Comments on: Billing Your Clients for PayPal Fees Without Losing Money

By: Arlo

Arlo — Tue, 09 Feb 2010 22:26:44 +0000

Thanks for that link, Amy. I’m sure there are plenty of people who may want to include this sort of information in their own invoicing software or an Excel spreadsheet, but that link will prove extremely helpful.

By: Amy

Amy — Tue, 09 Feb 2010 22:20:28 +0000

This is all fine…but I found this awesome and easy page http://www.rolbe.com/paypal.htm

-Amy

By: Reuben Garrett

Reuben Garrett — Sun, 15 Nov 2009 07:58:44 +0000

Thank you so much for this informative post! This is exactly what I needed to consistently and precisely offset Google Merchant fees. I want a high level of transparency for my clients and your formula will let me itemize the exact transaction fee on invoices without going over (bad for customers) or under (bad for business).

~ Ruby

By: Arlo

Arlo — Sat, 17 Oct 2009 18:07:41 +0000

@dkrende:

I don’t understand. If I have a bill for $300 and multiply it by .971, I get $291.30. So is the fee I charge the client the difference?

$300 – $291.30 = $8.70

By my formula, I would charge the client $9.27.

By: dkrende

dkrende — Wed, 16 Sep 2009 02:02:05 +0000

if the paypal fee is 2.9%…simply multiply your invoice by .971. That is the fee you charge your client to back out the paypal fee and keep your invoice balanced. if the paypal fee is 2.5%….multiply your invoice by .975% and charge that amount. If the pay pal fee is 3.1%…multiply your invoice by .969 and charge your client that much. The magic number to multiply your invoice by is 1 minus paypal fee or 1 – .029 = .971 or 1 – .031 = .969 or 1 – .027 = .973 It is a simple magical formula that works EVERY time. try it. No need for messy algebra.

Good luck.

By: Ed

Ed — Mon, 22 Jun 2009 22:50:25 +0000

Very impressive. Ironically, I was going to do a similar analysis last week, but then there was this really good show on Bravo involving big families or clothes or something. Anyway, great job.