🟩Understanding eBay Selling Fees
Understanding eBay selling fees will prepare you best for tax season and ensure you don’t run at a loss. Track your business income and expenditure for free with CommerceNavigator.
Choosing an eCommerce marketplace to sell can be challenging. You need to consider the product type, audience, and cost of running a business on the marketplace. eBay is one of the most popular places to sell online. But you must also understand the fees associated with selling items so you can make a profit. Here, we'll discuss the possible eBay selling fees you'll likely encounter in your selling journey.
What Are eBay Selling Fees?
eBay seller fees are charges levied on eCommerce sellers by eBay for the services they receive on the platform – from the moment they list a product to selling and shipping. Some eBay selling fees are required, while others are optional.
eBay Account Fees
eBay offers sellers different account plans to choose from. Although it’s free to create an Individual eBay account, the following are paid plans with more eCommerce features as the tiers increase:
Starter: $7.95 monthly or $4.95 per month when you commit to an annual subscription.
Basic: $27.95 monthly or $21.95 with an annual commitment.
Premium: $74.95 monthly or $59.95 with an annual commitment.
Anchor: $349.95 monthly or $299.95 with an annual commitment.
Enterprise: $2.999.95 with an annual commitment.
eBay Insertion Fee
An insertion fee is an amount a seller must pay when listing a product. It is non-refundable whether your item sells or not. eBay sellers get 250 free product listings monthly, meaning you’ll only have to pay this if you’ve exceeded the limit. eBay insertion fee costs $0.35 per listing and per category.
Insertion fees differ for sellers with eBay Store subscriptions based on the level. The higher the subscription level, the more free insertions a seller may get or the less they pay for each listing above the free limit.
In addition, real estate listings differ from other listing types on eBay. It costs between $35 and $300, plus a $35 notice fee. Your final listing fee for real estate will depend on the listing type and duration.
eBay Final Value Fee
The final value fee is one of the eBay selling fees sellers look out for. This is calculated after you sell an item. eBay's final value fee is a percentage of the sale price plus $0.30. The sale price includes the item price, handling fees, sales tax, type of shipping the customer chooses, and any other applicable fee.
Although the percentage differs per category, most categories have a 12.9% final value percentage. However, it can be lower or higher. Check eBay’s final value fee table for the percentage per category.
eBay Listing Enhancement Fees
This is an optional fee for sellers who want to improve their listings. The amount depends on the chosen upgrade options, such as listing designer, gallery plus, international site visibility, and bold font. The prices range from $0.50 to $6 depending on the seller’s enhancement choice and item price.
eBay Promoted Listing Fee
This is another optional fee for sellers who want to boost their listing's visibility, whether in search results, in the related items section of other eBay sellers' listings, or both. You’ll only have to pay a promoted listing fee if a potential buyer clicks on your ad and buys the item within 30 days.
eBay promoted listing fee begins at 2% of the assessed final value fee.
Payment Processing Fee
One of the eBay selling fees to consider is payment processing. eBay has a managed payment system that helps sellers receive payment. Sellers pay $0.30 per order, as part of the final value fee.
Good ‘Til Canceled Listings
Good 'Til Cancelled listings and their corresponding insertion and listing enhancement fees renew automatically. Whatever you paid when you first listed the item is the price it will cost each time it renews. This is ideal for items that you want to sell regularly.
Other eBay Selling Fees
Sellers should also consider other eBay selling fees, such as:
Shipping Costs
As an eBay seller, you're responsible for choosing the shipping method. Final value fees are also assessed on any shipping charged to the buyer.
Classified Listing Fee
Classified listing ads are usually $9.95 for 30 days.
International Fees
eBay international fees may be applicable if a seller or buyer has a shipping or registered address in a country other than the US. Although international fees vary by country, they're usually between 1 – 3%.
Currency Conversion
Sellers may incur additional costs for currency conversion to create a listing in other countries. The seller currency conversion rate for US sellers is currently 3%.
Dispute Fees
If there is a dispute over purchases and you’re found responsible, you’ll be liable to a $20 dispute fee. The fee will be waived if you’re not responsible for the dispute.
Enter CommerceNavigator
Understanding eBay selling fees will significantly help in your bookkeeping and ensure you don’t run at a loss. It’ll also help during the tax season because certain fees are deductible expenses, which is worth knowing when preparing to file taxes. CommerceNavigator helps you track every business and personal income, including vehicle mileage. This prepares you best for tax season and ensures you don’t run at a loss. Start for free now.
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