Paying and Getting Paid
So the seller fees um pretty easy it cost twenty cents to list anything on etsy twenty cents that's the that's the rent that's the charge for the the space in your shop they go on for four months and then you can release them for another twenty cents ok it is they've made it even easier to renew your things all you have to do is click a couple buttons and the twenty cents will go right on to your etc bill that you pay once a month multiple quantities this is a great thing if you if you make something and of course everything that's handmade is one of a kind inherently but if it's the same style in the same colors and everyone knows it's handmade and you can talk about that in your description you can list multiple items if you know that you can make more than one of these and for instance, my custom rings I have a quantity of ten I think because I don't want to have to keep going back and re listing things when somebody buys something so you can have that number represented but you're ...
only getting charged twenty cents to create the listing and then when you when you sell something it automatically renews for you you don't have to think about it just does it and it will release for twenty cents now if you if somebody buys something hopes all right forward a little bit if somebody buys more than one thing at a time then you will have paid already paid the twenty cents and you'll get charged another twenty cents for the second item that they bought as if you just buying the listing fee for that second item and it's all done automatically you know you have to think about it when you sell something that's he makes a little bit of money on it it's how they stay in business and it is a transaction fee of three point five percent of the item price and that is thie the price of the item not including shipping or tax or anything like that the transaction fees just based on the item price that you put on the listing and so three point five percent for transaction for you keep that in mind we're going to talk about it a little bit um he put they put everything on your etc bill this is kind of the what it looks like when you have when you owe them money and it's really easy just press a button and it's done for you to get paid this is good so there are multiple ways that you can I have customers pay you through etc the first one is etsy's direct check out it's their merchant service system or the credit card processing system it's built into etc it's very easy tio activate on dh everything kind of happens automatically it also allows you to accept gift cards and allows you to print out postage directly from your etc shop when you sell things, eh? So it's a really good thing to consider paypal is the other option customers can pay with paypal even if they don't have a paypal account but but with direct check out it okay, I'll show you in a little bit sorry it's a little ahead of myself eso drank check out in papal thea other ways t get paid check or money order this is totally up to you I personally don't do it it's a little too much paper working going to the bank and all that stuff and waiting for a check to clear if he dues except checker money orders or air travelers tax I took a traveler's check ones and uh I sent them the work because I thought that it had cleared my bank and then a week later my bank was like sorry that wasn't a good traveler's check I'm like oh ok, I should've waited another week so be sure to wait an appropriate amount of time for that check to clear bank transfers I personally don't know too much about this, but if you sell tio two people outside of the u s than they can send you a bank transfer if that's an option that you want talk to your banker about that and other um uh you know ok, so I they're probably other ways that you can get paid but I'm telling you just stick with direct check out of paypal makes your life a lot easier direct check out its it's really easy but there are fees associated with it. Okay, this is what I was going to um so the buyer experience when it comes to direct check out and paypal if you want to buy something, you go ahead and click on the item and then you were taken to a page that has the little buttons that you can choose so you see here it kind of looks like they accept credit cards or paypal as in paypal accounts if you prefer being paid by papal I suggest that you say somewhere in your terms or in your listing that's that says I prefer to be paid by papal um but again from a buyer standpoint it's really easy, it's just like buying anything else online. Okay? Oh right thing. So the direct check out when you when you set it up there's a five day hold on any money that actually comes in between the time you set it up and the time that they released the money so even if you change your bank information it will have a five day hold on it's just something to be aware of so you're not surprised about it um and then when you make your first sale that's when s he considers you a cellar so they will start a clock for three months it's our three days sorry they're going to hold your funds for three days just to make sure that everything's right with the transactions and they're going to go right and after three days it's going to go directly into your uh shot payment account and there'll be a number there and it will deposit automatically into your account once a week there is an option to schedule an earlier deposit if you want it if you want your money earlier than the week is up on dh sometimes you know I will have to do that because I need to buy silver and then paypal so paypal has a few different kinds of accounts available and etc recommends that you open a premier account or a business account attached to your shop and that's because it allows you much more flexibility and to be able to accept payments without limits limits on how much you can get from from paypal every month super easy he has had to look at the top there isn't section okay super easy and it's free to set up um it's it's a good option to have as a payment in your shot because many etc sellers and buyers who have been on etc for a really long time there was a a very long time pretty where paypal was the only way to get paid and to pay eso you want to kind of capture that market to ok so we're going we're going to compare the fees because everybody always wonders about this like which which one is better said I she's one or the other okay so keep in mind these numbers will be based on the full amount including shipping basically the number that the customer is paying at the end etsy direct checkout is three percent plus twenty five cents per transaction and paypal two point nine percent and thirty cents per transaction okay comparison time our item price is twenty dollars and are shipping prices six dollars case that's where we're basing everything on so everything gets a listing fee right twenty cents and then we're over that transaction fee we talked about three point five percent so that ends up on a twenty dollars because transaction fees are based on just the item price seventy cents direct checkout fee per transaction is twenty five cents add that on and then you have the transaction fee for the direct check out seventy eight cents is that what it says? Ok adds up to a dollar ninety three okay if you subtract that out from your twenty dollars that's what you get paypal listening fee same twenty cents transaction fee seventy cents s o papel charges thirty cents and then it's two point nine percent at seventy five, so here is the grand total. Two more sense are all right, so that's your bottom line with this in mind? Um, when you're selling something for twenty dollars, if you are losing two dollars, every time you just sell something, why not include that fee in your price? Because the difference to your ideal customer between paying twenty dollars and paying twenty two dollars is negligible. Hey, they will pay twenty two dollars, and you will not lose that two dollars, and you will have your fees covered. Okay, easy.