PayPal Fees in Mexico and the US: How They Are Calculated

How PayPal charges

When you receive a payment for selling a product or service, PayPal deducts:

1. A percentage of the amount.
2. A fixed fee that depends on the currency you are paid in.
3. An additional international fee if the payer is in another country.

If you later convert your balance, for example from dollars to pesos, PayPal applies a conversion markup on top of the base exchange rate.

The PayPal calculator applies the reference rates and today's exchange rate, and tells you how much you receive or how much you need to charge to receive an exact amount.

Friends and family payments

Personal payments within the same country, funded with your balance or bank account, usually have no fee. If you pay with a card or the transfer is international, they do. Don't use "friends and family" to get paid for sales: you lose seller protection and it may violate PayPal's terms.

How to pay less

• Charge in the currency you will spend, to avoid conversions.
• If you are paid in dollars and live in Mexico, compare PayPal's conversion with today's exchange rate and with other withdrawal options.
• Group small charges together: the fixed fee weighs more on small amounts.
• Check whether your sales volume qualifies you for preferred merchant rates.

Useful formulas

• You receive = amount − (amount × percentage + fixed fee).
• You must charge = (what you want to receive + fixed fee) ÷ (1 − percentage).

Fees may change; always confirm them on PayPal's official fees page for your country.