PP charged 5%?
No.
It's 30c (non-refundable) plus 2.9% to 3.9%** of the total payment, which includes Internet Sales Tax*.
On low value items that 30c is a killer. It's a Flat Charge on a $3.45 sale or on a $345.00 sale.
And eBay's Managed Payments are the same.
You are seeing all the selling fees in one place with Managed Payments instead of broken out to PP and at the end of the month to eBay.
Personally, I don't want to sell anything for less than $10 because of that 30c flat non-refundable fee. That's 3% of $10. And its 30% of $1.00. But it is only 0.3% of $100. ***
You really can't make money on single sales under $10.00. The fees are too much.
If you make multiple sales within one transaction, there is only one 30c fee on the whole payment.
So if you make 100 $1.00 sales in one transaction the $100 payment will have only 30c flat fee.
But if you make 100 $1.00 sales to 100 different buyers, you will payout $30 in flat fees.
Plus the 2.9-3.9%.
If you are not making multiple sales to each customer, consider grouping your low cost items into single lots with a higher price, to reduce your costs.
*which eBay runs through our PP accounts although we neither collect nor remit it. These taxes are paid by the buyer, collected by eBay through the payment processor, and remitted to the appropriate state (or nation because this also happens for Australia and the EU, I understand.)
** the 3.9% is on international sales, 2.9% is on domestic (Canada) sales. USA sales are 3.4% if I recall correctly.
*** $1/$10/$100 because I am bad with numbers.
