Daily Business BriefsPayments3 min read

Payment fees: compare net payout before choosing Stripe or PayPal

The headline processor rate is not the whole cost. Compare the net payout after percentage fees and fixed transaction fees.

For small invoices, fixed fees matter more. For larger invoices, percentage fees usually drive the total processing cost.

Compare the full fee formula

A 2.9% plus $0.30 structure behaves differently on a $10 sale than on a $2,000 invoice. Always include both parts of the fee.

Use net payout for planning

The amount deposited into the business account is what pays expenses. Compare processors by the final net amount, not only by the displayed percentage.

Check surcharge rules before passing fees on

Platform, card-network, state, and country rules can affect whether you may add a separate fee. Confirm the rule before changing customer-facing prices.