mam98031 • Volunteer Community Member • Buyer/Seller since 1999
@gwzcomps wrote:
@mam98031 wrote:
@gwzcomps wrote:
The 30 cent fee does have bearing since they are part of the fees we pay though. Overall in the higher fee tiers we will be paying slightly more not less.Well yes and no. Yes because they are a fee we pay. No because in comparing the MP fees to PP fees, they wash each other out. They have nothing to do with a comparison. EXCEPT for sellers already in MP as they are paying a lower per transaction fee than the 30 cents.
Higher fee tiers can never have a higher than 30 cent per transaction fee. That is a steady fee for whatever $$ value the sale is.
What I'm finding helps me out to say fee neutral is the mixture of non sales tax sales with the sales with sales tax. At least so far.
Ok so I deleted the transaction fee and yes you are right it technically makes no difference in the cost increase we will see. Either way MP will cost more overall because of the fees on taxes. I am guessing for the average seller they would be lucky is 1/3 of their sales don't involve sales tax. On my end even some of the reseller buyers don't know they can get sales tax removed from their purchases. The only saving grace with MP is when it comes to people who sell in the lower fee tiers.
You don't need the mix to be that high in non sales tax sales to have it level out your overall fees to not increase your costs. That is because sales tax is usually less than 10% of a sale. So you don't need to have a 50/50 mix of sales tax and non sales tax sales.
For myself, so far in May I have about 24% non sales tax sales and that is enough to keep me at a net neutral position on fees. No increases on US sales so far. Which is why earlier I said that about a 25% mix of non sales tax sales is likely to offset the increases of sales that has sales tax.
Whoops I should mention that percentage is not of dollar values but of quantity of transactions. I should run that number on the $$ values too to see how that plays out. I'll have to do that later though.
@gwzcomps wrote:
I will have to make my spreadsheet so I can type in a bunch of transactions for testing. I am on the lower tier of fees in my categories so I will save regardless. The higher fee tiers will be a slight loss.
Unless you do your worksheet that will allow you to look at a minimum of a months worth of transactions, you can't get an overview of the impact of the fee change. If you are only looking at a few transactions, it will not give you an accurate assessment at all.
What I am doing is looking at my May and June sales as they come in I add them to my worksheet. Others have gone back more historically and looked at months in a similar way that have already ended. I just chose since we have so much time before these rules take over that I will look at current months.
@gwzcomps wrote:
I currently don't track the percentage of fees I pay per transaction so I don't have a good way of doing that. As it sits now I just figure I average 10% in fees in the old system.
You don't have to. Look again at that worksheet example I gave you. It will calculate all that for you. All you need to put in is your product sale amount, shipping and any tax collected.
