How eBay Fees Are Calculated
Most eBay sales carry two fees: a final value fee, a percentage that depends on the category, and a per-order fee of $0.30 on orders of $10.00 or less or $0.40 on larger orders. The detail sellers most often miss is what the percentage is charged on. eBay applies it to the total amount of the sale: the item price, any handling charge, the shipping you charge the buyer, and the sales tax eBay collects on the buyer's behalf.
Take a $50 item with $8 shipping sold to a buyer whose state charges 7% sales tax. The total amount of the sale is $58 plus $4.06 tax, or 62.06. At the most-categories rate of 13.6%, the final value fee is8.44, and the per-order fee is $0.40, so eBay keeps $8.84. The tax itself goes to the state, so your revenue is $58. Subtract a $20 item cost and $7.50 of real postage and your net profit is $21.66, a 37% margin.
- Promoted Listings: the ad rate you choose is charged on the same total when a sale comes from the ad.
- International fee: 1.65% of the total when the buyer or delivery address is outside the US (it doesn't apply if you use eBay International Shipping).
- Tiers: most categories charge the lower 2.35% only on the portion of a sale above $7,500.