Stripe and PayPal Fees: How Much Do You Actually Pay?

You made a $100 sale — but you didn't receive $100. Payment processors like Stripe and PayPal take a cut of every transaction, and while each fee looks small, they add up to a meaningful slice of your revenue over a year. Understanding exactly what you pay helps you price correctly and keep more of what you earn.

How processing fees work

Most processors charge a percentage of the transaction plus a fixed fee. The percentage covers their risk and card-network costs; the fixed fee makes small transactions worthwhile for them. That combination is why fees hit small payments proportionally much harder than large ones.

A worked example

A typical online rate is around 2.9% + $0.30 per transaction. On a $100 sale:

Fee = (100 × 0.029) + 0.30 = $2.90 + $0.30 = $3.20
You receive: $96.80

Now look at a $5 sale: the fee is (5 × 0.029) + 0.30 = $0.445, or nearly 9% of the sale. The fixed 30 cents dominates small transactions — a crucial insight if you sell low-priced items.

Why the fixed fee changes your strategy

Because that flat fee bites hardest on small amounts, many businesses encourage larger orders, bundle products, or set minimum order values. If you sell lots of tiny transactions, processing fees can quietly become one of your biggest costs. Run your own numbers with our Stripe fee calculator and PayPal fee calculator.

Other fees to watch

• International / currency conversion: cross-border and currency-conversion surcharges are common.
• Chargebacks: disputed payments can carry a flat fee on top of the lost sale.
• Payout timing: instant payouts sometimes cost extra versus standard transfers.

Should you build fees into your prices?

Many businesses simply absorb fees as a cost of doing business; others build them into pricing. Whichever you choose, do it knowingly — factor the real take-home into your margins so a "profitable" price isn't secretly thin once fees come out.

Bottom line

Stripe and PayPal typically take roughly 2.9% + $0.30 per sale, and that fixed component makes small transactions expensive in percentage terms. Calculate your true take-home, watch for international and chargeback fees, and price with the real numbers in front of you — it's the difference between a healthy margin and a surprising one.