SELLING FEES AND GETTING PAID

[mihar_6208]

Ive been selling on ebay for a few years now and I must say the selling fees are killing me. I just recently lost my job due to medical problems and waiting for paid leave or ssi. I need to make money but it seems like i'm going behind. I sell something for $20 by the time I Pay for shipping seller fees  and tax i get paid  i'm getting half of the twenty. How can anyone make a lot of money unless your getting stuff at whole sail or free. Please let me know what I can do to make more money.  Also I would love to get a small business going but don't have money to buy inventory. Could someone give me some advise on this please!!!

[monica-sells]

"...Also I would love to get a small business going but don't have money to buy inventory..."

You might be surprised how many sellers started just by selling stuff that was "cluttering" their house, or simply not being used anymore. You inventory costs would be a big fat "0.00"

Also, you could acquire items on a consignment deal (70-30 split for you) from your acquaintances, friends, etc...just be clear what the terms of sale are and your tax implications as "seller".

Maybe to get you thinking outside of the box...check this sold listing out.....

https://www.ebay.com/itm/315344905464

I have a source @2.79/unit for these....inexpensive inventory and build out from there.....

[bonjourami]

You have a couple of complaints for inr, did you cancel those transactions, are you being charged a higher fvf for bbe?

[ebooksdiva]

"I sell something for $20 by the time I Pay for shipping seller fees  and tax i get paid  i'm getting half of the twenty." 

What tax are you paying? 
Income tax gets filed at the end of the year.

Sales tax is paid by your buyer and collected by eBay. 

[buyselljack2016]

Fees are a basically known amount.

Items sourced have to be purchased with those costs in mind when considering the purchase.

Many companies operate on a margin much lower than what you are stating.

eBay is not a pie in the sky. Takes work for "not that great of a return" per item in many cases.

[luckythewinner]

I sell something for $20 by the time I Pay for shipping seller fees and tax i get paid i'm getting half of the twenty.

Even if eBay had no fees, you would still have to pay for shipping labels and eBay will still collect and remit the taxes. So you may need to evolve your perspective.

So if you sell something for $12 plus $8 plus $2 sales tax, The transaction amount may be $22 and you may collect $20, but you did not sell it for $22 or even for $20. You sold it for $12.

[slippinjimmy]

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@mihar_6208 wrote:

Ive been selling on ebay for a few years now and I must say the selling fees are killing me. I just recently lost my job due to medical problems and waiting for paid leave or ssi. I need to make money but it seems like i'm going behind. I sell something for $20 by the time I Pay for shipping seller fees  and tax i get paid  i'm getting half of the twenty. How can anyone make a lot of money unless your getting stuff at whole sail or free. Please let me know what I can do to make more money.  Also I would love to get a small business going but don't have money to buy inventory. Could someone give me some advise on this please!!!

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You have sold some things with free shipping, unless you are bumping up the price of the item or selling things where the shipping amount is just a tiny share of the transaction total you will be making almost nothing (at best).

Your total fees to eBay should be in the 15 - 20% range, don't spend extra on Promotions, Listing Upgrades OR "free shipping".

[chevymontecarlo88]

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@mihar_6208 wrote:

Ive been selling on ebay for a few years now and I must say the selling fees are killing me. I just recently lost my job due to medical problems and waiting for paid leave or ssi. I need to make money but it seems like i'm going behind. I sell something for $20 by the time I Pay for shipping seller fees  and tax i get paid  i'm getting half of the twenty. How can anyone make a lot of money unless your getting stuff at whole sail or free. Please let me know what I can do to make you more money.  Also I would love to get a small business going but don't have money to buy inventory. Could someone give me some advise on this please!!!

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Sorry to hear about how its going. As you figured out, selling can have its pitfalls and not as easy as many say it is. I would suggest taking some ideas that monica-sells has suggested. Sometimes you do have to rethink how you approach what you are doing especially if things are not working. Many times there are items you can source locally that can be found in abundance yet can give you good margins selling online. Check your local Craigslist ads, Facebook marketplace and speak with others within your community. Also check Ebay sold listings to find items that are selling that you can find as well. Consignment malls are doing well for many that can add to your bottom line especially if you have larger items that can not be shipped. You put the work in already (couple of years) now it is the time to hone your skills. I hope you can figure it out.

-Good luck

[mam98031]

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@slippinjimmy wrote:

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@mihar_6208 wrote:

Ive been selling on ebay for a few years now and I must say the selling fees are killing me. I just recently lost my job due to medical problems and waiting for paid leave or ssi. I need to make money but it seems like i'm going behind. I sell something for $20 by the time I Pay for shipping seller fees  and tax i get paid  i'm getting half of the twenty. How can anyone make a lot of money unless your getting stuff at whole sail or free. Please let me know what I can do to make more money.  Also I would love to get a small business going but don't have money to buy inventory. Could someone give me some advise on this please!!!

