PayPal Goods and Services Fees: Rates Breakdown for 2026
When selling items or providing commercial services online, PayPal categorizes transactions as either Goods and Services or Friends and Family. Understanding the exact percentage rates and fixed fees for Goods and Services payments ensures you budget properly and avoid unexpected payout deductions.
For standard commercial transactions in the United States, PayPal's current rate is 3.49 percent plus a fixed fee of $0.49 per invoice. International sales carry an additional cross-border fee of 1.50 percent.
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PayPal Fee Rates Breakdown Table
PayPal applies different rates depending on transaction origin, payment method, and pricing tier. Here is the current fee structure:
| Transaction Category | Percentage Rate | Fixed Fee | Total Fee on $100 Payment |
|---|---|---|---|
| US Invoicing & Commercial Sales | 3.49% | $0.49 | $3.98 |
| International Sales (Cross-Border) | 4.99% (3.49% + 1.50%) | $0.49 | $5.48 |
| QR Code (Above $10) | 1.90% | $0.10 | $2.00 |
| Micropayments Tier | 5.00% | $0.05 | $5.05 |
Goods & Services vs Friends & Family
PayPal offers two payment types, but they are intended for entirely separate purposes:
- Goods and Services: Designed for purchasing items, online store orders, and commercial freelancing services. It includes Purchase Protection for buyers and Seller Protection for merchants. PayPal deducts the standard commercial fee from the recipient's payout.
- Friends and Family: Designed for sending money to friends, splitting dinner bills, or sending gifts. There are no fee deductions for the recipient if funded by bank balance, but it offers zero purchase protection and cannot legally be used for commercial transactions.
How to Calculate Your Net Deposit
To calculate how much money you receive after PayPal deducts its fee, apply this formula:
For example, on a $500 US commercial invoice:
- Percentage fee: $500 x 3.49% = $17.45
- Fixed fee: $0.49
- Total fee: $17.45 + $0.49 = $17.94
- Final Net Deposit: $500 - $17.94 = $482.06
To compute transaction fees instantly for any sale amount, use our free PayPal Fee Calculator alongside our Margin Calculator.
