PayPal fees explained for online sellers: what you pay on each sale
PayPal charges a percentage of each sale plus a fixed amount, and the rate depends on how your customer pays. That makes the real cost slightly different from order to order. This guide lists the main US rates, works through a $50 order, and shows how to price so the fee does not eat your profit.
The main US rates
PayPal's business fees page, last updated October 1, 2026, lists these rates for online sales received in US dollars:
| Payment type | Rate |
|---|---|
| PayPal Checkout (the PayPal button) | 3.49% + $0.49 |
| PayPal Guest Checkout and Venmo | 3.49% + $0.49 |
| Standard credit and debit card payments | 2.99% + $0.49 |
| Advanced Credit and Debit Card Payments (needs PayPal approval) | 2.89% + $0.29 |
| PayPal Pay Later options | 4.99% + $0.49 |
PayPal also lists a lower rate for QR code transactions. Rates vary by the currency you receive, so if you sell in another currency, check the fixed amount on PayPal's page.
What each one means
- PayPal Checkout is what happens when a customer clicks the PayPal button and pays from their PayPal account.
- Card payments are for customers who pay by credit or debit card, including through a card button on a store that offers one.
- Pay Later is PayPal's set of pay-over-time options. It has the highest rate of the group, and PayPal decides which customers see it.
On a store you do not choose which of these a customer uses. PayPal decides which buttons each customer sees, so your average cost depends on how your customers pay.
A worked example: a $50 order
For each type, the fee is the percentage of $50 plus the fixed amount:
| Payment type | Calculation | Fee | You receive |
|---|---|---|---|
| PayPal Checkout | 3.49% of $50 = $1.745, plus $0.49 | $2.24 | $47.76 |
| Standard card | 2.99% of $50 = $1.495, plus $0.49 | $1.99 | $48.01 |
| Advanced card | 2.89% of $50 = $1.445, plus $0.29 | $1.74 | $48.26 |
| Pay Later | 4.99% of $50 = $2.495, plus $0.49 | $2.99 | $47.01 |
On PayPal Checkout, the fee takes about 4.5% of the sale. On Pay Later, it takes about 6%. The fixed $0.49 matters most on small orders. On a $10 order, PayPal Checkout costs about $0.84, which is 8.4% of the sale.
What a month of orders costs
To plan a budget, estimate your month. Say you take 100 orders averaging $40. If every customer pays with PayPal Checkout, each order costs 3.49% of $40 ($1.396) plus $0.49, about $1.89, so the month costs about $188.60 (4.7% of $4,000). If half the customers pay by standard card instead, those 50 orders cost 2.99% of $40 ($1.196) plus $0.49, about $1.69 each. The month becomes roughly $178.60. Your mix will differ, so use your own numbers, and compare the result with the profit on your products.
Price so the fee is covered
Do not guess. To receive a set amount after PayPal Checkout, divide the amount plus $0.49 by 0.9651 (that is 100% minus 3.49%). To receive $50 after PayPal Checkout, charge about $52.32. Many sellers instead fold an average fee into their normal prices and keep the price list simple, which is a reasonable choice for most small stores.
Recalculate your margins on your three best-selling products with a fee of about 4.5% on each. If a product barely makes money after the fee, raise the price or lower your cost.
Using PayPal on Payly
Payly adds nothing to PayPal's fee. It is free, with no monthly fee, no transaction fee and no commission, and customers pay your own PayPal account directly, so the money goes straight to you. PayPal charges you its standard fee on each payment, and you can see them on PayPal's business fees page. At checkout, customers get PayPal's own buttons, which can include Pay Later, Venmo and PayPal Credit. See Connect PayPal and When and how you get paid.
Payly's sales reports show what customers paid, as order totals. They do not subtract processor fees, so use your PayPal account for the exact fee on each payment.
If you want to compare, a standard card payment through Stripe is 2.9% + $0.30, which is $1.75 on a $50 order. Many stores connect both, so customers can choose.
Questions
Where do I see the fee on a payment?
In your PayPal account. Each order in Payly has a link that opens the payment there. Payly's own reports show order totals, not processor fees.
Can I turn off Pay Later?
PayPal decides which buttons customers see, so ask PayPal if you want to change what appears.
Does the fee change if I sell in euros or pounds?
It can. PayPal's rates vary by the currency received, so check the fixed amount for your currency on PayPal's page. If your PayPal balance is in a different currency from your store's, PayPal may convert the money and may charge its own conversion fee. Payly uses one currency per store. To try a store with no platform fee, create a free account.
Rates as published on PayPal's business fees page for the US in October 2026. Fees can change; check PayPal's own page.
