Sell Things On eBay: eBay Fees
eBay Fees: eBay Fees MUST Be Understood Or Your Business Will Fail
When you want to sell things on eBay, you had better understand your eBay fees. Otherwise you might get a really nasty surprise (like I did!) The surprise is thinking that you're really rocking and rolling on eBay, feeling good about the money you're making ... but then you add up your costs at the end of the month and discovering you're not really making all that much money.
When you list an item on eBay, you're charged an insertion fee.
Insertion fee: the cost of listing your item on eBay
The insertion fee for multiple item dutch auction and fixed price listings is based upon the opening value of your items. The opening value is the starting or the fixed item price multiplied by the quantity of your items. The maximum insertion fee for any multiple item listing is $4.80.
Insertion fees |
|
|---|---|
| Starting or Reserve Price | Insertion fee |
| $0.01 – $0.99 | $0.20 |
| $1.00 – $9.99 | $0.35 |
| $10.00 – $24.99 | $0.60 |
| $25.00 – $49.99 | $1.20 |
| $50.00 – $199.99 | $2.40 |
| $200.00 – $499.99 | $3.60 |
| $500.00 or more | $4.80 |
If the item sells, you are also charged a final value fee. The total cost of selling an item is the insertion fee plus the final value fee.
Final value fee: cost if your item sells. If it doesn't sell, there is no fee.
The final value fee for a multiple item dutch auction is determined by taking the final value fee of the lowest successful bid and multiplying it by the number of items sold. The final value fee for a multiple item fixed price listing is calculated per item sold, based on the final sale price of the item.
Multiple item dutch auction: selling more than 1 of an item, in auction format
Multiple item fixed price: selling multiples, but at a fixed price like in a physical store
Final value fees |
|
|---|---|
| Closing Price | Final value fee |
| Item not sold | No Fee |
| $0.01 – $25.00 | 5.25% of the closing value |
| $25.01 – $1,000.00 | 5.25% of the initial $25.00 ($1.31), plus 3.00% of the remaining closing value balance ($25.01 to $1,000.00) |
| Equal to or Over $1,000.01 | 5.25% of the initial $25.00 ($1.31), plus 3.00% of the initial $25.00 - $1,000.00 ($29.25), plus 1.50% of the remaining closing value balance ($1,000.01 - closing value) |
Example: let's say you listed an item at $24 and it sold for 110.50. How much would you pay in eBay fees?
1. Insertion fee: $0.60
2. 5.25% of the initial $25.00= $1.31
3. 3% of $85.50 {$110.50-$25} = $2.57
Total: $4.48
Now that you understand eBay fees, make certain that you always figure them before making your offers so that you know what your profits will be.
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