Order details dont add up

[balcifer12-3]

What your buyer paid

Item subtotal

$250.00

Shipping

$19.21

Sales tax*

$20.19

Order total**

$289.40

What you earned

Order total

$289.40

eBay collected from buyer

Sales tax

-$20.19

Selling costs

-$38.75

Shipping label

-$23.45

Ad Fee General

-$34.73

$172.28

My shipping cost should only be 4.24 which means my earnings should be $191.49 I'm being charged shipping when the buyer is paying for it.  Is there a way to correct this?

[robbie31415]

You buy the label. The deduction for the label is going to be the total amount.

The shipping you charged is combined to the payout.

The buyer pays you to ship not for a label.

I don't see what needs correcting.

[reallynicestamps]

EBay fees are charged on the buyer's payment, not on your costs.

If the buyer paid $100 (including sales taxes to their state and shipping to you for the purchase of postage) you pay fees on $100.

Not on the $75 selling price.

How much was the payment the buyer made?

Your fees are:

30c service fee

13.5% of the ENTIRE PAYMENT

• and that 13.5% can be higher if you chose to use Promoted Listings, whether at the minimum of 2% (in which case your fees are 15.5% of the buyer's ENTIRE payment) or eBay's suggested  10% or whatever (in which case your fees are 25.5% of the buyer's ENTIRE payment).

In addition eBay will calculate and send the sales taxes to the appropriate government and the cost of any shipping label you buy on eBay to the shipper, both of which reduce the amount you receive from the buyer's payment.

[balcifer12-3]

I did the math based off what they gave me in the above post excluding sales tax the buyer paid $269.  The add and selling cost were 38 and 34 dollars when you subtract that it does not come to $175

[robbie31415]

Your order total includes the shipping money being paid to you.

The total isn't just 250+tax.

What is being paid to you is item+shipping+tax.

Then all the deductions come from that number.

[itscalledapostingid]

The buyer paid you for shipping.

Then you purchase a shipping label.

[dbfolks166mt]

     The disparity appears to be in what you think the shipping label should have cost, $4.24, and what eBay took out when you actually purchased the label $23.45. Out of the 4 items you have sold it appears you are using calculated shipping and shipping USPS Priority Mail. What was the actual cost of the label when you purchased it. Did you have the correct dims and weight for the item? Did you by chance purchase a Priority Mail flat rate box label when you purchased the label? Did you by chance purchase the label twice? For some reason you actually paid $23.45 for the label or that is the way it appears. 

[mam98031]

@balcifer12-3 

One of the three things a new seller should do is 1.  Learn how your money is processed.  2.  Learn what the fees are that you will be charged.  And 3.  Learn how to properly create a listing.

Now there is much more to selling, but those are things you should have learned BEFORE listing anything.  It appears you skipped step 2 and to make the problem even more difficult for yourself, you used Promoted Listings.  IMHO that is never a good idea for a new seller.  Learn the basics first before trying to use a tool such as Promoted Listings.

250.00  Product sale

     19.21   What you charged the buyer for shipping

    20.19  State sales tax paid by the buyer

289.40  Total

289.40

-20.19  Ebay sent that off to the buyer's state.

-23.45 The amount you say you paid for shipping

-38.75 Ebay FVFs

-34.73 Ebay Promotional fee.

$172.28  Sellers net earnings

Now I see two things here.

1.  You did not charge your buyer enough to cover your shipping costs.

2.  That is a darn high Promotional rate you set up.

Both those issues are created due to your lack of experience.  Selling is like any other new job, you need to learn about it.  Jumping in and hoping things will work out will far too often causing frustration that simply doesn't need to be there.  It can also cost you money like this transaction did.

If you have any other listings with Promotion fees, I would either stop doing that or at the very least significantly reduce the additional fees you are willing to pay.

If you are using the shipping Calculator or you are setting your own shipping charges, you need to check your details.  If this one was wrong, it is likely you have others too.

You have some very pretty stuff.  Great time of year to sell this stuff too.  I wish you great success.

[dbfolks166mt]

I did the math based off what they gave me in the above post excluding sales tax the buyer paid $269.  The add and selling cost were 38 and 34 dollars when you subtract that it does not come to $175

     If you purchased the shipping label through eBay then you also have to deduct the cost of the shipping label which was/is $23.45. Given the items you have sold I am frankly trying to figure out how the label could have cost that much even though you are using Priority Mail. See my questions up thread. 

[johnrj1226]

 Debits to the left, credits to the right  or  Debits to towards the window and credit towards the door  ( if the  instructor doesn't turn desks 180 on mid tern and/or final exam day).

This song might be of assistance

https://www.google.com/search?client=firefox-b-1-d&q=debits+to+the+left+credits+to+the+right

[urbanpeddler]

You're getting confused with the shipping. That is where your error is. The buyer paid you $19.21 (income) in shipping you however paid  a total of $23.45 (expense) in shipping. You STILL have to subtract the total of the shipping you paid out as an expense, not the difference.

What your buyer paid (i.e what eBay collected from the buyer)

Item subtotal:        $250.00 (income)

Shipping:             + $19.21 (income)

Sales tax*:            + $20.19 (income)

Order total**:= $289.40 (GROSS PROFIT)

Sales tax:              - $20.19 (expense)

Selling costs:      - $38.75 (expense)

Shipping label:   - $23.45 (expense)

Ad Fee General: - $34.73 (expense)

                                =  $172.28 (NET PROFIT)

Hope this makes things a little clearer.

[lacemaker3]

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@dbfolks166mt wrote:

     The disparity appears to be in what you think the shipping label should have cost, $4.24, and what eBay took out when you actually purchased the label $23.45. ...

---

Yes, that's it. And I think I see where the supposed cost of $4.25 came from. That's the difference between what the buyer paid the seller for the shipping, and what the seller had to pay for the shipping label.

$23.45 - $19.21 = $4.24

@balcifer12-3, as people have already said, the buyer pays you for the shipping. So you receive whatever the buyer paid, and you can use that to pay for the shipping label. If you didn't charge enough, then you still have to pay the full cost of the shipping label.

[johnrj1226]

Here is  how I looked at my GP before  taxes using  Microsoft Excel - note the eBay fee % ages + 30 cents are based on the eBay/PayPal connections before they  got their divorce finalized and the Manged  Payments took it  place.

[hartungcards]

You never said there was going to be math on this quiz.

[stainlessenginecovers]

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@balcifer12-3 wrote:

I did the math based off what they gave me in the above post excluding sales tax the buyer paid $269.  The add and selling cost were 38 and 34 dollars when you subtract that it does not come to $175

---

@balcifer12-3 

You're doing the math wrong.

In the most simplistic way to look at it;

you sold an item for $250

Subtract $73 Selling Fees

Subtract $5 (because you didn't collect the right amount for shipping)

$250-$73-$5 would be $172.