squareup.com or download the Square app on iOS or Android. Tap or click "Sign Up" and enter your email address. Square will send you a verification link — click it to confirm your email is real.

Next, enter your phone number and create a password. Square will text you a code to verify the phone number. Enter that code, then provide your full name, date of birth, and the last four digits of your Social Security number. This is how Square confirms you are who you say you are.

Add your bank account information: the routing number and account number from a check, or connect your bank directly through Plaid (a service that links your bank to Square without sharing your password). Square will make two small test deposits to your account within one to two business days — you will need to confirm the amounts to prove you own the account.

If you are setting up a business account, provide your business name, address, and either your EIN or your Social Security number. Square may ask for additional documents like a business license or articles of incorporation, depending on your business type and location.

Choosing what kind of payments you want to accept

Square lets you accept payments in three ways, and you can use all three at once. In-person payments require a Square Reader — a small device that plugs into your phone or tablet and reads credit and debit cards. Square sells the Reader for about $29, or you can get one free with certain Square subscriptions.

Online payments work through Square's website builder, invoicing tool, or a payment link you send to a customer. You do not need any hardware. A customer clicks the link, enters their card details, and the payment goes through.

Phone payments let you take card information over the phone and process it manually in the Square app. This is useful for mail orders or customers who cannot be present. You enter the card number, expiration date, and CVV yourself — Square handles the rest.

Most small businesses start with in-person and online, then add phone payments as they grow. You can turn any of these on or off in your Square settings at any time.

Connecting your Square Reader (if you are taking in-person payments)

If you bought or received a Square Reader, turn it on by holding the power button for three seconds. Open the Square app on your phone or tablet and tap the card reader icon. The app will search for nearby readers — when it finds yours, tap it to connect.

The first time you connect, Square will download software to the reader. This takes a few minutes. Once that is done, the reader is ready to use. You can process a payment by entering the amount in the app, tapping "Charge," and asking the customer to insert, tap, or swipe their card on the reader.

Keep your reader charged and within Bluetooth range of your phone or tablet. If the connection drops, the reader will reconnect automatically when it comes back in range.

Setting up your payout account and payment schedule

Square deposits your money to the bank account you provided during signup. By default, payouts happen every business day — Square batches all transactions from the previous day and sends them to your bank, minus the transaction fee.

You can change your payout schedule in your Square Dashboard under "Payouts." Options vary by account type, but most businesses can choose daily, weekly, or twice-weekly deposits. Changing the schedule takes effect on your next payout cycle.

Check your bank account to confirm the test deposits arrived and verify the amounts. Once you confirm those amounts in Square, your account is fully activated and you can start processing real payments.

Activating additional features you might need

Square's basic account lets you take payments, but you may want to turn on other tools. Invoicing lets you send a payment request to a customer by email — they click a link and pay without you having to be present. Online Store is a simple website where customers can browse and buy from you. Square Appointments lets customers book time slots and pay upfront.

These features are free to set up but may have transaction fees when money moves. You can turn them on in your Square Dashboard under "Settings" and then "Features." Start with the ones you need now — you can add more later.

Square also offers Square Payroll and Square Loans, but these are separate products with their own signup process and are not part of your basic account.

What happens after your account is live

Once your bank account is verified, you can start taking payments immediately. Your first few transactions may take longer to process while Square monitors your account for fraud — this is normal and usually clears within a few days.

Square sends you a receipt for every transaction and a daily summary email. You can see all your transactions, refunds, and payouts in your Square Dashboard. Keep this login information safe — anyone with access can see your payment history and process refunds.

If you ever need to pause your account, you can do that in Settings without losing your data. Reactivating takes just a few minutes.

Frequently Asked Questions

How long does it take for money to show up in my bank account?

Square deposits your payments within one to two business days of the transaction, minus the transaction fee. If you process a payment on Monday, it usually arrives by Wednesday. Weekends and bank holidays can add a day. You can see pending payouts in your Dashboard under "Payouts."

What if I do not have a business license yet?

You can open a personal Square account with just your Social Security number and bank account. If you later register a business, you can upgrade to a business account and add your EIN. Square does not require a license to start, though your state or city may.

Can I use Square on multiple devices?

Yes. Log into your Square account on any phone, tablet, or computer. Your payment history and settings sync across all devices. If you use a card reader, you can connect it to whichever device you are using that day — just make sure Bluetooth is on.

What happens if a customer disputes a charge?

Square handles disputes through your Dashboard. You will see a notification and have a window to respond with evidence (like a receipt or delivery confirmation). If the customer wins the dispute, Square reverses the charge and removes the money from your next payout. Keep records of all transactions in case you need to defend one.

Is there a monthly fee if I do not process any payments?

No. Square charges only when you process a payment. If you have an account but do not use it for a month, you pay nothing. Your account stays active and ready to use whenever you need it.