As a sitter, you control how flexible or strict your cancellation terms are from Settings › Services & Rates › Cancellation Policy.

Your options
1-day notice — owners get a full refund if they cancel by 12pm, one day before the booking starts.
3-day notice — full refund if cancelled by 12pm, three days before the start date.
7-day notice — full refund if cancelled by 12pm, seven days before the start date.
No policy set — owners can cancel for a full refund any time before the booking starts.
What happens after the cutoff
If an owner cancels after your policy's cutoff, they're refunded 50% for the first 7 days of the booking, and 100% for any additional days beyond that — this protects your time for the imminent portion of a stay while still being fair on longer bookings.
Example 1 — a 4-night stay at $50/night ($200 total): the owner cancels after the cutoff. Since the whole stay falls within the first 7 days, they're refunded a flat 50% — $100 back, and you keep $100.
Example 2 — a 10-night stay at $50/night ($500 total): the first 7 nights are refunded at 50% ($175), and the remaining 3 nights are refunded in full ($150) — $325 refunded in total, and you keep $175 for the nights closest to the cancellation.
One thing that never changes: if you need to cancel a confirmed booking, the owner always gets a full refund, regardless of your policy.