Shipping Fees ???

[meme6253]

I would like to know, when you list an item & you estimate the shipping to be say $10 & after you pack it the cost is $8, where does that extra $2 go, If you don't refund it to the buyer??, Larger amounts, I refund the customer, But smaller amounts I don't.

[mtgraves7984]

It goes into your pocket. 

[nobody*s_perfect]

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@mtgraves7984 wrote:

It goes into your pocket. 

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To be precise: Out of that $10, you spend $8 on postage, but eBay takes about $1.30 for fees, and the remaining 70 cents stays in your pocket.

[heckofagame]

Keep in mind that you are paying fees on that shipping you collected, so there may not actually be any left over to refund. 

[deltilogical]

"Out of that $10, you spend $8 on postage, but eBay takes about $1.30 for fees, and the remaining 70 cents stays in your pocket." 

Plus the 30 cent transaction fee and the fee on the sales tax amount, if applicable.  

We shouldn't be making money on shipping, but we should not be losing money on shipping either, even if snowflake america thinks everything ships without cost.

[nobody*s_perfect]

I was just referring to the fees on the $10 for postage; the 30 cents would apply regardless.  If the buyer is in a state that charges sales tax on shipping, then the FVF on the $10 postage would be a few cents higher than for buyers in other states. And then of course part of that leftover 70 cents goes towards other handling costs such as paper, tape, etc.

[dbfolks166mt]

     As others noted I use it to cover the eBay fees on the shipping as well as the packing materials. Like you if the difference is significant after the fee and packing material deduction I refund the difference to the buyer. I am on the east coast so shipping costs can vary greatly depending on the buyers location. I will often see if I can find a cheaper option without changing the delivery class. Since I don't buy my labels off eBay, I use Pirate Ship, this happens on occasion since Pirate Ship has ground advantage cubic and priority mail cubic which eBay does not offer. Savings are not huge but every little bit helps. If the excess is under $1 I usually don't bother with the refund but over that I will refund the excess to the buyer. I have had several refunds that were in excess of $5. 

[duffy4444]

Greetings...

    All things considered, I think you're doing the right thing by your customers and your business model. I keep trivia amounts due to the fees eBay takes and for my handling time spent. But I ALWAYS refund major differences back to the buyer (like 40-50% overcharges). When I refund major differences less a small handling portion, it generally puts a smile on my customer's face and a possible thank you message. It also increases the chances of repeat buyers who appreciate the business ethics.

Cheers, Duffy 

[meme6253]

Which one does ebay apply the fee to?, The $10 Or The $8??

[dreambooks]

I most do free shipping, or doing a guesstimate. If I have to worry about refunding, ask eBay to not charge fees on shipping.

[dbfolks166mt]

Which one does ebay apply the fee to?, The $10 Or The $8??

     Initially to the $10 but if you issue a shipping discount refund to the buyer they adjust the fees to whatever the new shipping amount is. 

[dbfolks166mt]

I most do free shipping, or doing a guesstimate. If I have to worry about refunding, ask eBay to not charge fees on shipping.

     Curious if eBay did not charge fees on shipping would you still offer free shipping and bake the shipping cost into your price or would you change everything over to calculated shipping if eBay was not charging fees on the separate shipping cost? 

[anjofak]

For all the little over estimates there is usually  a bunch of under estimates..

[coolections]

NEVER refund a dime. You would be hurting over 20 million sellers here doing that. The buyer paid the asking price you keep it and spend it as you please.

[coolections]

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@meme6253 wrote:

Which one does ebay apply the fee to?, The $10 Or The $8??

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You should already now that answer unless you are not a seller. Of course ebay charges you for $10, that is what the buyer agreed to pay and that is what the buyer paid.