New eBay sellers can easily fall prey to high eBay fees because 10 cents here and 15 cents there just doesn’t seem like much to the novice when listing items to such a massive audience.
Those who have been around a little longer know the importance of understanding eBay fees and working within the system to get the most out of their listings. If you’re a new seller—or perhaps an experienced seller who just needs a refresher course—here is a look at current eBay fees for non-store owners, and how to work with them.
Insertion fees
The first fee a seller gets hit with is the insertion fee, which basically buys you the opportunity to list your products on a platform with a worldwide audience. There are a number of other online selling sites available—and they may have lower selling fees than eBay—but none yet reaches the sheer number of buyers that eBay does.
For listing an auction-style format on eBay, insertion fees start at 10 cents if your opening bid price is less than $1, and can go as high as $2 for bids starting at $200 or more. It’s important to familiarize yourself with the eBay fees scale when listing your products. If you want to sell something for $10, for example, your insertion fee will be 50 cents. But you can cut that fee in half if you simply start your bid price a penny lower at $9.99.
If you list something for $10, your insertion fee will be 50 cents. But you can cut that fee in half if you start your bid price at $9.99eBay also allows sellers to set a reserve price for those who want to start the bidding low—which eBay recommends to attract more bidders—but also want to guarantee they’ll receive a certain minimum price for their product. If a seller sets a reserve price, then the insertion fee will be based on the reserve price, not the starting price.
If listing in the auction format and adding the Buy it Now option, an additional charge will be added to your insertion fee, which will range between 5 cents and 25 cents, depending on the Buy It Now price. When listing in fixed-price format, the insertion fee is a flat 50 cents for any listing priced at 99 cents or more. eBay Store owners pay less for fixed-rate insertions, from 3 cents to 20 cents, depending on subscription level.
Currently, eBay waives insertion fees on the first 50 auction listings per month for sellers without an eBay Store. Another perk eBay offers is an insertion-fee credit for the first relist if your item doesn’t sell. Also, some categories have different insertion fees, and some cannot be applied to the 50-free-per-month. These include listings for Real Estate, eBay Motors, Business & Industrial, eBay Stores and Classified Ads.
Listing Enhancements
eBay fees can add up when a seller wants to add bells and whistles to a listing. Enhancements eBay offers include a three-day listing extension, adding a subtitle, listing in bold font and more.
| 10-day duration | $0.40 auction format, free for the fixed-price format |
| Subtitle | $0.50 auction format, $0.50 to $1.50 fixed-price format |
| Bold | $2 auction format, $2 to $4 fixed-price format |
| Gallery Plus* | $0.35 auction format, $0.35 to $1 fixed-price format (*Free in certain categories, including collectibles, art and antiques) |
| Scheduled Listings | $0.10 auction and fixed-price format |
| Listing Designer | $0.10 auction format, $0.10 to $0.30 fixed-price format |
eBay also offers a Value Pack for 65 cents in auction format and 65 cents to $2 in fixed-price format. The Value Pack includes Gallery Plus (a feature that enlarges your gallery image), Listing Designer templates and Subtitle features for a discounted price that saves between 30 cents and 80 cents.
Final Value Fee
The cost to sell on eBay includes a percentage of your transaction, which eBay calls a final value fee. This is where estimating your eBay fees can get tricky. While you can know your upfront costs, based on your starting price and add-ons, you can’t always predict what your item will sell for, if it’s listed as an auction.
How much you final value fees will be depends on which format the product was listed under, which category the listing was under and the total amount of the sale.
The auction format is an easy calculation. eBay takes 9 percent of the total sale—or 7.5 percent for eBay Store owners—but not more than $250. For fixed-price listings, the calculations are based on category and total sale price.
| Electronics | 7% of first $50, plus 5% of next $50-1,000, plus 2% of any remaining profit |
| Clothing, Shoes, Accessories | 10% of first $50, plus 8% of next $50-1,000, plus 2% of any remaining profit |
| Books, DVDs, Music, Video Games | 13% of first $50, plus 5% of next $50-1,000, plus 2% of any remaining profit |
| All other categories | 11% of first $50, plus 6% of next $50-1,000, plus 2% of any remaining profit |
Payment Processing Fees
PayPal is the preferred payment method for many eBay buyers and sellers. PayPal is a third-party payment processor that is owned by eBay and can be linked to your eBay account for quick payment processing.
Once a seller receives the Top-rated Seller status, they begin getting perks, including the opportunity for discounts on eBay feesLike most payment processors, PayPal charges a fee for every transaction a seller makes. Fees from most third-party processors are roughly 2.9 percent, plus 30 cents per transaction.
Top-rated Seller Discounts
Sellers who have reached Top-rated Seller status earned this badge by meeting certain requirements set forth by eBay. In short, they sell a consistent volume of products and consistently receive high feedback scores.
Once a seller receives the Top-rated Seller status, they begin getting perks, including the opportunity for discounts on eBay fees. Top-rated Seller listings that have a one-day handling time and a return policy of 14 days or more will receive a 20-percent discount off the final value fee.
Other perks for these sellers include USPS discounts, improved standing in Best Match search results and expanded seller protection.
Understanding eBay fees helps sellers to be fiscally smart with their pricing and listing decisions. eBay even provides a fee calculator so sellers can figure costs before going through the listing process.
Selling on eBay doesn’t have to come at a high price tag as long as the seller understands where and when eBay fees are applied, and how much value they add to their listings.
