I have been charged a PayPal ‘fee’ of 5% of a payment made by a customer from the US. I charged the customer my service fee plus a 7% ‘Card handling charge’. The fee charged by PayPal is 5% of my service fee + my card handling fee of 7%.
In simple terms, it looks like whatever I charge my customers including a card handling fee, PayPal will take 5% of the total from whatever I’m paid?!!
Is there a way to ensure that when using PayPal my customers rather than me pay the 5% PayPal fee? -
Or if this is a price I have to pay, what’s the best way to use QF to account for the difference between what my merchant account says I’ve been paid and what I’ve actually been paid? -
Is this a business expense I can set against my income for tax purposes for example?