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Something is not adding up --Ebay Payments

Just closed an Auction and Im missing money and I don't understand the Shipping and how its working?

 

Item sold for $107.60 ( $16 shipping and $86.60 was final purchase price plus $6.06 tax)

 

Ebay  says my payment was $85.89

(Final value on 101.00 -1.00 special insertion, plus $14.11 for FVF = 85.89)

 

but that means that they ate up the Shipping, if the 6.01 in tax was to  be paid?

 

So I went to pay shipping on the item and the shipping came out to $16, which means that I only cleared $69.89 on the item?

 

Why are they taking FVF on shipping?  Shouldn't shipping be seperate otherwise the seller looses money on the item.

Message 1 of 19
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Something is not adding up --Ebay Payments


@bsh_resellers wrote:

Why are they taking FVF on shipping?  Shouldn't shipping be seperate otherwise the seller looses money on the item.


You pretty much got it.  FVF fees are on all money collected (your item + shipping + sales taxes).  Whatever you charge has to cover shipping and total FVF or you lose money.

 

Why was shipping on FVF done?  Think on what happens if someone sold the same item as yours for $1 + $106.60 shipping in that event?  (and yes people used to do that)  Ultimately though, it's pretty deceptive and unfair in terms of the seller bearing the brunt of all of it on their item, as you have noticed.  After all, you only see one component of that.  So ultimately, the fees are levied on your proceeds at a much higher rate which must be planned for in the final cost that you ask for the item.

Message 2 of 19
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Something is not adding up --Ebay Payments

They have to charge these fees so that they can pay ex CEO'S 40 million dollars to leave and keep quiet

Message 3 of 19
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Something is not adding up --Ebay Payments

     Your calculations appear to be correct. One suggestion with regards to shipping I am not sure where you shipped this to or what the weight and/or dimensions were but flat rate boxes are generally more expensive that other USPS forms of priority mail. 

     When you get ready to ship an item always look at the available options and as long as you can ship the item with the same class of service, i.e. priority mail, look at other options such as calculated priority mail, regional boxes and priority mail cubic.

     For the priority mail cubic you will have to use somebody like Pirate Ship since eBay does not offer cubic. If you go that route be sure to copy and paste the tracking information into the eBay order. 

Message 4 of 19
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Something is not adding up --Ebay Payments

Based on the way you presented the numbers, it is hard to say exactly, but It looks like you paid approximately $16.71 in fees, which is nearly 19.50% of the items price - so yes, based on ebays final value fee structure of 12.99% of ALL Monies Charged(Item Price, Shipping Cost, & Sales Tax, plus a .35Cent Transaction fee) you are being charged EXACTLY what ebay says they will charge you -  We find ALL of our sales fall between  17%-22% of the actual item selling price - I understand that through the smoke and mirror of their creative accounting they make it look like you will only be charged 12.99%, but after all is said and done, ebay is pushing or exceeding 20% in fees on a large portion of transactions - Thats not including any extra fees you may pay in Monthly Subscriptions, Listing Upgrades, or Promoted Listings, which would likely add an additional 6%-10% in fees - This site is being monetized in a weaponized way.

Message 5 of 19
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Something is not adding up --Ebay Payments


@bsh_resellers wrote:

Why are they taking FVF on shipping?  Shouldn't shipping be seperate otherwise the seller looses money on the item.


They do this for three reasons:

 

1) It prevents sellers from inflating shipping costs to lower their fees (i.e. charging $1 for the item and $100 for shipping);

2) eBay wants sellers to offer free shipping, and this removes the financial penalty for doing so; and

3) it means eBay gets more money.

 

 

Message 6 of 19
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Something is not adding up --Ebay Payments

You are charged the fee on your shipping AND sales tax AND VAT!  And don't forget an International Fee. 

 

Still cheaper than renting a store or standing all day in a flea market.  And as I explained to a friend who was stupidly angry at the fees, he can buy 24 hours a day and list 24 hours a day. 

Message 7 of 19
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Something is not adding up --Ebay Payments


@2013grotz wrote:

Why was shipping on FVF done?  Think on what happens if someone sold the same item as yours for $1 + $106.60 shipping in that event?  (and yes people used to do that)  Ultimately though, it's pretty deceptive and unfair in terms of the seller bearing the brunt of all of it on their item, as you have noticed. 


Hardly. It makes it fair for all sellers, whether they offer free shipping or charge for shipping. Why should a seller who prices their item at $25 with free shipping be paying more in fees than someone who prices it at $20 with $5 shipping?

Message 8 of 19
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Something is not adding up --Ebay Payments

It is correct. The higher the shipping cost the more you pay percent wise in fees. It has been that way for a while as they charge on the transaction TOTAL. That is why I do not sell heavy things on Ebay. Not only does it cost more, but if you have a return you have to pay the return ship cost.

Message 9 of 19
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Something is not adding up --Ebay Payments


@luckythewinner wrote:

@bsh_resellers wrote:

Why are they taking FVF on shipping?  Shouldn't shipping be seperate otherwise the seller looses money on the item.


They do this for three reasons:

 

1) It prevents sellers from inflating shipping costs to lower their fees (i.e. charging $1 for the item and $100 for shipping);

2) eBay wants sellers to offer free shipping, and this removes the financial penalty for doing so; and

3) it means eBay gets more money.

 


I'm sorry, but I believe only one of those reasons is true and that is "IT MEANS EBAY GETS MORE MONEY".

 

They could have addressed the problem of people inflating shipping costs by simply adding Conservative Shipping Caps, which would have been fair and equitable for ALL users,  but surely they were ALWAYS going to go the route of charging fees on shipping sooner or later - saying it was instituted to stop the minuscule amount of opportunistic sellers who were inflating shipping cost is giving the company a pass on a what I would describe as a money grab.

 

And when it comes to sellers offering free shipping, most have the shipping cost built into the selling price, so they are still paying fees on shipping.

 

In my most humble opinion, the ONLY REASON ebay EVER does ANYTHING is to take more money out of the users pockets.

Message 10 of 19
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Something is not adding up --Ebay Payments


@yuzuha wrote:


Hardly. It makes it fair for all sellers, whether they offer free shipping or charge for shipping. Why should a seller who prices their item at $25 with free shipping be paying more in fees than someone who prices it at $20 with $5 shipping?


I just saw this.  Anyway, to your example, ebay charges FVF for $25 in *either* scenario.

Message 11 of 19
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Something is not adding up --Ebay Payments

No seriously. Your estimated fees are not adding up. Email says one amount deposits and when I look at eBay under 'View Order Details' the estimated total to be deposited is different. Seriously not adding up. Transparency with eBay is non longer here and your selling fees are becoming usery and intangible for sellers. Many people are de-platforming from here. 

Message 12 of 19
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Something is not adding up --Ebay Payments

It's starting to feel like the $100 bill on the ground you actually loose money taking the time to pick it up.

Message 13 of 19
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Something is not adding up --Ebay Payments

And when it comes to sellers offering free shipping, most have the shipping cost built into the selling price, so they are still paying fees on shipping.

 

Yep..........but sellers who were charging for shipping WEREN'T being charged the fvf and that's where the unfairness comes in......

Message 14 of 19
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Something is not adding up --Ebay Payments

"Your estimated fees are not adding up."

You aren't addressing eBay when you post here.

The total to be deposited in your account will, of course, not add up.

That's because the shipping cost was taken as well as the state sales tax.

And the original message was from 04/22.  Let's hope the OP has figured this out by now.

Message 15 of 19
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