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Payout question

Ill keep it simple:

 

I sold an item for $68,

its fees were $12.67,

so I had a net of $55.33,

then I was withheld $11.72 due to taxes,

in theory leaving a profit of $43.61,

but my payout was $26.37.

 

Why? What am I missing? I took this info directly from the payments tab. This is my first time selling here btw

Message 1 of 11
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10 REPLIES 10

Payout question

Shipping?? What did you pay for shipping?

klhmdg  •  Volunteer Community Mentor
Message 2 of 11
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Payout question

I didnt charge fo shipping, I shipped from México tho. I had free shipping enabled just checked. None of the options I had available when listing really applied. 

Message 3 of 11
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Payout question

So you paid for the label somewhere else??

 

Free shipping isnt free. It just means the buyer doesnt pay for shipping.

The seller pays for shipping.

 

If its not paying for the shipping label,I have no idea. 

klhmdg  •  Volunteer Community Mentor
Message 4 of 11
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Payout question

"I didnt charge fo shipping, I shipped from México tho. I had free shipping enabled just checked."

Does your national postal service, Correos de Mexico, allow you to send things through the mail - - - for FREE?  Really?

I can just imagine the scornful laughter I would get from the counter clerks at my local United States Postal Service office
if I tried to mail a letter without a postage stamp, let alone a package without having to pay any postal charges.  

That's why my eBay listings almost never  offer "free shipping."  

Questions like yours come up way too often. 
I simply cannot understand new sellers who do not understand that delivery services are NOT FREE !!!

Message 5 of 11
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Payout question

I mean, I thought the free shipping option was an equivalent of charging $0 to the buyer for shipping. Of course I paid at the post office, around $5usd, but I wanted to assume that cost 'cause its really cheap. 

Message 6 of 11
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Payout question

Anyways, it is done. 

 

So, I need to charge shipping to avoid this happening again? I mean, ebay took away $17, but it only costs $5 to ship that small parcel.

 

PD: I've sold hundreds of items, of course I know there's no thing such as "free delivery", but this was my first time using ebay to sell, usually use other platforms.

Message 7 of 11
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Payout question


@mexicanafols wrote:

Ill keep it simple:

 

I sold an item for $68,

its fees were $12.67,

so I had a net of $55.33,

then I was withheld $11.72 due to taxes,

in theory leaving a profit of $43.61,

but my payout was $26.37.

 

Why? What am I missing? I took this info directly from the payments tab. This is my first time selling here btw


Please go to the details page of the order and on the right side of the page, there's a breakdown of the moneys that were deducted from the buyer's payment.  Please copy that information so we can see exactly where the money went.

 

The "fees" you referred ($12.67) sounds like the FVF on the $68. But if the buyer isn't in Mexico, there may have been an international fee on the payment. If the buyer is in the US and if their state has a sales tax, that would have been deducted from the money you expected to receive. (Ebay collects it and charges you FVF but they forward that tax amount to the buyer's state.)

albertabrightalberta
Volunteer Community Mentor

Message 8 of 11
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Payout question

When you list an item with free shipping, that means that you, not the buyer, have to pay for shipping.

When a seller lists with free shipping, that should mean that he priced his item so that the shipping fee could be taken from the amount he received from the buyer.  SOMEONE has to pay for shipping.  No carrier or the USPS will just ship an item without charging for that service.  

Message 9 of 11
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Payout question

But you did not mention that in your original message.

And was the $5 part of the $11.72 you paid in "taxes".?

 

 

 

Message 10 of 11
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Payout question

 
Final Value FeeVariable percentage · Toys & Hobbies category -$9.51
Rate for $0.00 - $7,500.00

$71.74x13.3% =-$9.51

International FeeCharged because the delivery address is in United States. Final amount: $71.74. -$1.11
Rate$71.74x1.6% =-$1.11
 Total fees for item-$10.62
Final Value FeePer order fixed amount -$0.30
Fixed amount-$0.30
 Fees-$10.92
 VAT(16%)-$1.75
 Fees (includes VAT)-$12.67

 

Transaction breakdown

Tax Base$58.62
Tax Rate20%
 
Total tax withheld-$11.72
 
This is where the Fees & Tax numbers come from. But I think I get it now, it was because of the free shipping option. 
Message 11 of 11
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