Calculate Payment Fees Instantly

Whether you are a freelancer, e-commerce store owner, or small business, understanding payment processor fees is critical for profitability. The standard transaction fee for both PayPal and Stripe in the US is typically 2.9% + $0.30 per transaction.

While this sounds small, it adds up. On a $1,000 invoice, you lose nearly $30 to fees. Our PayPal & Stripe Fee Calculator helps you plan for these costs seamlessly.

How to Use This Fee Calculator Online

Our tool offers two powerful modes designed for different billing scenarios:

• "I'm Charging" (Standard Mode): Use this when you are sending an invoice for a specific amount (e.g., $500) and want to know how much will actually land in your bank account after fees.
• "I Want to Receive" (Reverse Mode): Use this when you need a specific amount to hit your account (e.g., exactly $500). The calculator determines the gross amount you must charge your client to cover the fees.

Common Mistakes When Billing Clients

A common pitfall for freelancers is forgetting to account for the "fixed fee" portion ($0.30). Simply adding 2.9% to your invoice isn't enough because the % is taken from the total, not the base. Our reverse calculation algorithm uses the correct formula: (Goal + Fixed) / (1 - Rate) to ensure you are never underpaid.

PayPal vs. Stripe Fees

While both often start at 2.9% + $0.30, there are differences. PayPal generally charges higher fees for international payments (often +1.5%), while Stripe's currency conversion fees are often more transparent. Always check your specific merchant agreement for the exact rate.

International Transaction Fees Explained

One of the biggest surprises for online sellers is the cross-border fee. If you are a US-based merchant accepting payment from a client in the UK, Europe, or Asia, both PayPal and Stripe add an additional fee.

PayPal: Typically adds 1.50% to standard commercial transactions. This means your rate jumps from 2.9% to 4.4% + $0.30.

Stripe: Adds 1.5% for international cards plus an additional 1% if currency conversion is required. It is vital to use the "International" toggle on our calculator to see the true cost of global business.

Fee Comparison Table (2025 Standard Rates)

How Taxes Affect Your Net Profit

Remember that payment processor fees are a deductible business expense. At the end of the year, you should receive a 1099-K form from PayPal or Stripe if you meet the reporting threshold (currently $600 in gross sales for many regions). When calculating your prices using the "I Want to Receive" mode, keep in mind that this covers the transaction fee only, not your income tax liability.

Why You Should Avoid "Friends & Family" for Business

It is tempting to ask clients to send money via PayPal's "Family & Friends" option to avoid fees. However, this is risky:

• No Protection: You lose all Seller Protection. If a dispute arises, you have no recourse.
• Account Ban: PayPal monitors accounts for business activity disguised as personal transfers. You risk having your account permanently frozen.
• Professionalism: Sending a proper invoice looks far more professional than asking for a personal transfer.