Act on the result
Compare alternative total fees with current total fees and the crossover transactions before choosing the payment contract.
Educational only: Business decision support, not accounting, tax or legal advice.
Privacy: No account is required. Tool inputs and results stay in this browser. Anonymous categorical usage analytics send only governed page, tool, cluster and action identifiers; tool inputs and results are never sent. Error monitoring is disabled. Optional saved state stays only on this device.
Update policy: Reviewed when formulas or official dependencies change.
Scope: Market-neutral small-business planning using your own assumptions.
What this comparison calculator helps you decide
Best for
Merchants comparing two payment contracts with different fixed, percentage and refund terms.
Outputs
Weighted fee, effective rate, period fees and crossover transaction volume.
Start here
Use one market, currency, transaction cohort and current provider contract for both options.
Use a different tool when: Do not use this to set a viable listing price after marketplace, payment and fulfilment fees; use Marketplace Fee Profit Planner for that decision. Use this tool to compare two payment fee structures at an expected transaction volume.
Commerce & operations
Payment Processing Fee: weighted fee
Weighted fee, effective rate, period fees and crossover transaction volume.
Amounts use the same currency as your inputs. No currency conversion is performed.
Provider contract scenarios
Choose the provider contract you are checking to clear the example fees, then copy the exact fixed, percentage and refund values from the agreement and settlement records that apply to your market and channel. No named-provider rate is loaded.
Payment Processing Fee Comparison
Compare weighted payment cost with an alternative fee structure. The starting numbers are illustrative only—replace every fee and rate with the current terms in your own provider contract.
Your numbers stay in this browser
Average transaction value. Enter the amount on one consistent ex-tax market-currency basis.
Whole transactions in the period.
Enter the fixed fee in your current contract. Enter the amount on one consistent ex-tax market-currency basis.
Enter the percentage fee in your current contract.
Refund share applied consistently to both payment contracts.
Fee-recovery share applied consistently to both payment contracts.
Fixed plan fee for the period. Enter the amount on one consistent ex-tax market-currency basis.
Fixed fee per alternative transaction. Enter the amount on one consistent ex-tax market-currency basis.
Enter the percentage fee in the alternative contract.
Decision result
Each output is bound to its registered ecommerce engine formula.
- Weighted Fee Per Transaction
- 3.07
- Weighted Effective Rate
- 3.1%
- Total Current Fees
- 3,072.00
- Alternative total fees
- 2,596.00
- Crossover Transactions
- 174
Scenario comparison
Each row names the assumption axis changed from the baseline.
ScenarioResultDifference
Current scenario2,596.00Baseline
Lower Alternative percentage fee1,636.00-960.00
Higher Alternative percentage fee3,556.00960.00
Save these results, change an input, then compare the updated figures with this baseline.
The baseline is temporary in this tab and is not added to shared scenario links or generated reports.
Calculation details
View calculation detailsView the formulas and inputs used for these results.
Weighted Fee Per Transaction
Weighted Fee Per Transaction
sum(payment share × fee after refund recovery)3.07Result3.07
Reports money for the entered planning period using the declared ex-tax cost and revenue basis. The engine retains full precision; presentation rounding does not feed calculation.
Payment Processing Fee Comparison formulas →Inputs used by these formula steps
- Weighted Fee Per TransactionAverage Order Value
- 100
- Weighted Fee Per TransactionTransactions
- 1,000
- Weighted Fee Per TransactionCurrent Fixed Fee
- 0.3
- Weighted Fee Per TransactionCurrent Percentage Fee
- 0.03
- Weighted Fee Per TransactionCurrent Refund Rate
- 0.08
- Weighted Fee Per TransactionCurrent Refundable Fee Rate
- 0.5
- Weighted Fee Per TransactionAlternative Fixed Period Fee
- 100
- Weighted Fee Per TransactionAlternative Fixed Fee
- 0.2
- Weighted Fee Per TransactionAlternative Percentage Fee
- 0.02
Weighted Effective Rate
Weighted Effective Rate
weighted fee / average order value0.03 percentResult3.1%
Reports percent for the entered planning period using the declared ex-tax cost and revenue basis. The engine retains full precision; presentation rounding does not feed calculation.
