What Does It Cost You to Sell on eBay?
Becoming complacent and blithely ignoring your eBay costs as you list items for sale is easy to do. As a seller, you can fall into the habit of listing and relisting without reevaluating the profitability of your final sales. As a person in business for yourself, you must always take into account outgoing costs as well as incoming profits. The cost of your initial listing is just the beginning of your advertising budget for that item; you have to factor in the cost of all the options and features you use as well.
If you use a credit card payment service such as PayPal, that service also charges you a fee.
Insertion (listing) fees
Your insertion fee is based on the higher dollar amount of your minimum opening bid or your reserve price. If you start your auction at $0.99 and have no reserve, the listing fee is free (for the first 100 items per month) if you don't have an eBay Store. (By the way, if you start your listing at $1.00, your fee is $0.50.) But if you start your auction at $0.99 and set an undisclosed reserve price of $50.00, your auction costs $2.00 to post. When you place a reserve on your item, you're charged an insertion fee based on the amount of the reserve plus the reserve price charge.
Fixed-price listing fees are pretty clear-cut. If your Buy It Now price is $0.99 or higher, you pay eBay $0.50 per listing.
Here's a summary of eBay insertion fees.
eBay Auction Listing Fees
| Opening Bid or Reserve Price |
Insertion Fee |
Basic Store Subscriber Insertion Fee |
| $0.01 to $0.99 |
Free* |
$0.10 |
| $1.00 to $9.99 |
$0.25 |
$0.25 |
| $10.00 to $24.99 |
$0.50 |
$0.50 |
| $25.00 to $49.99 |
$0.75 |
$0.75 |
| $50.00 to $199.99 |
$1.00 |
$1.00 |
| $200.00 or more |
$2.00 |
$2.00 |
* If you do not have an eBay Store, you may list up to 100 auction listings in a month for free as long as your starting price is between $0.01 and $0.99, and you have no reserve price. If you exceed 100 listings with this starting price per month, you will be charged a $0.10 fee per listing.
If your item doesn't sell, don't think you can get your insertion fees back. They are nonrefundable. You do have the option of relisting your unsuccessful item without being charged a second listing fee, but only if your item sells with the second listing. If it doesn't sell the second time, the charge for the second listing will stand. Writing a better title, starting with a lower opening bid, or adding a snappier description will help in selling the item. Maybe you should think about changing the category as well.
eBay listing options are recapped here:
Listing Option Fees
| Option |
Fee: Auction or Fixed Price 3, 5, 7, 10 days |
Fee: Fixed Price 30 days |
| Subtitle |
$0.50 |
$1.50 |
| Bold |
$2.00 |
$4.00 |
| Listing Designer |
$0.10 |
$0.30 |
| Gallery Plus |
$0.35 |
$1.00 |
| Scheduled listing |
$0.10 |
$0.10 |
| List in two categories |
Double fees |
Double fees |
| Additional pictures |
$0.15 |
$0.15 |
| Picture Pack 1–6 pictures |
$0.75 |
$0.75 |
| Picture Pack 7–12 pictures |
$1.00 |
$1.00 |
| eBay Final Value fees |
eBay gets a cut when your auction sells. After your auction or fixed-price listing ends, eBay charges the Final Value fee to your account in a matter of minutes.
Final Value fees on auctions are pretty easy to figure out. If your item sells, you pay eBay 9% of the selling price to a maximum of $50.00.
Even a rocket scientist would have trouble figuring out exactly how much eBay receives at the end of fixed-price listings. Its Final Value fees are based on the category you listed your item in, as well as how much the item sold for. To help you calculate Final Value fees, see the following table:
Fixed-Price Final Value Fees by Category
| If Your Item Sells for |
Electronics* |
Clothing, Shoes & Accessories; Motors, Parts &
Accessories |
Books, DVDs & Movies, Music, Video Games |
All Other Categories |
| Item not sold |
No fee |
No fee |
No fee |
No fee |
| $0.99 – $50.00 |
8% of the final sale price |
12% of the final sale price |
15% of the final sale price |
12% of the final sale price |
| $50.01 – $1,000.00 |
8% of the initial $50.00, plus 5%
of the remaining final sale price balance ($50.01 to
$1,000.00) |
12% of the initial $50.00, plus 9%
of the remaining final sale price balance ($50.01 to
$1,000.00) |
15% of the initial $50.00, plus 5%
of the remaining final sale price balance ($50.01 to
$1,000.00) |
12% of the initial $50.00, plus 6%
of the remaining final sale price balance ($50.01 to
$1,000.00) |
| $1000.01 or more |
8% of the initial $50.00, plus 5%
of the next $50.01 to $1,000.00, plus 2% of the
remaining final sale price balance ($1,000.01 to final sale
price) |
12% of the initial $50.00, plus 9%
of the next $50.01 to $1,000.00, plus 2% of the
remaining final sale price balance ($1,000.01 to final sale
price) |
15% of the initial $50.00, plus 5%
of the next $50.01 to $1,000.00, plus 2% of the
remaining final sale price balance ($1,000.01 to final sale
price) |
12% of the initial $50.00, plus 6%
of the next $50.01 to $1,000.00, plus 2% of the
remaining final sale price balance ($1,000.01 to final sale
price) |
The Final Value fees for eBay Store subscribers are different when it comes to auctions. The fees are based on the final selling price:
Auction Final Value Fees for eBay Store Subscribers
| Selling Price |
Final Value Fees |
| Item not sold |
No fee |
| $0.01 to $50.00 |
8.75% of the final selling price |
| $50.01 to $1,000.00 |
8.75% of the initial $50.00, plus 4% of the remaining final
selling price ($50.01 to $1,000.00) |
| Equal to or over $1,000.01 |
8.75% of the initial $50.00, plus 4% of the next $50.01 to
$1,000.00, plus 2% of the remaining final selling price ($1,000.01
to final price) |
To avoid brain-drain, use an eBay fee calculator to check your fees before you set prices.

