Stripe Fee calculation Formula

Question

How we can calculate the Stripe.

I am using this formula to calculate Stripe Fee.

Say

amount = $100

(100 * 0.029) + 0.30 = 103.20

But On stripe it is displaying 103.29 instead of 103.20.

Don't know what's going on??

Answer 1

Stripe's pricing depends on the region, and might vary according to some other factors such as whether the card is domestic or not, or the card's brand. But for US accounts, the pricing is simple: 2.9% + $0.30.

So if you create a $100.00 charge, the fee will be:

($100.00 * 2.9%) + $0.30 = $3.20.

Those $3.20 will be taken out of the $100.00, i.e. the customer will be charged $100.00 and your account's balance will be increased by $96.80 ($100.00 - $3.20).

If you want to pass the fee to the customer, then it's a bit more complicated, but this article explains the math you need to apply.

In this case, if you want to receive $100.00, you'd compute the charge's amount like this:

($100.00 + $0.30) / (1 - 2.9%) = $100.30 / 0.971 = $103.30.

So you'd charge $103.30 to your customer. Stripe's fee will be $3.30 ($103.30 * 2.9% + $0.30 = $3.30), and your account's balance will be increased by $100.00.