Payment Processing Fee Comparison formulas →Inputs used by these formula steps
- Weighted Effective RateAverage Order Value
- 100
- Weighted Effective RateTransactions
- 1,000
- Weighted Effective RateCurrent Fixed Fee
- 0.3
- Weighted Effective RateCurrent Percentage Fee
- 0.03
- Weighted Effective RateCurrent Refund Rate
- 0.08
- Weighted Effective RateCurrent Refundable Fee Rate
- 0.5
- Weighted Effective RateAlternative Fixed Period Fee
- 100
- Weighted Effective RateAlternative Fixed Fee
- 0.2
- Weighted Effective RateAlternative Percentage Fee
- 0.02
Total Current Fees
Total Current Fees
weighted fee × transactions3,072.00Result3,072.00
Reports money for the entered planning period using the declared ex-tax cost and revenue basis. The engine retains full precision; presentation rounding does not feed calculation.
Payment Processing Fee Comparison formulas →Inputs used by these formula steps
- Total Current FeesAverage Order Value
- 100
- Total Current FeesTransactions
- 1,000
- Total Current FeesCurrent Fixed Fee
- 0.3
- Total Current FeesCurrent Percentage Fee
- 0.03
- Total Current FeesCurrent Refund Rate
- 0.08
- Total Current FeesCurrent Refundable Fee Rate
- 0.5
- Total Current FeesAlternative Fixed Period Fee
- 100
- Total Current FeesAlternative Fixed Fee
- 0.2
- Total Current FeesAlternative Percentage Fee
- 0.02
Alternative total fees
Total Alternative Fees
fixed period fee + alternative fee after refund recovery × transactions2,596.00Result2,596.00
Reports money for the entered planning period using the declared ex-tax cost and revenue basis. The engine retains full precision; presentation rounding does not feed calculation.
Payment Processing Fee Comparison formulas →Inputs used by these formula steps
- Total Alternative FeesAverage Order Value
- 100
- Total Alternative FeesTransactions
- 1,000
- Total Alternative FeesCurrent Fixed Fee
- 0.3
- Total Alternative FeesCurrent Percentage Fee
- 0.03
- Total Alternative FeesCurrent Refund Rate
- 0.08
- Total Alternative FeesCurrent Refundable Fee Rate
- 0.5
- Total Alternative FeesAlternative Fixed Period Fee
- 100
- Total Alternative FeesAlternative Fixed Fee
- 0.2
- Total Alternative FeesAlternative Percentage Fee
- 0.02
Crossover Transactions
Crossover Transactions
ceil(fixed period fee / unit saving)174 unitsResult174
Reports units for the entered planning period using the declared ex-tax cost and revenue basis. The engine retains full precision; presentation rounding does not feed calculation.
Payment Processing Fee Comparison formulas →Inputs used by these formula steps
- Crossover TransactionsAverage Order Value
- 100
- Crossover TransactionsTransactions
- 1,000
- Crossover TransactionsCurrent Fixed Fee
- 0.3
- Crossover TransactionsCurrent Percentage Fee
- 0.03
- Crossover TransactionsCurrent Refund Rate
- 0.08
- Crossover TransactionsCurrent Refundable Fee Rate
- 0.5
- Crossover TransactionsAlternative Fixed Period Fee
- 100
- Crossover TransactionsAlternative Fixed Fee
- 0.2
- Crossover TransactionsAlternative Percentage Fee
- 0.02
Inputs used
- Average order value
- 100.00
- Transactions
- 1,000
- Current fixed fee
- 0.30
- Current percentage fee
- 2.9%
- Shared refund rate
- 8%
- Shared refundable fee share
- 50%
- Alternative fixed fee
- 100.00
- Alternative transaction fee
- 0.20
- Alternative percentage fee
- 2.4%
Subscription cadence fee impact
Compare monthly and annual transaction cadence inside this payment-processing workflow. Enter your own contract values; this module has no separate route or provider defaults.
- Billed potential revenue
- 4,000.00
- Collected gross revenue
- 4,000.00
- Failed revenue
- 0.00
- Gross processing fees
- 153.00
- Fee refunds
- 7.65
- Failed-payment cost
- 0.00
- Net fee leakage
- 145.35
- Effective leakage rate
- 3.63%
Calculation details
View calculation detailsView the formulas and inputs used for these results.
