08-02-2025 4:30 PM - edited 08-02-2025 4:31 PM
(following on from this thread post: #10 in thread: "Buyer fee - how to calculate total? + Shipping: charge separately now or not?")
@jimthing wrote:
(Another user who wanted to remain anonymous emailed me about the pricing error, with thanks.)
Ebay have set this up wrongly, as they're working out the fee wrongly!
While Ebay's help says in their example:
£20 - Item price set by the seller
£1.55 - Buyer Protection fee (4% of £20 [i.e. £0.80], + £0.75)
£21.55 + postage - Price that buyer sees for the listing
£20 - seller earnings
The list-an-item page works it out incorrectly as:
£20 - Item price set by the seller
-£0.75 - minus fixed fee
= £19.25
£0.77 - Buyer Protection fee (4% of £19.25)
= £1.52 - TOTAL FEE (£0.75+£0.77)
£21.52 + postage - Price that buyer sees for the listing
£20 - seller earnings
This is ENTIRELY THE WRONG WAY according to Ebay's own help page!
Is everyone else seeing this same buyer fee amount error, or are you seeing it fixed and showing the correct fee amount?
Note: It should be 4% plus 75p to get the correct amount for your item.
Solved! Go to Solution.
08-02-2025 9:53 PM - edited 08-02-2025 9:56 PM
Truly appallingly confusing use of explanatory language, this one is! How can a FLAT fee be 'up to', anyway?
A complete and utter oxymoronic statement: "A flat fee of up to 75p" - it either is flat at 75p, or it's not flat at all; it can't be both?!
09-02-2025 1:11 AM
In the example given you reverse the adding up (the item price could be the price shown to the buyer ) which would not surprise me with the way ebay lack clarity.
Are they therefore asking sellers to put the total including fees in the item price ? which would be an interesting twist !
if so £20 selling price shown to buyer as per the snapshot (item price ?)
deduct 75p flate fee
deduct 4% 77p
Seller gets £18.48
If the seller wants £20
add 4% 80p
add flat fee 75p
Buyer sees £21.55 (item price ?)
09-02-2025 1:14 AM
See the first post for the error being talking about, it's self explanatory.
09-02-2025 1:53 AM
@dch2112011 wrote:Are they therefore asking sellers to put the total including fees in the item price ? which would be an interesting twist.
if so £20 selling price shown to buyer as per the snapshot (item price ?)
deduct 75p flate fee
deduct 4% 77p
Seller gets £18.48
If £20 is the price including the Buyer Protection Fees then the seller should receive £18.51 ((£20 - 75p) /1.04) not £18.48.
09-02-2025 1:59 AM
Nope - the 4% does not apply to the flat fee - you reverse the equation when calculating back from the buyer price -
Buyer sees £20
less flat fee 75p
sub total £19.25
less 4% of 19.25 = 77p
Net to seller £18.48
09-02-2025 2:12 AM - edited 09-02-2025 2:13 AM
@dch2112011 eBay's example from their policy page shows this for an item price of £20 set by the seller - 4% of the £20 would be £0.80 plus £0.75 for a total Buyer Protection Fee of £1.55 making a total item price shown to the buyer of £21.55
However, in the listing form when sellers enter £20 for the item price, eBay is showing a note which says UK buyers will pay a £1.52 fee, which would make for a total item price shown to the buyer of £21.52.
While the 4% shouldn't apply to the £0.75, it seems clear that's what eBay is doing - or they are doing something else which is having the same effect of making the flat fee only £0.72 instead of £0.75.
eBay isn't asking sellers to put the fee into the item price, rather eBay is putting it in themselves automatically when the listing goes live - that note on the listing form is just there for sellers to be able to see how much additional will be added.
The issue being discussed here is just that eBay is incorrectly calculating the fee based on comparing what their own policy page example shows vs what is shown in the listing form.
09-02-2025 2:16 AM
The while thing is an omni-shambles.
09-02-2025 2:30 AM - edited 09-02-2025 2:32 AM
I don't think ebay are adding the 4% to the flat fee - the logical calculation is that the equation is taking the 'item price as the total price including the 4% and the flat fee.
This of course could be a calculation input error or it could mean that the 'item price' is what the buyer will see ie including fees or more likely that part of the code is not working that automatically changes the item price to what the buyer sees !
The way to check would be to enter an odd amount eg £32.78 then calculate the fees both ways to get away from comparing £20 which is the start price in ebays example and the £20 in the listing tool which is being calculated as the total price including fees.
The worst case scenario is that ebay are expecting sellers to calculate the fees and enter them as the item price ? - hopefully not- but with ebay everything is a possibility when they introduce new systems and chop and change them as time progresses depending on whether they do what was intended, what they have forgot to include or what is simply not working !
09-02-2025 2:33 AM - edited 09-02-2025 2:41 AM
Sorry but that's irrelevant. The example given above clearly explains where the error lies in Ebay's system not doing the maths correctly.
"item price" is the price the seller enters before any buyer fee is added, and that fee is done by Ebay's system automatically working it out for the seller and adding it to the item price which appears after the seller hits to submit the listing (and is shown on the List An Item/Revise Item screen, as the screenshots show). The seller doesn't work out any of the buyer fee themselves.
