Just launched my store. www.awraybrand.com for reference. These are my first 2 sales and im trying to figure out how these fees are calculated. Both transactions seem to use a different percentage. Both used PayPal to complete transaction. I also offer free shipping on all my items. Nothing i’ve read anywhere can help me figure this out but rather justs confuses me more. from what I’ve gathered, being on the basic plan and using a third party payment provider like PayPal, the transaction fee should be 2% + $0.30. What am I missing and why are these fees different percentages?
Hi there, @Awray !
Thank you for your post. This does look a bit confusing, and I’m happy to do some digging with you on this.
As you mentioned, if you’re on the basic plan, the online credit card rates when using Shopify Payments is 2.9% + 30¢ USD. If you’re not using Shopify Payments and are instead using another payment provider, there is a transaction fee of 2.0%.
Do you have Shopify Payments enabled? You mentioned that your customers payed with PayPal, but with Shopify payments enabled, you aren’t charged transaction fees on orders for stores located in most countries. You can read more about this in this help document. All this to say that if you’re using Shopify Payments and both customers paid with PayPal, the same fees should have been charged.
What I recommend doing first is expanding the payout to show the details, as well as looking at the transactions section of your payout page, as shown here:
This will provide more information on which fees were charged at what percentage and may give you some clarity. If there’s still some confusion, you can share a screenshot with me here of the expanded payout and I’ll give it a look.
Lastly, I just wanted to share this help document which provides the formula for how transaction fees are calculated.
I hope this helps, and please let me know if you have any more questions! Thank you again for your post.