eBay Discount Profit Calculator

Calculate your eBay profit after offering a markdown sale or discount. Find the maximum safe discount before going into loss.

By Marginory team · Online sellers with hands-on experience across Etsy, Shopify & POD

Note: eBay US rates (2025). FVF caps at $750 per item. Payment processing shown using managed payments rates (~3.49% + $0.49).

eBay category

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Before vs. after discount

Original price$59.99
Sale price (−20%)$47.99
Profit at original price$24.46 (40.8%)
Profit at sale price$14.47 (30.1%)
Profit lost per order-$9.99

Maximum safe discount

Max discount amount$29.38
Max discount %49.0%

How this is calculated

Sale price = Original price × (1 − 20%)
FVF = min(sale price × 13.25%, $750)
Payment fee = sale price × 3.49% + $0.49

Assumptions:

  • Category: Most categories — 13.25% FVF (capped at $750)
  • eBay Managed Payments (~3.49% + $0.49) — rates vary slightly by payment method
  • eBay discount = markdown sale or coupon — FVF applies to the discounted sale price

Source: https://www.ebay.com/help/selling/fees-credits-invoices/selling-fees · Last verified: 2025-06-01

Frequently Asked Questions

How does eBay's FVF work on discounted sales?
eBay's Final Value Fee (FVF) is calculated on the total amount the buyer pays, including any shipping you charge. On a discounted sale, the FVF applies to the discounted price — not the original. So a 20% discount reduces both your revenue and your FVF proportionally.
What is the maximum discount I can offer on eBay?
Max discount = 1 − (break-even price / original price). Break-even = (costs + $0.49) / (1 − FVF rate − payment rate). For most categories at 13.25% FVF + 3.49% payment: combined rate = 16.74%. On $20 COGS: break-even = $20.49 / 0.8326 = $24.61. On a $45 item: max discount = 1 − 24.61/45 = 45.3%.
Does eBay's Promoted Listings fee apply on discounted prices?
Yes. Promoted Listings Standard (PLS) fee is a % of the total sale amount — including any discounted price. If you run a 20% markdown and have 5% Promoted Listings rate, you pay both fees on the discounted price. Factor this in when setting markdown levels.