@family212 wrote:
I'm sure I'm missing something.
But for example, I sold an item and with shipping added and tax the total was $38.69 that the buyer paid. But ONLY $31.21 was transferred to me. So I assumed that meant that ebay kept the remaining money for the shipping label, but when I go to print the shipping label it says I have to pay $4.16.
I can't find a breakdown as to why they only paid me $31.21, if I'm supposed to ship the item?
Thank you
So I am going to estimate the tax was right around $2.00 to $2.50 depending on your state tax rate - thats something you never see of course, so the amount the buyer actually paid TO YOU was approximately $36.00(rounded figure for ease of explanation). That would be the amount the buyer paid for the item and shipping.
If you are purchasing the label from ebay we will estimate that ebay actually charged the buyer $6.00 for that label and you get a discount buying it through ebay(again, using rounded figures for ease of explanation), meaning that the buyer actually bought the item for approximately $30.00?
Since you receive $31.21 after fees, we estimate the fees are approximately $5.00(once again, using a rounded figure for ease of explanation).
That $5.00 would represent approximately 17% of the items selling price that you are paying in fees - If you purchased this item for resale and own if for 50% of the items selling price, that means that you are giving ebay nearly 40% of your profit to sell on their site.
If you are promoting the listing at 10% thats an ADDITIONAL $3.80 in fees and that means you have agreed to give ebay nearly 30% of the items selling price if fees, meaning they get nearly 60% of your profit if you own it for half the selling price.
Of course that doesn't include any extraneous fees like: additional or optional listing fees, RISK, printing paper, ink, gas, shipping material, income taxes etc etc etc. And of course, thats not even touching the VALUE OF YOUR TIME INVOLVED in creating a listing, monitoring it, answering questions and shipping it if it should sell.
Good luck with your business
Welcome to the