---

You have sold some things with free shipping, unless you are bumping up the price of the item or selling things where the shipping amount is just a tiny share of the transaction total you will be making almost nothing (at best).

Your total fees to eBay should be in the 15 - 20% range, don't spend extra on Promotions, Listing Upgrades OR "free shipping".

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What categories have a 20% FVF rate.  From what I see on the Seller Fee policy page is it is 3% up to 15% depending on the category the seller is selling in.  That low end of course are for some pretty spendy items.

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

[mam98031]

@mihar_6208 

How you price your items is completely your decision to make.  Understanding the fee structure on Ebay is the FIRST thing you should learn BEFORE selling anything on Ebay.  

You just need to learn how to structure your pricing on your items.  As well as using Free shipping or not using it.  I personally don't use it very often.

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

[mam98031]

Here are some important links to areas you should really take the time to learn about as a new seller.

https://academy.ebay.com/student/catalog?locale=en


https://www.ebay.com/help/selling/selling/selling?id=4081

https://pages.ebay.com/seller-center/get-started/seller-fees.html

https://pages.ebay.com/seller-center/service-and-payments/funds-availability.html

https://www.ebay.com/help/selling/getting-paid/getting-paid-items-youve-sold/pending-payments?id=415...

https://www.ebay.com/help/listings/creating-managing-listings/creating-listing?id=4105


And make sure you know this policy extremely well.

https://www.ebay.com/help/policies/ebay-money-back-guarantee-policy/ebay-money-back-guarantee-policy...

[fbusoni]

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@mihar_6208 wrote:

Ive been selling on ebay for a few years now and I must say the selling fees are killing me. Could someone give me some advise on this please!!!

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Sell only those items with which you are intimately familiar.

For me, initially that was LPs, which I'd been collecting for 50 years.  

It took me a lot of practice before I got good enough to make smart purchasing decisions for re-selling in other categories on eBay... like everything in life, it's a learning process.  

These days, my average investment in an item to re-sell on eBay is about $4.

My average return on that investment is about $49.

The difference -- $45 -- covers eBay fees, postage, gas to go the post office, boxes, tape, etc., and at the end of the day I am left with about $37 or so.

You have to know eBay fees, but you also have to have a feel for the market value of items, and that takes time to develop.

[soh.maryl]

Your buyer is the one who's supposed to be paying the state sales tax, not you, the seller.

Your buyer is the one who's supposed to be paying the shipping cost.  When you list an item with free shipping, you are expected to have built the shipping cost into the item cost.

There have been no recent increases in final value fees.  Your problem, frankly, appears to be lack of knowledge regarding how selling on eBay works.  

[susanb1872]

Definitely avoid free shipping if possible. When you use calculated shipping are the buyers paying retail or the ebay discounted price? Hopefully they are paying retail because that can help pay for the fees. Also, keep in mind that ebay is not a place for quick cash.

[fashunu4eeuh]

@mihar_6208 Very sorry to hear about your health, and wish you much good fortune in getting some financial relief.

Following are a few thoughts and advice, some i am sure you know but mention for those who may not:

Be selective when choosing your items to sell. Not everything is a good fit for selling on eBay. Do look thru your own items to see if there is anything you might not need anymore that would be suitable for listing. Once you’ve done that then think about buying goods for reselling.

Garage sales, antique malls and thrift stores are all places where you might unearth a few gems to list on eBay. And keep in mind that you make your money when you acquire something low enough in price to be worthwhile listing at a high enough price to make a profit.

Always calculate and document every cost involved, along with the profit desired, on every item prior to listing it. Pricing is an art. You need to know what all the selling costs are in order to price effectively. Keep legible records as you go along to make income-tax time easier.

Avoid drop-shipping as a business model.

What are you good at and knowledgable about? Lean towards selling what you know well.

Be patient with yourself. Illness and selling during it is a process that takes time. Make allowances for getting enough rest as you adapt to a life dealing with an illness. Have an emergency plan in place on who will help you tidy up your selling responsibilities should your health become more compromised. Someone responsible that you can trust with your passwords and business activities.

Package items well and use quality materials to ensure items arrive safely. Ask loved ones to collect packing supplies if they come across suitable things like boxes snd peanuts. Keep in mind that USPS has free shipping supplies when using their service.

Invest in a postal scale and tape measure. These are invaluable tools when making shipping choices as you list. Use calculated shipping at least until you get established. 

Read read read all the eBay policies and user agreement. I can’t stress this enough. It is imperative for sellers to know how the site works in order to best protect their own interests. Do not rely on eBay to do this for you. This is a buyer-centric platform. Sellers sell here at their own risk.

Below is an article from Forbes regarding reselling, for your perusal. Wish you all the best and much success.

https://www.forbes.com/sites/kristenbousquet/article/how-to-make-money-reselling/#