Stripe Merchant Fee Mathematics & Reverse Invoicing Formulas
Credit card processing equations calculate either net merchant take-home or the gross required billing amount:
1. Forward Processing Fee & Net Payout Formula
Stripe Fee = (Gross Billed × Rate %) + $0.30 | Net Payout = Gross Billed - Stripe Fee
2. Reverse Required Invoice (To Keep Exact Target)
Required Invoice =
Desired Net Target ($) + $0.30 Fixed Fee1 - Rate %
Step-by-Step Stripe Fee Breakdown
Step 1: Compute Standard Percentage & Fixed Card Fee
$500 transaction @ 2.9% + $0.30 = $14.80 processor fee (2.96% effective rate).
Step 2: Forward Mode — Net Bank Payout
$500 billed - $14.80 fee = $485.20 deposited to bank.
Step 3: Reverse Mode — Required Invoice to Receive Full $500
Required Invoice=$515.24 (+$15.24 fee passed to client)
2026 Payment Processor Fee Benchmarks
| Payment Gateway | Domestic Card Fee | International Card Fee | ACH / Bank Transfer Fee |
|---|---|---|---|
| Stripe | 2.9% + $0.30 | +1.5% (+1% if FX conversion) | 0.8% (capped at $5.00) |
| PayPal Checkout | 3.49% + $0.49 | +1.50% | 1.99% + $0.49 |
| Square Online | 2.9% + $0.30 | +1.00% | 1.0% ($1 min) |
| Wise Business | ~0.45% avg | Mid-market rate + 0.4% | Free / $0.39 flat |