Accounting can be a challenge when transactions are varying amounts and fractions on the dollar. Our Dynamic Fee Calculator feature simplifies the accounting process to provide you face value of your tickets, resulting in whole-dollar payouts.
Here is how:
When you enable our Dynamic Fee Calculator, it will charge your ticket buyer 3.5% flat fee to fully cover any fees and then send you the full face value of the tickets and/or other items in your order.
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Note: If you prefer not to use the dynamic fee calculator, but still wish to pass the fees on, you could explore using one of our other fee fields that don't round up to the whole dollar.
Enable Dynamic Fee Calculator
From the Pages screen, click the pencil icon on the page you'd like to enable Dynamic Fee Calculator on
Click the Settings tab from the top menu bar
Enable the checkbox that reads, Calculate and Pass on Fees to Customer
Save and Publish
3 important notes on using the Dynamic Fee Calculator
Dynamic Fee Calculator is only available when processing through Webconnex Payments. We do not recommend using this with a custom payment processor. This is because Webconnex Payments allows for subtracting fees from the transaction directly prior to payout. If you are using your own payment processor, this feature will charge the buyer more, but the full transaction amount will go to you and we will not be able to provide deposits net of fees.
You'll likely want to remove other fees from your page such as the per ticket fee or additional line item fee fields to not be over-charging.
In order to reliably issue face-value deposits across all uses of TicketSpice including donations, merchandise, and coupons, the payment processing fee is increased by .5% to properly cover every scenario and calculation (this is charged to the attendee, not you).
Nerdy Calculations Regarding Dynamic Fee Calculator
Nerdy Calculations Regarding Dynamic Fee Calculator
When using Dynamic Fee Calculator, the fee being charged to the ticket buyer is 3.5%. This number is to help cover all the per-ticket and transaction fees by both TicketSpice and Webconnex Payments. Below we provide some nerdy calculations to help show why this is the percentage being used.
Below we will break down the calculations for when you choose to absorb fees vs when passing along the fees using the Dynamic Fee Calculator to help you decide which path you'd like to take.
Calculation for Absorbing Fees
Scenario - Selling 2 tickets at $25 each = $50 face value
TicketSpice Fees: 2 tickets x $0.99 each = $1.98
Credit Card Fees: 2.9% * $50 = $1.45 + $0.30/transaction = $1.75
Total Fees: $1.98 + $1.75 = $3.73
Total payout after fees: $50 - $3.73 = $46.27
If the total fees of $3.73 (credit card + TicketSpice fees) were just added to the ticket face value total, it should be $53.73. The calculation doesn't quite work that way. This is because credit card fees are charged on the total amount being processed (inclusive of TicketSpice fees). For example:
$53.73 x 2.9% credit card fees = $1.56
$53.73 - $1.56 - $1.98 - $0.30 = $49.89 meaning you wouldn't get the full $50 face value you are anticipating. This is where the Dynamic Fee Calculator comes in and applies a flat and predictable percentage to always give you the full face value of your tickets.
Calculation for Passing on Fees with the Dynamic Fee Calculator
Scenario: Selling 2 tickets at $25 each = $50 face value
*The goal here is to receive a $50 payout*
TicketSpice Fees: 2 tickets x $0.99 = $1.98
Face value plus TicketSpice fee: $50 + $1.98 = $51.98
Credit card processing fee: $51.98 * 3.5% + $0.30/transaction = $54.10
$54.10 - (TicketSpice Fees + Credit Card Fees)
Total Payout After Fees: $50
*In this example, the ticket buyer would only be paying $0.33 more than when you absorb the fees. ($4.10 - $3.77=$0.33)
When using the Dynamic Fee Calculator, it charges 3.5% vs the otherwise 2.9%. The reason being, credit card fees are charged on the total amount being processed (inclusive of TicketSpice fees). And it needs to round up slightly in order to keep it consistent and not have it change with each transaction amount or else it would provide varying values per transaction, making predictability and reconciliation a challenge and also not providing the full face value in some cases..
Here is another example to illustrate why there is a need for the dynamic 3.5%
Scenario: Selling 2 tickets at $10 each = $20
*The goal here is to receive a $20 payout
TicketSpice Fees: 2 tickets x $0.99 = $1.98
Face value plus TicketSpice fee: $20 + $1.98 = $21.98
Credit card processing fee: $21.98 x 3.5% + $.30 = $23.04
$23.04 - (TicketSpice Fees + Credit Card Fees)
Total Payout After Fees: $20
FAQs
What if our ticket price is less than $5?
Even if your ticket price is less than $5, the Dynamic Fee Calculator will add $0.99 + 3.5% no matter the price of the ticket.