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Calculated shipping vs Flat rate (USPS)

Can someone please explain how exactly calculated shipping works.

 

I always used flat rate and 98% of the items I sell/sold weigh under 4 oz.

 

I charge $4.74 for shipping. If the item ships to California I would pay

$4.36 (less if I ship closer to home).

 

Should calculated shipping only be used on larger heavier items that weigh over 1 pound?

 

Under flat rate I would set my own shipping cost. 

 

But after looking into calculated shipping the cost is higher for the buyer.

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Calculated shipping vs Flat rate (USPS)

With calculated you enter the weight and dimensions of the package........that will be calculated in two ways......the retail rate the buyer would be charged at the PO and the discounted rate you, as a seller, get when you print the label. 

 

You can choose, in preferences, to charge the retail (and therefore make a few bucks since the discounted rate is less) or you can give the buyer a % off the retail or only charge the buyer the discounted rate that you will pay. 

 

Media mail has no discounted rate.

 

One of the advantages is that, when the rates go up, the prices are automatically adjusted......whereas with flat rate you have to individually increase them.

 

You can also add a handling charge if you wish........

 

The ebay shipping calculator gives you a breakdown of the difference between the retail and discounted rates:

 

https://www.ebay.com/shp/Calculator

 

 

 

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Calculated shipping vs Flat rate (USPS)

     This is kind of a follow on to your other post. ðŸ™‚ There are several factors that go into calculated shipping: The size of the package, the weight of the package, zip code you are shipping from and zip code you are shipping. The from and too are zone related. 

     When you use calculated shipping unless you are passing the e-Bay discounted rate on to the buyer what the buyer pays is actual retail shipping cost. Generally when you purchase the label it will cost less but remember you are paying FVF's on the shipping as well as the sales tax that is applied to that shipping for those states that tax shipping which is only about half of them. 

     The only time I use flat rate shipping  or free shipping is when I know that regardless of where the package is going there is only one cheapest way to ship the item. This generally involves heavy and/or larger items. For example I currently have a listing for 43 pounds of lead ingots that will fit into a USPS medium flat rate box. Even if I was to ship it across the street there is no cheaper way to send it. I also use a lot of flat rate envelopes to send heavier items it's amazing what you can get into those. Even shoving a boxed item into a padded flat rate envelope is cheaper than sending it USPS ground advantage. 

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