Fee Calculation Engine

Detailed breakdown of how fees are calculated, examples, and edge cases.

6 min readUpdated 2025-01-13

Understanding fee calculation helps you price tickets accurately and communicate costs to attendees. This document provides the exact formulas and examples.

Fee Components

Stripe Processing Fee

Domestic cards: 2.9% + $0.30
International cards: 3.9% + $0.30
American Express: 3.4% + $0.30

BrightStar Platform Fee

Seva: $0.00 + 0.0%
Elevate: $0.89 + 1.85%
Amplify: $1.79 + 3.7%

Currency Conversion (if applicable)

International: +1% conversion fee

Calculation Formula

javascript
// Fee Calculation Formula

ticket_price = 100.00  // $100 ticket
tier = "elevate"

// BrightStar Fee (Elevate)
bs_fixed = 0.89
bs_percent = 0.0185
bs_fee = bs_fixed + (ticket_price * bs_percent)
// bs_fee = 0.89 + 1.85 = $2.74

// Stripe Fee (domestic)
stripe_percent = 0.029
stripe_fixed = 0.30

// If passing fees to buyer:
total_charge = ticket_price + bs_fee
stripe_fee = (total_charge * stripe_percent) + stripe_fixed
// stripe_fee = (102.74 * 0.029) + 0.30 = $3.28

buyer_pays = total_charge + stripe_fee
// buyer_pays = $106.02

organizer_receives = ticket_price
// organizer_receives = $100.00

Interactive fee calculator

Interactive component coming soon

Fee Absorption Options

Pass Fees to Buyer (Default)

Ticket price + fees shown at checkout.
Buyer sees: "$100 ticket + $6.02 fees = $106.02"
Organizer receives: $100.00

Absorb Fees into Price

Ticket price includes fees.
Buyer sees: "$100 total"
Organizer receives: $100 - $2.74 - $3.28 = $93.98

Partial Absorption

Absorb platform fee, pass Stripe fee.
Buyer sees: "$100 + $3.28 fees = $103.28"
Organizer receives: $100 - $2.74 = $97.26

Edge Cases

Free Tickets ($0) No fees charged. Payment processing skipped.

Very Low Price (<$5) Fixed fees become significant. $5 ticket + $2.74 BS + $0.45 Stripe = 64% fee ratio Consider absorbing for low-price tickets.

Donation Add-ons Fees calculated on total (ticket + donation).

Discount Codes Fees calculated on discounted price. 20% off $100 = $80, fees on $80.

For premium experiences ($200+), passing fees to buyers is standard. For accessible/community events, consider absorbing fees to keep the price clean.

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