Understanding PayPal Transaction Fees
PayPal is a convenient way to send and receive money, but commercial transactions typically involve fees, usually paid by the recipient (seller). Understanding these fees is crucial for accurate pricing and financial tracking.
This calculator helps estimate the fees based on common percentage + fixed fee structures. It can calculate either:
- How much the recipient will actually receive after fees are deducted from a specific payment amount.
- How much the sender needs to send for the recipient to receive a specific target amount after fees.
How to Use
- Select Calculation Type:** Choose whether you're calculating based on the amount being sent/billed ("Receiving Payment") or the amount you want the recipient to net ("Sending Payment").
- Enter Amount:** Input the relevant amount (the gross amount sent/billed, or the net amount desired).
- Enter Fee Rates:** Input the applicable percentage fee and fixed fee per transaction for your region/account type (defaults are common US rates, but **verify these**).
- Click Calculate:** See the estimated fee and resulting amounts.
Common Fee Structure
PayPal fees often consist of:
Fee = (Amount * Percentage Rate / 100) + Fixed Fee
Calculation Scenarios
- Calculating Net Received:** When you know the gross amount sent/billed, the calculator deducts the calculated fee from that amount.
- Calculating Amount to Send:** When you know the net amount the recipient *should* receive, the calculator works backward to determine the gross amount the sender needs to send to cover both the net amount and the fees incurred on that gross amount. Formula is roughly: `AmountToSend = (DesiredNetAmount + FixedFee) / (1 - (PercentageRate / 100))`
Disclaimer
PayPal's fee structure is complex and varies significantly based on country, currency conversions, transaction type (Goods & Services vs. Friends & Family), cross-border status, and volume discounts. **This calculator provides an estimate based *only* on the rates you enter.** Always consult PayPal's official website for the most accurate and up-to-date fee information applicable to your specific transaction.