09-02-2025 2:47 AM
put up a screenshot of what the buyer sees when entering £20 as the item price ?
Just for irrelevance - see what happens when you enter the item price as the total price - the fees are correct - so this tells you that when entering the item price as £20 the system is calculating the fees based on the £20 being the total price including fees - could be a calculating error or could be that sellers are expected to enter the total buyer price in as item price - not irrelevant until proven otherwise !
09-02-2025 2:49 AM
@dch2112011 wrote:Nope - the 4% does not apply to the flat fee - you reverse the equation when calculating back from the buyer price -
Buyer sees £20
less flat fee 75p
sub total £19.25
less 4% of 19.25 = 77p
Net to seller £18.48
I know the 4% doesn't apply to the flat fee, never said it did.
The above calculation appears to be the way that eBay are doing it but that is not how you reverse the equation when calculating back from the buyer price. You need to deduct 4% of the price the seller wishes to receive from the £19.25 not 4% of £19.25. You do that by dividing £19.25 by 1.04 which gives you £18.51.
£18.51 + 4% + 75p = £20.00 which is correct.
£18.48 + 4% + 75p = £19.97 which is incorrect.
09-02-2025 2:53 AM
Let's all leave @dch2112011 to themselves, as all they're doing it throwing up irrelevant and incorrect information. 🙄
09-02-2025 3:07 AM
It does show the fee calculated as added onto the item price under buyer fees - it also seems to calculate fees at different levels on different amounts ?
09-02-2025 3:36 AM
Why are you so downright rude to people?
You already have a good workaround. Why don't you USE it?
09-02-2025 3:37 AM
Stay on topic.
09-02-2025 4:59 AM
It appears to be a ploy that will cause confusion.
It is not a simple way to show the costing.
The Seller's advert should show the Buyer the amounts separately they will have to pay to purchase the item before they put the items in the basket.
09-02-2025 12:39 PM - edited 09-02-2025 12:40 PM
@dch2112011 wrote:put up a screenshot of what the buyer sees when entering £20 as the item price ?
Just for irrelevance - see what happens when you enter the item price as the total price - the fees are correct - so this tells you that when entering the item price as £20 the system is calculating the fees based on the £20 being the total price including fees - could be a calculating error or could be that sellers are expected to enter the total buyer price in as item price - not irrelevant until proven otherwise !
@dch2112011 I have no idea why you keep referring to the "item price seen by the buyer" when it is very clear from the screenshots/posts in this thread that we and eBay in their policy page example are specifically talking about the item price set by the seller.
Look at my screenshot from eBay's policy page - it very clearly says Item Price Set By The Seller - £20
The only place the seller can "set the item price" is in that field in the listing form called "Item Price" - and as you can see in my second screenshot, that is also set to £20.
So it should be perfectly clear to you that both of those screenshots show the same starting point. They are both showing an Item Price Set By The Seller of £20.
Now since we've established both examples start off in the same place (apples to apples comparison) the next step is to observe where both examples end up.
eBay's policy page example shows they calculate 4% of £20 to be £0.80. They then show the flat rate amount of £0.75 adding up to a total of £1.55 for the Buyer Protection Fee for a total item price shown to the buyer of £21.55.
On the listing form, we don't get to see the steps in between eBay is making to do the math, we only get the end result. Again though, we've proven we've started out in the same place as eBay's policy page example, so by all the rules of math I've ever been taught, one would expect to end up in the same place.
But that's not what's happening - as clearly shown in the screenshot on the listing form eBay is somehow calculating the Buyer Protection Fee on that same £20 Item Price Set By The Seller to be £1.52 instead of £1.55, which would make the total item price shown to the buyer £21.52 instead of £21.55.
Some here have made some decent guesses about how eBay has gotten the wrong figure but ultimately the how doesn't really matter, all that really matters is that they have gotten the wrong figure somewhere - either their policy page example shows the wrong way to do the math or the calculator on the listing form is wrong.
The screenshot you showed here even proves the point - you started with an Item Price Set By The Seller of £21.55. According to eBay's policy page example, the way the Buyer Protection fee should be worked out on that amount would be:
4% of £21.55 = £0.86
Flat fee = £0.75
Total Buyer Protection Fee = £1.61
But your screenshot shows the listing form calculation for that Item Price Set By The Seller as £1.58 - £0.03 short, just like we've been saying.
Hope that clears up any confusion and will allow this thread to continue on topic - which is that there is a clear, demonstrable discrepancy between how eBay's policy page says the Buyer Protection Fee calculation should be made and how the listing form is actually making the calculation.
eBay needs to figure out which one is wrong and fix it so that both buyers and sellers can understand exactly how it's supposed to be done and trust that it is being done correctly.
09-02-2025 12:51 PM
@valueaddedresource - Thanks for explaining this to them.
Have you bothered to contact Ebay yourself about this by any chance? More reports might actually equal them clarifying or fixing this. My report# is listed on this thread post: 24
09-02-2025 12:53 PM
72p is 75p minus 4%
09-02-2025 12:54 PM
We worked that out already.