Is shipping cost included in "final value" re fees?

[milkyway10024]

Hi: I'm reading about fees and have a question I can't find an answer to. When eBay figures my final value fee is the shipping cost included in that? The fees info says it includes "handling" but isn't clear on shipping. For example, if I charge $3 shipping for a book I sell is the "final value" and the fee I pay less than if I charge $100 for shipping? I understand I'll still be short-changing myself if I charge too little for shipping but just trying to understand if the shipping charge I decide on affects the fee amount I pay eBay. Thank you. 

Also, I can never find my forum posts after posting so I hope any answers I receive will go to my email. If I don't send a 'thank you' it's because I can't find this post again. But hopefully I'll get answers via email.  I checked that little box in upper right. 

[dbfolks166mt]

EBay does charge the FVF on the shipping cost. Fee policy is at the following link. 

https://www.ebay.com/help/selling/fees-credits-invoices/selling-fees?id=4822 

Note the following paragraph. 

[varebelrose]

FVF is based on the gross total that the buyer pays, including any shipping you charge and any sales tax the buyer pays.

[milkyway10024]

Ok thanks very much for the replies. I wasn't sure if "shipping service the buyer selects" and "handling charges" included the shipping fee the buyer charges. So I see from the replies here that it does.  So, the eBay fee I pay will be higher if I charge a higher shipping amount and lower if I charge less. I try to estimate the shipping fee best as possible and refund to buyer any left over and absorb myself if it's higher. But if you want to keep eBay fees down best to keep shipping fee down. Except then you will probably end up paying more for shipping as you did not charge the buyer enough. OK thanks again. Ouch, this is a lot of fees. Would be better if eBay charged its fee based solely on the actual price paid for an item, not tax, shipping, yada, yada, yada. That seems more fair and far less confusing. 

[nobody*s_perfect]

eBay has been charging the final value fee as a percentage of the buyer's total payment, including shipping and handling, since 2011.  Before that, sellers would avoid fees by undercharging for the item and inflating the shipping cost.

If you find that you have overcharged the buyer and then refund part of their payment, you will get a credit for that portion of the final value fees.

But there is no need to "try to estimate the shipping fee best as possible" because you can set up your listings with a built-in shipping calculator which will automatically charge each buyer for the postage cost from your ZIP Code to theirs. Or for items sent via Media Mail, you can just look up the USPS price for the package weight, since it doesn't vary by distance.

[soh.maryl]

eBay's final value fee is calculated on every cent the seller pays to the buyer. 

Item price: $50, shipping $10, state sales tax $5, total $65, and FVF will be calculated on the $65 total.

Item price: $40, shipping $20, state sales tax $5, total $65, and FVF will be calculated on the $65.

It does not matter how the payment is broken down, eBay fees are still calculated on the TOTAL paid to the seller by the buyer.

To find any other posts you have made here, click on your name. 

[soh.maryl]

". . . shipping fee the buyer charges"? I am sure you meant to say "shipping fee the seller charges".  If not, then you are still confused, so please do a little more reading before starting to list and sell here.  

[milkyway10024]

"Before that, sellers would avoid fees by undercharging for the item and inflating the shipping cost."

Ah, ok, got it. That makes sense then to charge for the total if buyers were skirting fees with shenanigans. Thank you. Good to know I can get a fee credit for refunds. 

I don't have a scale so the built-in shipping calculator seemed tricky. But sounds like I should try to figure that out, might be easier in the long run. Thanks again.

[milkyway10024]

Thank you for the examples. And also thanks for letting me know about clicking on my name to see forum posts. I appreciate the reply. 🙂

[nobody*s_perfect]

If you plan to sell on eBay, you need to get a scale. 

Did you know that if you purchase postage through eBay shipping labels, it costs less than purchasing it over-the-counter at the Post Office? (Again, Media Mail is the exception.)

[milkyway10024]

QUOTE: ". . . shipping fee the buyer charges"? I am sure you meant to say "shipping fee the seller charges".  If not, then you are still confused, so please do a little more reading before starting to list and sell here.

Yes. I meant the shipping fee the seller charges. 

[milkyway10024]

"If you plan to sell on eBay, you need to get a scale."

"Did you know that if you purchase postage through eBay shipping labels, it costs less than purchasing it over-the-counter at the Post Office? (Again, Media Mail is the exception.)"

Thank you for the suggestions. 

[varebelrose]

You don't need a fancy high dollar scale, unless you will be selling very heavy items. You can find small digital scales right here on eBay that will accurately weigh up to about 30 pounds, for less than $20.  It really does help to manage the shipping expenses, and knowing what the package will weigh enables you to make good decisions about what shipping methods to offer (for example, if you can get a package down to less than 16 ounces, you know it can go 1st class, but at 17 ounces, it will have to go by another method.)

[milkyway10024]

"You don't need a fancy high dollar scale, unless you will be selling very heavy items. You can find small digital scales right here on eBay that will accurately weigh up to about 30 pounds, for less than $20.  It really does help to manage the shipping expenses, and knowing what the package will weigh enables you to make good decisions about what shipping methods to offer (for example, if you can get a package down to less than 16 ounces, you know it can go 1st class, but at 17 ounces, it will have to go by another method.)"

Thanks very much. Sounds like I should get a scale. But I know package dimensions, in addition to weight, is a big factor in the mailing cost. But I'm sure that's covered in the tutorials also, measuring for size. Obviously I would like to keep the mailing cost as low as possible for buyers and for myself -- if I have to eat the difference. 

[nobody*s_perfect]

Package dimensions will affect the postage cost only if the package is longer than 22 inches, or has a volume over 1 cubic foot (1728 cubic inches). If you have ever used a ruler, then you already have the skills needed to measure the length, width, and height of a box.