Build a Tutoring Marketplace with Split Payments

Tables: tutors (name, email, subject, hourly_rate, paystack_subaccount_code, status), sessions (tutor_id, student_id, subject, duration_mins, total_amount, scheduled_at, status, paystack_ref), students (name, email).

async function onboardTutor(tutorData) {
  // Create Paystack subaccount with tutor's bank details
  var res = await fetch('https://api.paystack.co/subaccount', {
    method: 'POST',
    headers: { Authorization: 'Bearer ' + process.env.PAYSTACK_SECRET_KEY, 'Content-Type': 'application/json' },
    body: JSON.stringify({
      business_name: tutorData.name + ' - Tutoring',
      bank_code: tutorData.bank_code,
      account_number: tutorData.account_number,
      percentage_charge: 80, // Tutor gets 80%, platform keeps 20%
    }),
  });
  var data = await res.json();

  await db.tutors.update(tutorData.id, {
    paystack_subaccount_code: data.data.subaccount_code,
    status: 'active',
  });
  return data.data.subaccount_code;
}

The subaccount is created once per tutor. After that, every session payment automatically routes the tutor's share to their bank account at settlement — no manual payout work needed.

async function bookSession(studentId, studentEmail, tutorId, scheduledAt, durationMins) {
  var tutor = await db.tutors.findById(tutorId);
  var totalAmount = Math.ceil((tutor.hourly_rate / 60) * durationMins);

  var reference = 'SES-' + Date.now();
  var session = await db.sessions.create({
    tutor_id: tutorId, student_id: studentId,
    duration_mins: durationMins, total_amount: totalAmount,
    scheduled_at: scheduledAt, status: 'pending',
    paystack_ref: reference,
  });

  var res = await fetch('https://api.paystack.co/transaction/initialize', {
    method: 'POST',
    headers: { Authorization: 'Bearer ' + process.env.PAYSTACK_SECRET_KEY, 'Content-Type': 'application/json' },
    body: JSON.stringify({
      email: studentEmail,
      amount: totalAmount,
      currency: 'NGN',
      reference,
      subaccount: tutor.paystack_subaccount_code,
      bearer: 'account', // platform bears Paystack fees
      metadata: { session_id: session.id, tutor_id: tutorId, duration_mins: durationMins },
    }),
  });
  return (await res.json()).data.authorization_url;
}

// Webhook: confirm booking
if (event.event === 'charge.success') {
  var sessionId = event.data.metadata.session_id;
  await db.sessions.update(sessionId, { status: 'confirmed' });
  await notifyTutor(event.data.metadata.tutor_id, sessionId);
  await notifyStudent(studentId, sessionId);
}

At settlement time, Paystack sends 80% to the tutor's bank account and 20% stays in your platform Paystack account. You do not need to manually calculate or transfer the split — it is automatic.

See build a home services booking marketplace for the same subaccount split pattern applied to service providers.

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