Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

A $200 sale with $20 shipping generates these fees:

Final value fee:  $27.61  `12.55%

International fee:  $0.88 0.4%

Final value fee:  $0.30

VAT:  $3.74

Total fees:  $32.53 or 16.26%.

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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

FVF is between 3.5% and 9.1% for Store subscribers, depending on category.

https://www.ebay.ca/help/selling/fees-credits-invoices/store-selling-fees?id=4122

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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

Faulty math....

 

Total fees: $32.53 or 16.26%. 14.79%

 

 

And Under PayPal

 

eBay FVF - 10% - $22.00

GST/HST on eBay portion - 13% - $2.86

PayPal Fee - 2.9% - $6.38

PayPal Fixed - $0.30

PayPal Int. Fee - .8% - $1.76

 

Total: $33.30 or 15.14%

 

Managed Payments costs you 77 cents more on a $220 transaction!

 

FYI - You can recover the $2.86 GST if you are registered with the CRA.

 

Another FYI - PayPal fees are going by quite a bit very soon, MP will look better when that happens.

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
Message 3 of 8
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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

Agree with the 16.26% calculation.   The $20 shipping is not part of the item price and that % costs on the item sold is  on $200.  

 

And that is an understatement for most US sales as the example does not include a FVF charged on sales tax.  That varies by state but 7-8% is pretty common.  NY is 7%, so that would increase the fee base by $15.40 so total costs are $33.99 or 16.99%

 

Now, to be fair, $3.91 is from HST  so the Ebay portion of the costs is 15.03% on $200 and 1.96% is from the HST charged on the puffed up sales figure.  

 

Overall fees are similar to what they were and have been, the biggest impact is when the HST started being charged in 2017 (from what I have read).  

 

I actually do not think the fees are too bad, I just get tired of being peddled that they are lower than they actually are because sales amounts are puffed up for calculation and presentation purposes with shipping and state sales tax amounts.   

  

A store may lower this, if you have enough volume to offset the monthly fee.

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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

Shipping is part of the transaction!

 

Would you also deduct the cost of goods?, the cost of shipping is no different, both are expenses.

 

One thing about "peddled as lower", last July when the simplified fees were first announced and major changes were made to Managed Payments eBay stopped promising lower fees and started promising simpler fees.

 

In 2018, 2019 and early 2020 the fee structure for Managed Payments WAS cheaper and it was sold that way. When the changes happened and fees went up eBay no longer put much if any emphasis on savings and switched to emphasizing the simple aspect instead.

 

 

 

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

Ebay's report for me indicates that my selling fees are "14.5% of your total sales", and total sales includes the kitchen sink - shipping and State sales tax.  That is not correct and a misrepresentation - it is really a Fee Base Amount, not total sates.  I am all for simplified but not at the expense of accuracy.   

 

Anyway, I don't think we are going to convince each other.  As I said earlier, I do not think the fees are too bad and was not complaining about that or MP.   

 

 

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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

It would be more accurate to say "14.5% of your total customer payments" since the MP (and PP) fees include the fee on shipping and the fee on Internet Sales Taxes.

 

Internet Sales Taxes being US state taxes, European VAT, and soon the Saskatechewan provincial tax.

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Actual cost to sell from Canada to the U.S. is now 16.26% on sales under $7500.00

marnotom!
Community Member

I'm trying to figure out if the OP's point is that MP fees are not the same as the fees charged by eBay and PayPal in the past, or that MP's fees are not "as advertised" when the concept was first introduced.  Or maybe it's a bit of both.

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