Those that take payments with PayPal

#1 (**permalink**) 12-04-2008

If your client pays you through PayPal and uses a credit card to pay, do you pay the fees or do you ask the client? thanks

#2 (**permalink**) 12-04-2008

I pay the fees. I consider it an overhead expense.

#3 (**permalink**) 12-04-2008

OK, any other thoughts? I have my first client and I didn't think of this problem.

#4 (**permalink**) 12-04-2008

I do not pass along the PayPal fees. I look at is as a convenience that I am choosing to accept PayPal so that I receive payment sooner, with less risk. I also accept checks, but the risk there is the check wouldn't clear.

I book it as a bank service charge.

#5 (**permalink**) 12-04-2008

I pay the fees as well. Although I need to investigate other services where the fees are less expensive.

#6 (**permalink**) 12-04-2008

Yup, hands up from me too to say that I cover PayPal expenses (maybe in a business-sense it's not the best solution, but I think clients appreciate it)

#7 (**permalink**) 12-04-2008

I pay the PayPal fees and build it in as cost to doing business.

The convenience is outstanding. I don't have many clients using PayPal
but that thought might change if I was being charged alot for this convenience.
After a while, I am sure it can become expensive.

#8 (**permalink**) 12-04-2008

Well this client only wants to pay me with PayPal or Google Checkout, which is fine. But I taken this client at a lower rate than what I would like to charge, basically because its my first client and I want to get experience. So I didnt even think about the fees, and now I feel like Im loweing my rate of pay even more. I dont want to be unprofessional though.

#9 (**permalink**) 12-04-2008

Beth, depending on the invoice amount, it may less costly to accept eChecks via PayPal, though the wait time is longer (3-4 business days) the max fee is $5 per eCheck. That would require the client paying you via this method rather than instant payment.

Were the terms spelled out in the contract payment method etc?

#10 (**permalink**) 12-05-2008

Well, I have drawn up a contract and submitted it to her to look over. Thats when I realized that paying with PayPal would incur fees. After I sent her the contract to look over, thats when she told me she wanted to cut the hours I would work in half. So I need to make changes to the contract anyway before its signed. Im a bit worried about the situation anyway. Im afraid she might be a bit flaky.