Billed potential revenue
Billed potential revenue
scheduled monthly charges × monthly price + scheduled annual charges × annual price4,000.00Result4,000.00
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Billed potential revenueScheduled Monthly Transactions
- 100
- Billed potential revenueSuccessful Monthly Transactions
- 100
- Billed potential revenueMonthly Price
- 20
- Billed potential revenueScheduled Annual Transactions
- 10
- Billed potential revenueSuccessful Annual Transactions
- 10
- Billed potential revenueAnnual Price
- 200
- Billed potential revenuePercentage Fee
- 0.03
- Billed potential revenueFixed Fee
- 0.3
- Billed potential revenueFailed Payment Cost Per Attempt
- 1.5
- Billed potential revenueRefund Rate
- 0.1
- Billed potential revenueRefundable Fee Rate
- 0.5
Collected gross revenue
Collected gross revenue
successful monthly charges × monthly price + successful annual charges × annual price4,000.00Result4,000.00
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Collected gross revenueScheduled Monthly Transactions
- 100
- Collected gross revenueSuccessful Monthly Transactions
- 100
- Collected gross revenueMonthly Price
- 20
- Collected gross revenueScheduled Annual Transactions
- 10
- Collected gross revenueSuccessful Annual Transactions
- 10
- Collected gross revenueAnnual Price
- 200
- Collected gross revenuePercentage Fee
- 0.03
- Collected gross revenueFixed Fee
- 0.3
- Collected gross revenueFailed Payment Cost Per Attempt
- 1.5
- Collected gross revenueRefund Rate
- 0.1
- Collected gross revenueRefundable Fee Rate
- 0.5
Failed revenue
Failed revenue
billed potential revenue − collected gross revenue0.00Result0.00
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Failed revenueScheduled Monthly Transactions
- 100
- Failed revenueSuccessful Monthly Transactions
- 100
- Failed revenueMonthly Price
- 20
- Failed revenueScheduled Annual Transactions
- 10
- Failed revenueSuccessful Annual Transactions
- 10
- Failed revenueAnnual Price
- 200
- Failed revenuePercentage Fee
- 0.03
- Failed revenueFixed Fee
- 0.3
- Failed revenueFailed Payment Cost Per Attempt
- 1.5
- Failed revenueRefund Rate
- 0.1
- Failed revenueRefundable Fee Rate
- 0.5
Gross processing fees
Gross processing fees
collected gross revenue × percentage fee + successful charges × fixed fee153.00Result153.00
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Gross processing feesScheduled Monthly Transactions
- 100
- Gross processing feesSuccessful Monthly Transactions
- 100
- Gross processing feesMonthly Price
- 20
- Gross processing feesScheduled Annual Transactions
- 10
- Gross processing feesSuccessful Annual Transactions
- 10
- Gross processing feesAnnual Price
- 200
- Gross processing feesPercentage Fee
- 0.03
- Gross processing feesFixed Fee
- 0.3
- Gross processing feesFailed Payment Cost Per Attempt
- 1.5
- Gross processing feesRefund Rate
- 0.1
- Gross processing feesRefundable Fee Rate
- 0.5
Fee refunds
Fee refunds
gross fees × refund rate × refundable fee share7.65Result7.65
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Fee refundsScheduled Monthly Transactions
- 100
- Fee refundsSuccessful Monthly Transactions
- 100
- Fee refundsMonthly Price
- 20
- Fee refundsScheduled Annual Transactions
- 10
- Fee refundsSuccessful Annual Transactions
- 10
- Fee refundsAnnual Price
- 200
- Fee refundsPercentage Fee
- 0.03
- Fee refundsFixed Fee
- 0.3
- Fee refundsFailed Payment Cost Per Attempt
- 1.5
- Fee refundsRefund Rate
- 0.1
- Fee refundsRefundable Fee Rate
- 0.5
Failed-payment cost
Failed-payment cost
failed attempts × failed-payment cost per attempt0.00Result0.00
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Failed-payment costScheduled Monthly Transactions
- 100
- Failed-payment costSuccessful Monthly Transactions
- 100
- Failed-payment costMonthly Price
- 20
- Failed-payment costScheduled Annual Transactions
- 10
- Failed-payment costSuccessful Annual Transactions
- 10
- Failed-payment costAnnual Price
- 200
- Failed-payment costPercentage Fee
- 0.03
- Failed-payment costFixed Fee
- 0.3
- Failed-payment costFailed Payment Cost Per Attempt
- 1.5
- Failed-payment costRefund Rate
- 0.1
- Failed-payment costRefundable Fee Rate
- 0.5
Net fee leakage
Net fee leakage
gross fees − fee refunds + failed-payment cost145.35Result145.35
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Net fee leakageScheduled Monthly Transactions
- 100
- Net fee leakageSuccessful Monthly Transactions
- 100
- Net fee leakageMonthly Price
- 20
- Net fee leakageScheduled Annual Transactions
- 10
- Net fee leakageSuccessful Annual Transactions
- 10
- Net fee leakageAnnual Price
- 200
- Net fee leakagePercentage Fee
- 0.03
- Net fee leakageFixed Fee
- 0.3
- Net fee leakageFailed Payment Cost Per Attempt
- 1.5
- Net fee leakageRefund Rate
- 0.1
- Net fee leakageRefundable Fee Rate
- 0.5
Effective leakage rate
Effective leakage rate
net fee leakage ÷ collected gross revenue3.63%Result3.63%
Calculated from editable subscription cadence and fee assumptions inside the payment-processing owner. The engine retains raw precision; display rounding never feeds calculation.
