Checkout and invoicing
PayPal Fee Calculator
PayPal's commercial rate is higher than Stripe's on both components. For invoicing and checkout on a small store, the gap is worth knowing before you choose a provider.
All amounts in USD. One unit = one order.
| Where the money goes | Amount |
|---|
Break-even price: $0.51 — below this you lose money on every sale.
Work backwards from the profit you want.
This accounts for the item price, shipping charged, every active fee, your item cost, shipping cost and monthly fixed costs spread over the units above.
On the example above, PayPal takes 4.6% of every sale. That is the number to compare, not the headline percentage — the fixed fees and the shipping-inclusive fee base are what make the effective rate diverge from the advertised one.
The full fee schedule
Every charge PayPal applies to a United States order, and when each one bites.
| Fee | Amount | When it applies |
|---|---|---|
| Transaction fee | 3.5% + $0.49 | Standard US rate for PayPal Checkout and payment links (3.49% + $0.49). Card-only payment links are 2.99% + $0.49. |
| Cross-border surcharge optional | 1.5% | Additional fee for cross-border transactions. |
How the maths works
The calculator does exactly three things: it builds the fee base, applies every active fee, then subtracts your costs. No hidden steps.
Optional fees such as Cross-border surcharge are excluded from those percentages until you switch them on, because they only apply to a share of orders. When enabled, they simply add to the rate.
What this calculator leaves out
- Rates differ for goods and services, invoicing, QR codes and micropayments.
- International card surcharge is 1.50% plus a currency-specific fixed fee.
- Chargeback fees are separate and not modelled.
Common questions
Is PayPal more expensive than Stripe?
For standard US card transactions, yes: about 3.49% + $0.49 versus 2.9% + $0.30. The difference is about 0.6 percentage points plus $0.19 — on a $20 sale that is roughly 12% of your gross margin.
Does the fee apply to the whole order or per item?
Per transaction. If a customer buys three items in one checkout, it is one fixed fee. If they check out three times, it is three.
Are there cheaper rates for small transactions?
PayPal offers a micropayments rate for very small ticket sizes, which swaps the percentage and fixed components. If your average order value is below roughly $10, it is worth comparing directly.
Where these numbers come from
Rates on this page: verified 2026-10-26 · dataset updated 2026-10-26
Keep going
If the number above is worse than you expected, the fix is usually one of two things: raise the price, or move the shipping into the item price. Our reverse pricing calculator tells you the price that hits your target; the fee base guide explains why shipping is charged twice.