Does eBay Take a Cut? Get the Facts

Virginia Miller

September 11, 2024

In this article:

Frequently Asked Questions

If you are a budding entrepreneur and plan to sell products over eBay in 2023, then there are a few things you need to consider on priority. There are millions of sellers out there who are willing to agree to all the fee guidelines of eBay. It is because the platform has excellent exposure to a global audience, and every seller on eBay is destined to earn significant figures in the long run.

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To be direct, eBay sellers must pay around 10% of the product's value to the platform. The cost will consistently change, depending upon the total sale value, alongside the product category. When you are coming to eBay's platform to take your business online and gather a broad audience base, you should have clarity on whether eBay take a cut!

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The answer is a definite yes! But a lot goes into the overall eBay fees for selling. Read this article to find out!

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What is eBay and How Can it Benefit Sellers?

With over 150 million daily users, eBay is one of the largest online marketplaces worldwide. Buyers browse and purchase a wide variety of items, while sellers list everything from clothing and books to cars and cameras. For buyers, eBay is a treasure trove of goods. For sellers, it provides access to a massive base of potential customers.

Many sellers have built successful businesses selling on eBay, replacing full-time jobs with consistent eBay income streams. Even those not running full-fledged businesses can declutter by selling unwanted items. As the second most popular ecommerce platform, eBay owes its success to the collective efforts of buyers and sellers.

The best part about selling on eBay is that you can get started without large upfront investments in inventory or infrastructure. All you need is a computer, internet access, and an eBay seller account.

eBay Fees for Sellers

There are six main types of fees charged by eBay:

Listing Fees

A $0.35 non-refundable insertion fee applies per item listed. Additional charges apply for listing items in multiple categories. However, only one insertion fee applies for listings with multiple quantities of the same item.

eBay only charges insertion fees if you list over 250 items per month. Higher monthly allowances apply if you subscribe to an eBay store.

Final Value Fees

Final value fees range from 0.30 cents up to 15% of the total sale price. The exact percentage varies by product category:

12.55% for electronics, laptops
12.35% for sports cards, baseball cards
12.55% for most other categories like auto parts
15.55% for books, movies, music
No fee for musical instruments, gear
15.55% for some shoes, clothing, accessories
5% for NFTs
15% for watches, jewelry
12.35% for coins, bullion, paper money

eBay Store Subscription Fees

eBay offers several store tiers, each with its own advantages and monthly/yearly fees:

Starter - $59.40 per year
Basic - $21.95 per year
Premium - $59.95 per year
Anchor - $299.95 per year
Enterprise - $2,999.95 per year

Benefits include extra monthly listings, reduced final value fees, and optional listing upgrades.

Promoted Listings

If a buyer purchases through a promoted listing, eBay charges the seller an additional fee based on current advertising rates (typically 2-15%).

Shipping Costs

Sellers calculate and charge shipping costs separately. eBay provides access to discounted USPS, UPS, and FedEx shipping rates.

International Fees

A additional percentage fee applies for international shipments: 1.7% for India, 1.35% for Japan, 1.45% for South Korea, etc. See eBay's website for specific rates.

Reducing eBay Fees

While some fees are unavoidable, there are ways to reduce overall selling costs on eBay:

Stay under 250 monthly listings per storefront
Compare final value fee differences from store subscriptions for high-volume sellers
Set up direct deposit to avoid PayPal fees

Creating an eBay Seller Account

Major steps for getting started:

Choose Market Focus

Decide whether to sell locally or globally. Remember to account for higher international shipping expenses.

Register Business Account

Create a memorable business name and provide contact details. Link bank account to receive payments.

Verify Account

Complete ID verification to remove selling restrictions for new sellers.

Setup Store

Create custom storefront or sell items individually. Stores help products stand out.

Write Descriptions

Craft compelling product descriptions to capture buyer attention, regardless of selling as an individual or business.

Recommended: eBay Vs. Amazon - A Complete Comparison Guide

Frequently Asked Questions

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