Payment apps
PayPal vs Stripe
Real fees on $25, $100 and $500 — and when to pick each. Stripe keeps you more on a $100 sale.
| Sale price | PayPal fees | PayPal you keep | Stripe fees | Stripe you keep |
|---|---|---|---|---|
| $25.00 | - $1.36 | $23.64 | - $1.03 | $23.98 |
| $100.00 | - $3.98 | $96.02 | - $3.20 | $96.80 |
| $500.00 | - $17.94 | $482.06 | - $14.80 | $485.20 |
Based on each platform’s standard 2026 fees with no add-ons. Use the calculators for your exact category, store tier, or promoted listings.
When to pick PayPal
- Universally recognized by buyers — instant checkout trust.
- Best for freelancers and one-off invoices.
- Buyer/seller protection built in.
When to pick Stripe
- Lower fees (2.9% + $0.30 vs PayPal's 3.49% + $0.49).
- Best for SaaS, subscriptions, and custom integrations.
- Cleaner dashboard and recurring-billing tools.
Stripe is cheaper at every US price point
PayPal Checkout charges 3.49% + $0.49 per US transaction; Stripe charges 2.9% + $0.30. Both the percentage and the fixed fee are lower on Stripe, so there is no crossover: Stripe costs less on a $5 sale and on a $5,000 sale. The gap is about $0.33 on $25, $0.78 on $100 and $3.14 on $500 — roughly 0.6 to 0.8 points of revenue.
The picture changes by country. Outside the US both providers publish different rates per market: PayPal charges five different rates inside the eurozone alone (2.90% + €0.35 in France and Spain, 2.99% + €0.39 in Germany, 3.40% + €0.35 in Italy and the Netherlands), while Stripe charges about 1.5% on a European card and 3.99% in Brazil. In Europe the gap in Stripe's favour is roughly double the US gap.
| Sale | PayPal (3.49% + $0.49) | Stripe (2.9% + $0.30) | Stripe saves |
|---|---|---|---|
| $25 | $1.36 | $1.03 | $0.33 |
| $100 | $3.98 | $3.20 | $0.78 |
| $500 | $17.94 | $14.80 | $3.14 |
Why PayPal still wins checkouts
Buyers recognise the PayPal button and many will not enter a card on an unfamiliar site; conversion is the argument for keeping it. PayPal also runs its own dispute system and buyer protection, which some customers value. The cost is not only the higher rate: PayPal's cross-border surcharge (1.50% on US commercial payments from abroad, up to 1.99% in Europe) and its currency conversion spread (3% in Europe, 4% in the Middle East and Africa, 3.5% in Mexico and Brazil) are larger than Stripe's 1% international card surcharge and 1–2% conversion fee.
The practical setup
Most stores run Stripe (or Shopify Payments, which is Stripe-based) for cards and keep PayPal as a secondary button. Price on the assumption that the PayPal share of orders costs about 0.8 points more, and watch the international lines: for a seller with meaningful foreign sales, the conversion spread is where the money goes, not the headline percentage. Freelancers invoicing abroad should compare both with Wise and Payoneer, which price conversion transparently.
Go deeper
Other comparisons
Frequently asked questions
Is Stripe always cheaper than PayPal?+
On published rates, yes, in every market we track. In the US it is 2.9% + $0.30 against 3.49% + $0.49; in the eurozone it is about 1.5% + €0.25 against 2.90–3.40% + €0.35.
Which one should a freelancer use?+
Stripe for invoices to clients who will pay by card, PayPal only when the client insists. For international clients, compare both against Wise and Payoneer, whose conversion costs are lower than PayPal's 3–4% spread.
Which is cheaper, PayPal or Stripe?+
On a $100 sale, Stripe keeps more of your money. PayPal charges $3.98 on $100 (you keep $96.02); Stripe charges $3.20 (you keep $96.80). The answer can flip on very small or very large orders — use the full calculators for your exact numbers.
When should I choose PayPal?+
Universally recognized by buyers — instant checkout trust. Best for freelancers and one-off invoices. Buyer/seller protection built in.
When should I choose Stripe?+
Lower fees (2.9% + $0.30 vs PayPal's 3.49% + $0.49). Best for SaaS, subscriptions, and custom integrations. Cleaner dashboard and recurring-billing tools.
Can I use both PayPal and Stripe?+
Yes — many sellers cross-list to spread reach and compare what sells where. Just price each listing to cover that platform's specific fees so you stay profitable on either.
Where do these fee numbers come from?+
Each platform's published 2026 fee schedule, verified against its official help center. We update the rates as they change — see our methodology for details.