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Debit and Credit Card Fees With Stripe

Learn how Stripe calculates processing and transfer fees for debit and credit card payments in Goodshuffle Pro.

Alison Panza avatar
Written by Alison Panza
Updated over 2 weeks ago

This feature is available on all Goodshuffle Pro Plans.

Goodshuffle Pro uses Stripe to process debit, credit, and other types of card payments. Like all payment processors, Stripe charges fees for these services. Here’s how they work.


Debit & Credit Cards

Standard Stripe Fees

Stripe charges:

  • 2.9% of the transaction total

  • $0.30 flat fee per transaction

This is called the processing fee.

If the card is in a different currency from your bank account, Stripe also charges a 2% international fee.

Transfer Fees

Stripe also charges a transfer fee of 0.25% of the total after the processing fee. This applies when funds are deposited into your bank account.

Additionally, there's a $0.25 outbound transfer fee per deposit, which cannot be passed to your client. Stripe only charges this once per deposit—even if multiple payments are included.


You can have the processing and transfer fees taken out of the total after the card is charged, or you can pass the fees to the client (with the exception of the $0.25 as stated above).

Calculating Fees If You’re Absorbing Them

Here’s how vendors calculate fees when they don’t pass them to the client:

Equations

  1. Processing Fee = (Contract Total × 2.9%) + $0.30

  2. Transfer Fee = (Contract Total − Processing Fee) × 0.25%

Example

For a $1000 contract:

  • Processing Fee = $29.30

  • Transfer Fee = $2.43

  • Total Fees = $31.73

Calculating Fees Passed to Clients

When you pass fees to clients, the math changes slightly because the total charged is higher, which increases the fees.

Equation

To calculate total client-charged fees:

Formula: ((Contract Total + 0.30) / (1 - 0.029)) - Contract Total

You then calculate:

  • Processing Fee

  • Transfer Fee = (Total amount − Contract Total − Processing Fee)

  • Total Fees = Processing Fee + Transfer Fee

Example

For a $1000 contract:

  • Processing Fee = $30.18

  • Transfer Fee = $2.57

  • Total Fees Passed to Client = $32.75

Next, let us put in the constant values (fee rates) that will always be there.

Why Are the Fees Different?

When you pass fees onto the client, the total amount being charged to their card increases. Since Stripe calculates fees based on the total charged, this results in slightly higher fees. But now, because the fee is higher, you need to charge more to cover it—raising the total again. This creates a feedback loop where each increase slightly raises the fee again.

👉 That’s why the total fees are a bit higher when passed to the client, and why the calculation is different compared to when you're absorbing the fees yourself.


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