Payment processing formulas →Inputs used by these formula steps
- Effective leakage rateScheduled Monthly Transactions
- 100
- Effective leakage rateSuccessful Monthly Transactions
- 100
- Effective leakage rateMonthly Price
- 20
- Effective leakage rateScheduled Annual Transactions
- 10
- Effective leakage rateSuccessful Annual Transactions
- 10
- Effective leakage rateAnnual Price
- 200
- Effective leakage ratePercentage Fee
- 0.03
- Effective leakage rateFixed Fee
- 0.3
- Effective leakage rateFailed Payment Cost Per Attempt
- 1.5
- Effective leakage rateRefund Rate
- 0.1
- Effective leakage rateRefundable Fee Rate
- 0.5
Inputs used
- scheduled monthly transactions
- 100
- successful monthly transactions
- 100
- monthly price
- 20.00
- scheduled annual transactions
- 10
- successful annual transactions
- 10
- annual price
- 200.00
- percentage fee
- 3%
- fixed fee
- 0.30
- failed payment cost per attempt
- 1.50
- refund rate
- 10%
- refundable fee rate
- 50%
Open this calculator with preset values
This calculator supports documented, shareable scenario URLs. Compatible assistants and applications can construct links using the parameters below.
Scenario links contain only allowlisted numeric and closed-choice inputs shown in the URL; Margin101 excludes free text and identifying fields. Anyone you share the URL with can read those numbers, so do not include private or identifying data.
| Parameter | Meaning | Unit | Allowed values | Presence | Default |
|---|---|---|---|---|---|
| alternativeFixedFee | Fixed fee per alternative transaction. Enter the amount on one consistent ex-tax market-currency basis. | currency units/planning period, ex tax | 0 to 100000000 | Required | 0.2 |
| alternativeFixedPeriodFee | Fixed plan fee for the period. Enter the amount on one consistent ex-tax market-currency basis. | currency units/planning period, ex tax | 0 to 100000000 | Required | 100 |
| alternativePercentageFee | Enter the percentage fee in the alternative contract. | currency units/planning period, ex tax | 0 to 1 | Required | 0.024 |
| averageOrderValue | Average transaction value. Enter the amount on one consistent ex-tax market-currency basis. | currency units/planning period, ex tax | 0 to 100000000 | Required | 100 |
| currentFixedFee | Enter the fixed fee in your current contract. Enter the amount on one consistent ex-tax market-currency basis. | currency units/planning period, ex tax | 0 to 100000000 | Required | 0.3 |
| currentPercentageFee | Enter the percentage fee in your current contract. | currency units/planning period, ex tax | 0 to 1 | Required | 0.029 |
| currentRefundableFeeRate | Fee-recovery share applied consistently to both payment contracts. | proportion of current provider fees refunded | 0 to 1 | Required | 0.5 |
| currentRefundRate | Refund share applied consistently to both payment contracts. | proportion of transactions refunded under current provider | 0 to 1 | Required | 0.08 |
| transactions | Whole transactions in the period. | whole payment transactions/planning period | 0 to 100000000 | Required | 1000 |
Payment Processing Fee: weighted fee
The fee comparison shows whether the alternative contract costs less for the entered transaction cohort and where its fixed fee crosses over.
Formula summary
- Primary formula
- weighted fee = sum(payment share × net fee per transaction)
Data used here
- The estimate uses your inputs and the general business formula documented in the methodology.
Decision checks
Stress-test the decision
Retest average order value in currency units per transaction and whole transactions in the same planning period.
When this estimate can be misleading
- All provider fees, exchange rates, returns, demand and operating rates are user-entered scenarios.
- Use one consistent ex-tax currency and planning period across compared inputs.
- This is educational business decision support, not accounting, tax, legal or financial advice.
- The fee comparison shows whether the alternative contract costs less for the entered transaction cohort and where its fixed fee crosses over.
Educational estimate, not advice. See all assumptions & limitations →
Related reading
Guides to interpret the decision and its assumptions.
- How Fixed Payment Fees Affect Small Orders
Use a neutral fixed-plus-percentage scenario to see why the same fee schedule produces a different effective rate at different order values.
Read guide
Frequently asked questions
How do I compare two payment fee structures at an expected transaction volume?
Compare alternative total fees with current total fees and the crossover transactions before choosing the payment contract.
What should stay consistent when I compare the options?
Keep the time basis, units and included costs consistent across options, then verify the assumptions that create the largest difference.