Want your own numbers? The PayPal calculator shows every fee and your profit as you type.
Open the PayPal US fee calculatorThe two PayPal payment types look like a simple choice between paying a fee and not paying one. In practice the fee buys protection, and skipping it can cost far more than 3.49%. You can see exact costs in the PayPal fee calculator.
Friends and family
This option is for sending money to people you know. It is free in the US when paid from a PayPal balance or linked bank account. If the sender uses a credit or debit card, the sender pays 2.9% plus $0.30.
There is no purchase protection. If you pay a stranger this way and nothing arrives, PayPal will usually not help you get the money back.
Goods and services
This is the option for buying and selling. The seller pays 3.49% plus $0.49. In return, buyers get Purchase Protection and sellers can qualify for Seller Protection, which covers eligible sales against unauthorised payment claims and item-not-received claims when you ship to the address on the transaction and keep tracking.
| Payment | Total fees | Payout | Fees % |
|---|---|---|---|
| $20.00 | $1.19 | $18.81 | 5.94% |
| $50.00 | $2.24 | $47.77 | 4.47% |
| $100.00 | $3.98 | $96.02 | 3.98% |
| $300.00 | $10.96 | $289.04 | 3.65% |
| $1,000.00 | $35.39 | $964.61 | 3.54% |
Why sellers should not ask for friends and family
- It breaks PayPal’s rules to receive payment for goods this way, and accounts can be limited.
- Honest buyers see it as a warning sign, which costs you sales.
- You lose Seller Protection if a buyer later files a chargeback with their card issuer.
Handling the fee
Build the fee into your price rather than asking buyers to cover it separately. On a $100 sale the fee is $3.98, so pricing at $104 keeps you whole. The calculator’s take-home field gives the exact figure.
If you mostly take payments face to face, Square or PayPal’s own QR code rate can be cheaper. For more ways to reduce costs legitimately, read how to avoid PayPal fees.
Frequently asked questions
Is friends and family PayPal safe for buying?
Only with people you know and trust. There is no purchase protection for friends and family payments.
Who pays the goods and services fee?
The seller, or whoever receives the payment, pays the goods and services fee.
Run your next sale through the calculator before you commit.
Open the PayPal US fee calculatorRelated guides
- PayPalPayPal Fees Explained: A Guide for US Sellers
Every PayPal fee US sellers face: goods and services, card processing, QR codes, invoicing, international payments and conversion, with examples.
- PayPalPayPal International Fees for US Sellers
How PayPal charges US sellers for international payments: the 1.5% cross-border fee, currency conversion spreads and ways to reduce them.
- PayPalHow to Lower PayPal Fees (Without Breaking Rules)
Legitimate ways for US sellers to reduce PayPal fees: pricing, payment types, QR codes, fewer small transactions and alternatives.
- PayPalPayPal Invoice Fees: What Freelancers Pay
How much PayPal charges on invoices for US freelancers and small businesses, how to invoice so you receive the full amount, and cheaper options.
- AmazonAmazon Seller Fees Explained for US Sellers
A clear breakdown of Amazon seller fees in the US: referral fees, closing fees, selling plans, FBA fulfillment, storage and placement fees.
- AmazonAmazon FBA Fees Guide: Fulfillment, Storage & More
Understand Amazon FBA fees for US sellers: fulfillment by size tier, monthly and aged storage, inbound placement and how they affect profit.