eBay Fees at a Glance
eBay charges its fees on the total amount of the sale including shipping and tax.
| Fee | Percentage | Flat | Notes |
|---|---|---|---|
| Final value fee | 13.25% | $0.30 | Most categories, up to $7,500 |
Fees That Apply in Some Cases
| Fee | Percentage | Flat | When |
|---|---|---|---|
| International fee | 1.65% | โ | Applies in some cases |
| Below-standard seller surcharge | 6% | โ | Applies in some cases |
What You Keep
The flat component is what makes small sales expensive. The same fee schedule costs a very different effective rate depending on the order size:
| Sale | Fees | You receive | Effective rate |
|---|---|---|---|
| $5.00 | $0.96 | $4.04 | 19.25% |
| $20.00 | $2.95 | $17.05 | 14.75% |
| $50.00 | $6.93 | $43.08 | 13.85% |
| $100.00 | $13.55 | $86.45 | 13.55% |
| $500.00 | $66.55 | $433.45 | 13.31% |
Profit, Not Just Payout
Fees tell you what lands in your account. Profit needs your cost of goods, and the break-even price tells you the floor below which a sale loses money.
For an item that cost you $20:
| Sale price | eBay fees | Net | Profit | Margin |
|---|---|---|---|---|
| $25 | $3.61 | $21.39 | $1.39 | 5.6% |
| $30 | $4.28 | $25.72 | $5.72 | 19.1% |
| $40 | $5.60 | $34.40 | $14.40 | 36.0% |
| $50 | $6.93 | $43.08 | $23.08 | 46.2% |
Costs Sellers Forget
- Shipping supplies โ boxes, tape and labels run $0.50โ$2 per order.
- Your time โ 15 minutes of listing, packing and posting at $20/hour is $5 a sale.
- Returns โ a 5% return rate on a $30 item costs $1.50 per sale on average, plus return
- Unsold inventory โ anything that never sells has to be amortised across what does.
Charging to Hit a Target Payout
Adding 13.25% to your price under-recovers, because the percentage then applies to the larger amount as well. The correct gross-up divides:
``
charge = (target + flat fees) รท (1 โ percentage rate)
``
| To receive | Charge |
|---|---|
| $100.00 | $115.62 |
| $1,000.00 | $1,153.08 |
Reducing What You Pay
- Raise average order value. The flat fee is fixed, so bundling two $20.00 orders
- Watch the optional surcharges. International and currency-conversion fees stack on top
- Negotiate at volume. Most processors will discuss custom rates once you are processing
- Do not migrate for 0.2%. The engineering and support cost of changing platforms
Category rates vary from 3% to 15%. This uses the common 13.25% band.