Are you looking to start an online store using Shopify and wondering how much the PayPal fee on Shopify is? PayPal is a popular payment gateway with Shopify, and understanding the associated fees can help you plan your budget. In this article, you’ll learn more about what these fees are and how to minimize them.
What is the PayPal Fee on Shopify? The PayPal fee on Shopify is 2.9% + $0.30 per transaction. This fee is in addition to any additional fees that may be charged by PayPal. All Shopify plans include the ability to accept payments from PayPal.
How Are Fees Calculated? Fees are calculated based on the total amount of the transaction. For example, if you sell a product for $100, the PayPal fee would be $3.20 ($2.90 + $0.30). This fee is taken out of the total amount of the transaction before you receive the payment.
Are There Any Additional Fees? Yes, there may be additional fees associated with using PayPal on Shopify. These fees include cross-border fees, currency conversion fees, and chargeback fees.
How Can You Minimize PayPal Fees? Although you can’t avoid the PayPal fee on Shopify, there are a few steps you can take to minimize the amount you are paying in fees. These include offering discounts to customers who pay with PayPal, opting for a flat rate fee, and using a third-party service.
Understanding how PayPal fees work can help you budget accordingly and maximize your profits.