eBay Glossary
About Me page
A page that an eBay member creates to tell other eBay members about them and their eBay business.

eBay Glossary
announcement boards
Online pages where eBay posts information about new features, promotions, and policy changes, as well as information about system problems and general announcements.

eBay Glossary
AOL; America Online
An Internet service and media company that provides a semi-closed online community for millions of subscribers.

eBay Glossary
B2B; business-to-business
A type of transaction where the buyer has a resale number and purchases merchandise from another business.

eBay Glossary
bid cancellation
The cancellation of a bid by the seller during an eBay auction.

eBay Glossary
bidder
An eBay member who bids on an auction item. Each bid enters that bidder into a binding contract.

eBay Glossary
blog; blogging
Short for weblog; a Web site chronicle that is regularly updated by an individual or group.

eBay Glossary
browser
A software program, usually free, that lets your computer download content from the Internet.

eBay Glossary
Business account
A PayPal account that allows an eBay seller to accept credit or debit card payments from customers. It offers controlled multi-user access so that multiple employees can serve customers, and it gives the seller unlimited use of eBay Tools and Merchant Services.

eBay Glossary
Buy It Now
An optional eBay feature that allows a buyer to immediately purchase an item at a set price before the auction ends.

eBay Glossary
buySAFE
A program that enables eBay sellers to present a credibility seal and financially protect their online auction transactions with surety bonds.

eBay Glossary
chargeback
The withdrawal of money from a seller’s account by a payment service or merchant account after a transaction has occurred. This can happen when a buyer disputes the sale.

eBay Glossary
chat room
An online area where eBay members can communicate directly with each other.

eBay Glossary
comma-delimited
A way to format table or database information, in which commas separate what would be different columns, that allows data to be transferred from one application to another.

eBay Glossary
cookie
A data packet sent from an Internet server to your browser; a cookie is used to identify the user and track their activities on the server.

eBay Glossary
discussion boards
Online pages where eBay members can post messages, ask questions, share tips, and communicate with other eBay members.

eBay Glossary
DNS; domain name system
The system that is used to track and regulate domain names and addresses on the Internet.

eBay Glossary
dpi; dots per inch
A measure of resolution often used for a computer screen or printer.

eBay Glossary
drop-ship service
A business that stocks merchandise and sells the merchandise to a reseller, but ships it directly to the customer.

eBay Glossary
DSL; Digital Subscriber Line
A method of transferring digital data to allow high-speed Internet access over phone lines.

eBay Glossary
DSR; Detailed Seller Ratings
A ratings system that allows an eBay buyer to rate a seller based on the accuracy of the item description, quality of communication, shipping speed, and shipping and handling charges.

eBay Glossary
Dutch auction
A multiple-item auction in which the seller can list as many identical items as they’d like, and bidders can bid on as many items as they’d like. The final item price is set by the lowest successful bid at the time the auction closes.

eBay Glossary
eBay Groups
A group of eBay buyers and sellers who have a common interest.

eBay Glossary
eBay Store
An eBay page that displays all of the items offered by an individual store seller.

eBay Glossary
eBay Time
The official eBay time of day, based on the eBay headquarters location in San Jose, California, in the United States; eBay time is the same as the Pacific Time Zone.

eBay Glossary
eCheck; electronic funds transfer
A computer-based system that allows users to conduct financial transactions electronically.

eBay Glossary
EOA; end-of-auction e-mail
An e-mail notice that eBay sends out to the buyer and seller when an auction has ended.

eBay Glossary
Escrow.com
eBay’s official escrow service; this is an online service that offers protection to buyers with transactions over $2,000, which is the upper limit for PayPal buyer protection.

eBay Glossary
feedback
A rating from a buyer or a seller, made after a transaction. The rating can be positive, negative, or neutral, and can include a short comment. Ratings are used to determine an eBay member’s Feedback Scores.

eBay Glossary
Feedback Star
A colored star indicating that an eBay seller has a particular Feedback Score. For example, a yellow star means that the seller has 10-49 Feedback points.

eBay Glossary
Final Value Fee; FVF
The fee that eBay charges to the seller when a listing ends. It is based on the sale price or the closing bid. The fee is not charged to items that didn’t have any bids or to items that didn’t meet the reserve price set by the seller.

