PayPal Calculator – Why PayPal Charges For Every eBay Sale And How To Reduce It

PayPal calculator
Table of Contents

Even though eBay will soon relegate PayPal to second-class status, the eBay PayPal calculator is not likely to go away any sooner.
Before eBay completes its transition from PayPal as its customer’s primary payment method to Adyen, you’ll still need the PayPal calculator to know the PayPal fees.
PayPal is among the most common and reliable payment methods worldwide and is used to make transactions internationally.

Besides using PayPal to transact on eBay, you can use it to pay for goods and services on any platform or directly.
A PayPal fee has to be deducted in whichever platform, circumstance, or place you use PayPal.
Therefore, even though you need the eBay calculator as an eBay seller, an offline PayPal calculator is necessary.
From whichever platform you transact from, PayPal charges merchant and seller an equal fee and is taken before it’s put into the seller’s account.

How to Use PayPal Calculator


PayPal calculator

This is probably the simplest calculator to use online.
With all the charges already input, you only need to enter the payment amount and, PayPal fees will be calculated automatically.
The free eBay PayPal calculator shows the PayPal fee in two options; what you should “Ask For” and what “You Get” based on the payment amount.

Other Usefulness Of The PayPal Calculator

Besides calculating PayPal fees, you can use the eBay and PayPal calculator for the following purposes:

1. Setting items selling price on your eBay store

Without using this calculator, knowing the exact amount you should receive after the PayPal fee is almost second to impossibility.
After importing items to your eBay store, use the calculator to know how much you should ask when setting your selling.
Remember, the other eBay fees will be deducted from the amount you ask for.
Thereafter, you should open the eBay calculator fee to adjust the pricing further after knowing the item’s profit margin.

2. To know the profits you’ll make per item listed

There is no point in selling items you don’t know the profits you’ll make.
Since the eBay fees deducted from every sale are included in the online PayPal calculator interface, calculate the PayPal fee first.
Then use the eBay Fee calculator to calculate the profit margin.

3. Know when to work on reducing PayPal fees

When the items you are selling involves small figures, opting for micropayment would save you some cash.
Therefore, when calculating the amount to ask for with the fees PayPal calculator, you can adjust the amount to the nearest $10.
If possible, a shift from flat fee rate to percentage-based fee method is charged 5% + $0.05.

PayPal Seller Fees on eBay

eBay doesn’t charge a PayPal fee, but PayPal does.
PayPal fee isn’t as high as the eBay fee and only increases when the payment is made internationally.
Looking at the below Canada PayPal fee calculator, the amount eBay sellers are charged by PayPal slightly differs from state to state, whether the sales are made to the US, other countries, or just local and you have a business or account.

PayPal calculator

By clicking on the “International Sales?”, the region you choose determines the PayPal fee you pay.

There are three different PayPal fees charged on your transactions with PayPal :

Standard domestic fee (US) merchant

If you are a US merchant selling products or services to a buyer based in the US, the standard fee for any amount transacted is 2.9% + $0.30.
The standard domestic fee varies from state to state – PayPal and is calculated inclusive of sales tax.
To those selling from the UK to customers in the same state, the fee rate stands at 0.20p + 3.4% per transaction.

International merchant based in the US

When an eBay merchant located in the US is paid from other countries, PayPal charges a fee as the payment involves two accounts from different countries.
The transacted amount is charged 4.4% + fixed fee, which is determined by the country you’ll receive payment from.

In Canada’s case, when transacting from Canada to the US, the fee charged is 3.7% + $0.30, but from the same state to other countries internationally, the fee changes to 3.9% + a fixed fee (based on the currency).
Since these PayPal changes are not standardized when transacting internationally, we highly recommend using the eBay fee and PayPal calculator.

Currency exchange fee

Allowing PayPal to exchange your currency, an exchange fee of 2.5% will be charged.

How Does PayPal Work For eBay Sellers?

PayPal is an online payment service that allows its uses to send and receive money from the comfort of their offices either through the back, directly, or by use of credit card.
It’s a very common payment method if you specialize in selling goods and services on eBay, AliExpress, Dhgate, CJ Dropshipping, and other international e-commerce platforms.

The process of using PayPal begins when the eBay seller chooses PayPal as his mode of receiving payments.
When the buyer finds your items online and pays for if, PayPal processes the payment and transfers the amount to your PayPal account.
PayPal ensures all the transactions are done on a web page that is encrypted by Secure Sockets Layer (SSL).
This is to protect the customer’s personal data.

How to Change the Amount to Ask For In Your Listing

When the PayPal calculator indicates an “ask for”  price point based on the predicted profit you want to make, you can adjust your miscalculated amount to that new price point.
If you don’t, a large portion of your predicted profit will be going to PayPal fees.
You can easily adjust your price points, even after listing, with an easy-to-use software.
KalDrop, a Non API eBay lister, has a settings feature that allows you to adjust the listings’ pricing.

PayPal calculator

After installing its chrome extension, tap on the “Settings” of this software, set the prices, and manage the amount PayPal takes from you.

Conclusion

The eBay PayPal calculator is the best thing that has ever been developed for the sake of saving eBay sellers.
Can you imagine days searching for items to sell on eBay, paying for the insertion fee, and spending hours sending orders to the supplier only to make a huge loss?
Every eBay seller should, at all times, use the free PayPal calculator to know how much to price his items when listing on their store.

Do you want to check something specific in the article?

Share this post with your friends

Share on facebook
Share on google
Share on twitter
Share on linkedin
Share on whatsapp
Share on telegram
Share on linkedin