Fees For Selling On eBay: The Complete Breakdown

Wondering what the fees are for selling on eBay? Yes, all the different types of fees can be confusing. But I’ve broken it all down for you here in this comprehensive guide to explain how much it costs to sell on eBay.

Here are all the different types of fees you will find discussed here:

  1. Insertion Fees
  2. Final Value Fees
  3. Upgrade Fees
  4. Promoted Listings
  5. eBay Store Subscription Fees
  6. Payment Processing Fees

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How Much Does It Cost To Sell On eBay?

The great thing about selling on eBay, is it is free to get started. Fees are only charged once your item sells (“final value fees.”) More on that in a second.

Unlike some other platforms that charge just to list, with eBay you get 50 free “zero insertion fee listings.”

That means you get 50 listings with no charge each month! It includes both auction-style listings and fixed-price listings.

What that means, is there is no charge for listing up to 50 items. If you have an eBay store subscription, you get additional free listings depending on your store level.

After you hit your limit of free listings, you will be charged what are called “insertion fees” if you want to list more items.

1. Insertion Fees:

If you go over your free listings, it is only $0.35 per listing for most categories.

Your free listings cover almost every category you would likely sell in. It does exclude some obscure categories such as:

  • real estate
  • vehicles
  • heavy equipment

But for most people, 50 zero insertion fee listings should be a good amount to start out with for everyday type of categories.

If you want more free listings (just one of the perks), you might want to consider subscribing to an eBay store. We will cover eBay store fees in a bit.

2. Final Value Fees:

Final value fees are charged only once an item sells. It is based on the total amount of the item including shipping.

For most categories, the fee is 10% without a store subscription. It is 12% for books, DVDs, movies and music.

It might sound unfair to charge the final value fee on the shipping portion as well. The reason for this, is back in the day before the final value fee was charged on shipping, sellers were charging something like a penny per item and then an enormous amount for shipping to get out of paying fees.

Final value fees are charged when the item sells, not when the buyer pays. So if a buyer doesn’t pay (which happens) you will still owe the final value fee.

Fortunately, it is easy to get your fee refunded by either canceling the sale or reporting it as an unpaid item.

Final value fees are just slightly reduced for store subscribers – 9.15% in most categories.

Learn how you can make money flipping thrift store items!

3. Listing Upgrade Fees

While you do get free listings every month, eBay does offer some ways to upgrade your listing. And these upgrades come at a price.

Here are some of the things they charge for. 

  • Bold title ($4.00)
  • Subtitle ($1.50)
  • Second category (varies)
  • Large photo ($1.00)
  • 1 or 3 day auction

These fees are charged upfront when you list your item regardless of if it sells.

Possible Auction Fees

There are also insertion fees (10-35 cents depending on if you have a store or not) for auction-style listings in some categories. For store subscribers, they are refunded if your item sells.

I have used this on several occasions and have had my fees refunded. It is just a way to ensure the starting bid is competitive.

My Take On Listing Upgrade Fees

With the exception of auction fees, you should not pay for listing upgrades.

Always review your fees prior to hitting the “Submit listing” button and make sure you aren’t paying for anything accidentally.

It is easy to check a box somewhere and not realize it. When you get down to the place where you will submit your listing, there will be an estimate of your fees to list. If you see something more than “Free,” go back and review your listing.

4. Promoted Listings

Promoted listings are optional and are a great way to get more eyes on your items.

Promoted listings are available to all sellers in good standing whether or not you have a store subscription.

For promoted listings, you basically get to choose the fee you want to pay. The more you pay, the more exposure your item will receive (in theory).

The fee is based on a percentage of your item’s sale value and is charged if your item sells through one of the promoted listings.

Promoted listings are something I pay for. But the tradeoff is worth it.

I usually pay between $5-$10 per month to promote 500+ items.

5. eBay Store Subscriptions

Fees for an eBay store start at just $4.95/mo.

An eBay store subscription is not necessary to get started selling on eBay.

It is my recommendation to take advantage of your free listings first, before subscribing to a store.

If you’re maxing out your free listings or close to it, you may want to consider a store subscription.

You can read here to see how much eBay store fees are and what you get.

You will also want to check out 10 Reasons To Open An eBay Store.

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6. Payment Processing Fees

Currently, eBay is in the process of doing away with PayPal and providing their own payment system (eBay Managed Payments.)

Managed payments are currently only available to some sellers.

Depending on when you read this, you will pay one of these payment processing fees:

PayPal Fees

PayPal is basically your way to collect payments via credit card. And as such, there are payment processing fees.

The fees are calculated on the whole amount the buyer pays including any sales tax that eBay collects.

As a side note, the sales tax eBay collects comes to you but is immediately sent to eBay so you don’t need to worry about remitting it to the state of sale. eBay will take care of the sales tax for you!

The fees for PayPal are $0.30 for each transaction PLUS 2.9% of the total payment received.

EBay Managed Payments

EBay is currently in the process of rolling out eBay Managed Payments. This essentially eliminates the need for a third party (PayPal) to collect payments. It creates a more seamless shopping experience for buyers.

The fees are very similar to PayPal but they are rolled into the final value fees when your item sells.

The current status of eBay Managed Payments, is it is by invite only. Once all the bugs have been worked out it will soon be made available for everyone.

Thanks For Joining Me!

I hope this helps make sense of all the different types of fees!

I know it sounds like a lot, but it really is worth it in exchange for what you get.

Without eBay, I for sure would not be able to make money doing what I’m doing.

Again, don’t forget to sign up for my FREE course!

I know you’ll love it!

Hope to see you there!

-Lee

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