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Page written by Ian Hawkins. Last reviewed on March 11, 2026. Next review due April 1, 2027.
This calculator is intended for illustration purposes only and exact payment terms should be agreed with a lender before taking out a loan.
PayPal is a widely-used online payment system that allows you to pay for items, send money, and accept payments without needing to reveal your financial details. Whether you’re shopping online, splitting a bill, or running a business, PayPal makes transactions simple and secure.
There are two main types of PayPal accounts:
Personal account: A Personal account is great for individuals who shop online or send money to friends and family.
Business account: A Business account, on the other hand, is tailored for merchants and business owners who need to accept payments online and manage their business transactions. Learn about how to set up a business PayPal account.
PayPal fees can vary depending on the type of transaction. For domestic transactions in Canada, the fee is typically a percentage of the transaction amount plus a fixed fee. For example, receiving money for goods and services usually incurs a fee of 2.9% + $0.30 CAD. International transactions, currency conversions, and other factors can also affect the fees.
When you receive or send money in a currency different from your primary currency, PayPal charges a currency conversion fee. This fee is usually a percentage of the transaction amount and is added to the exchange rate. For Canadian users, this fee is typically around 3-4%.
Transferring money from your PayPal account to your bank account in Canada is usually free if you’re using a standard transfer. However, if you need an instant transfer, there’s a fee of 1% of the amount being transferred, with a maximum fee of $10 CAD.
For PayPal consumers in Canada, using it is mostly free for sending money to friends and family within Canada when using your PayPal balance or a linked bank account. However, if you’re using a credit or debit card, there is a fee of 2.9% + $0.30 CAD.
Sellers in Canada pay a fee when they receive payments for goods and services. This standard fee is 2.9% + $0.30 CAD per transaction. For international sales, the fee is higher to account for cross-border and currency conversion costs.
Read more about PayPal’s merchant fees here.
Swoop’s PayPal fee calculator is a handy tool that helps you quickly determine the fees you’ll incur when receiving payments through PayPal. By entering the transaction amount, the calculator breaks down the fee structure so you can understand how much you’ll receive after fees are deducted.
Identify Transaction Amount: Determine the total amount of the transaction before fees.
Determine PayPal’s Fee Percentage: PayPal charges a fee based on a percentage of the transaction amount plus a fixed fee. However, these fees can change, so make sure to check the latest fee structure on PayPal’s official website.
Calculate PayPal’s Fee: Multiply the transaction amount by the percentage fee and add the fixed fee.
Using a PayPal fee calculator can help your business manage costs more effectively. By knowing the exact fees beforehand, you can price your products or services more accurately and avoid unexpected deductions from your revenue. It’s an essential tool for budgeting and financial planning, ensuring that you maintain healthy profit margins.
Disclaimer: Swoop Finance Ltd (Swoop) helps Canadian firms access business finance, working directly with businesses and their trusted advisors. We are a credit broker and do not provide loans or other finance products ourselves. All finance and quotes are subject to status and income. Applicants must be aged 18 and over and terms and conditions apply. Guarantees and Indemnities may be required. Swoop can introduce applicants to a number of providers based on the applicants’ circumstances and creditworthiness. Swoop may receive a commission or finder’s fee for effecting such introductions. If you feel you have a complaint, please read our complaints section highlighted above and also contained within our terms and conditions.
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