The formulas
- Monthly fees = sales x percent fee + transactions x per-item fee + fixed monthly fees
- Effective rate = monthly fees / sales
- Flat-rate plan = sales x flat percent + transactions x flat per-item fee
How it works
Card pricing mixes three parts: a percent of each sale, a fixed fee per transaction and fixed monthly charges. The quoted percent is never the full cost. The effective rate divides every fee on the statement by card sales, which is the number to compare across providers.
Small tickets carry the per-item fee as a large share of the sale, so a coffee shop pays a higher effective rate than a furniture store on the same pricing. Enter the blended percent from a recent statement. For interchange-plus pricing, enter the average combined interchange, network and markup percent.
Illustrative figures only. Check the result against your firm's methodology before relying on it.
Common questions
Where do I find these figures?
On the monthly processing statement: total volume, transaction count and the fee summary.
Why does my effective rate change month to month?
The card mix shifts. Rewards cards, card-not-present sales and small tickets cost more.
Can I pass the fee to customers?
Surcharge rules differ by card network and state. Check both before adding a surcharge.
Formulas on this page are the standard definitions.
Runs in your browser. The figures you type are not sent to CORAA or stored. Check the result against your firm's methodology before relying on it.