n8n Self-Hosted vs Cloud — Cost, Performance, and Control Trade-offs
I’ve been testing n8n in two setups recently: self-hosted and n8n Cloud — specifically from an AI agency perspective.
Here’s the honest breakdown 👇
1. Cost: predictable vs elastic
n8n Cloud
  • Fixed monthly pricing
  • No infra setup, no DevOps overhead
  • You pay for convenience and reliability
Good if:
  • You want predictable costs
  • You’re running client workflows with clear volume limits
  • You don’t want to think about servers at all
Self-Hosted n8n
  • Infra cost (VPS, DB, storage, backups)
  • Scales cheaper at high volume
  • But costs shift from “subscription” → “engineering time”
Good if:
  • You’re running heavy workflows (AI agents, scraping, batch jobs)
  • You have technical capacity
  • You want long-term cost efficiency at scale
👉 At low–medium usage, Cloud is cheaper.
👉 At high throughput, self-hosted wins — if you know what you’re doing.
2. Performance: stability vs tunability
Cloud
  • Stable, managed environment
  • Limited control over execution environment
  • Performance is “good enough” for most use cases
Self-Hosted
  • You control:
  • You can optimize for:
In practice:
  • Cloud = fewer surprises
  • Self-hosted = higher ceiling, more responsibility
3. Control & security: this is the real differentiator
This is where the gap becomes very clear.
n8n Cloud
  • Limited control over data locality
  • Not ideal for:
Self-Hosted
  • Full control over:
  • Much easier to:
For agencies, this matters a lot.
Self-hosting turns n8n from “automation tool” into infrastructure you actually own.
4. Maintenance: invisible cost most people ignore
Self-hosting isn’t free just because the software is.
You’re responsible for:
  • uptime
  • backups
  • updates
  • monitoring
  • security patches
If you ignore this, you’ll pay later — usually at the worst time.
Cloud removes this entire surface area.
Final take (practical recommendation)
If I had to simplify it:
  • Use n8n Cloud when:
  • Use Self-Hosted n8n when:
Cloud is great for execution.
Self-hosted is powerful for ownership.
For AI agencies especially, that distinction becomes more important over time.
1
0 comments
Pavan Sai
5
n8n Self-Hosted vs Cloud — Cost, Performance, and Control Trade-offs
Brendan's AI Community
skool.com/brendan
A free community to help you master no-code AI Automations.
Join to learn, share ideas, and build real systems for the future of work.
Leaderboard (30-day)
Powered by