eBay Glossary
fixed-price listing; fixed-sale price
An item listing where an eBay member can buy the item at a set price without auction-style bidding.

eBay Glossary
FTP; file transfer protocol
A standard protocol that allows users to exchange files over a network.

eBay Glossary
ID verified
An icon indicating that the identity of an eBay seller has been confirmed in order to give buyers a measure of security.

eBay Glossary
Member Profile
A profile created by an eBay member. The member has a password and user ID to access their My eBay page; they can track what they are buying and selling, leave feedback, and update their profile.

eBay Glossary
My eBay page
A collection of Web pages held together with links that gives an eBay member complete control of everything they are doing on eBay. The My eBay page contains My Summary, All Buying, All Selling, My Messages, All Favorites, and My Account pages.

eBay Glossary
My Summary page
A page that gives an eBay member a snapshot of their current eBay business.

eBay Glossary
My World page
A personalized eBay page containing an eBay member’s favorites, photo, feedback, a guestbook, a short biography, and their eBay interests.

eBay Glossary
PayPal Buyer Protection
A PayPal program that covers up to the full purchase price and shipping charges for buyers who use PayPal on qualified listings. Sellers must meet certain requirements for their listings to qualify for PayPal Buyer Protection. These protected items have a Buy Safely icon in the Meet the Seller section on the View Item page.

eBay Glossary
Picture Manager
An eBay subscription service that enables users to upload and manage the pictures for all of their listings. Presently, new users cannot subscribe to this service, as it is being discontinued. Existing subscribers can use it until January 2010.

eBay Glossary
PowerSeller
An eBay seller who has maintained a 98% positive Feedback Score. This is an experienced, high-volume eBay seller who provides a high level of service to buyers.

eBay Glossary
Premier account
An eBay account for members who have a high volume of transactions and need to accept payments via credit cards, debit cards, and PayPal debit cards.

eBay Glossary
private auction
A listing where the bidders’ user IDs are hidden from other bidders. Sellers can use this feature when they think that potential bidders may not want their user ID made known.

eBay Glossary
QuickBooks
Small business accounting software developed by Intuit.

eBay Glossary
Quicken
Personal finance accounting software developed by Intuit.

eBay Glossary
reserve price
The secret lowest price that an eBay seller is willing to sell an item for.

eBay Glossary
sales tax number
The number that a seller uses when they file a sales tax statement with their state.

eBay Glossary
Second Chance Offer
An offer by a seller to a non-winning bidder to purchase an eBay item after the winning bidder has not paid for the item, or the seller has more than one of the item. A seller can propose a Second Chance Offer when the listing ends, and up to 60 days after the listing ends.

eBay Glossary
Selling Manager Pro
An eBay selling tool that allows a user to automatically list and relist their items; track inventory; automate payments; monitor shipping status; create bulk item listings; send bulk feedback and e-mails; and create profit and loss reports.

eBay Glossary
shill bidding
A bidding technique that artificially raises an item’s price to increase the desirability and final price of the item. eBay prohibits shill bidding.

eBay Glossary
sniping
The fine art of outbidding competition in the very last seconds of an eBay auction without leaving them enough time to place a defensive bid.

eBay Glossary
spam
Online slang for harassing, offensive, or useless-but-widely-distributed messages or advertisements.

eBay Glossary
spreadsheet program
A computer program used mainly for accounting, in which figures arranged in the rows and columns of a grid can be manipulated and used in calculations.

eBay Glossary
SquareTrade
A provider of warranties for consumer appliances and electronics. The company is located online at www.squaretrade.com.

eBay Glossary
state resale license
A license that identifies a seller as being in business. When you want to purchase goods from a wholesaler within your state, you must produce this number (thereby certifying your legitimacy as a seller) so the dealer can sell you the merchandise without charging you sales tax.

eBay Glossary
tab-delimited file
A file in which pieces of data are separated tabs. This file type can be opened in either a spreadsheet or word-processing program.

eBay Glossary
thread
A group of linked Internet messages that share a common subject.

eBay Glossary
Trading Assistant
Also referred to as a consignment seller; this is an eBay member who sells other people’s merchandise for a fee.

eBay Glossary
Trust & Safety
The eBay department that focuses on protecting eBay buyers and sellers from members who abuse the system. It issues warnings and policy changes, and in some cases, it cancels the memberships of system abusers.

eBay Glossary
Turbo Lister
An eBay tool that allows sellers to easily create and compile multiple listings on their computer and then upload the listings to eBay.

eBay Glossary
uptime
The span of time a Web hosting company’s servers stay operational without going down and denying access to their users’ sites.

eBay Glossary
user ID
A name that identifies an eBay member to other eBay users.

eBay Glossary
Wi-Fi; Wireless Fidelity
Technical standards that allow wireless transmission of data over a computer network.

eBay Glossary
wildcard
Used in a search, a character that matches any character or sequence of characters.

eBay Glossary
WYSIWYG; what you see is what you get
Technology that enables a computer display to accurately represent the final printed output.