# Square vs PayPal fees

URL: https://www.paydude.io/resources/tools/square-vs-paypal-fees
Type: Free interactive calculator
Summary: Square publishes 2.9% + 30¢; PayPal publishes 3.49% + 49¢. See what each costs at your own volume and average transaction.

Two of the most common choices for small businesses, and PayPal is more expensive on both components. The gap is widest on small transactions, where PayPal's 49¢ fixed fee does most of the damage.

## Summary

Square publishes 2.9% + 30¢ for online card payments. PayPal publishes 3.49% + 49¢. Square is cheaper at every ticket size, because it is lower on both the percentage and the fixed fee. The case for PayPal is conversion, not cost: some buyers will only check out with the wallet.

## Published rates

**Standard published rates for domestic online cards, September 2026**

|  | Square | PayPal |
| --- | --- | --- |
| Card rate | 2.9% | 3.49% |
| Fixed fee | 30¢ | 49¢ |
| Monthly fee | $0 | $0 |
| Pricing model | Flat rate, varies by channel | Flat rate |

## Which one is cheaper

Square, at every transaction size. PayPal charges more on the percentage and more on the fixed fee, so there is no crossover. At a $10 ticket Square works out at 5.90% and PayPal at 8.39%; at $100 it is 3.20% against 3.98%.

**Effective rate by ticket size, published online rates**

| Average transaction | Square | PayPal |
| --- | --- | --- |
| $10 | 5.90% | 8.39% |
| $25 | 4.10% | 5.45% |
| $50 | 3.50% | 4.47% |
| $100 | 3.20% | 3.98% |

> **In person, the gap widens:** These are online rates. Square prices card-present payments lower than its online rate, and in-person selling is what Square is built around. If you sell across a counter, the comparison tilts further toward Square.

## What actually decides it

If your customers actively want to pay with PayPal, the conversion lift can be worth more than the rate gap — measure it rather than assuming. If they are indifferent, or you sell in person, Square is cheaper on every transaction.

## For reference

The calculator above also shows Paydude, which publishes 2.6% + 25¢ improving with volume. It is there as a third data point rather than as the answer to a question about Square and PayPal — for every provider side by side see the [full processor fee table](https://www.paydude.io/resources/payment-processor-fee-comparison).

**Compare every provider at once** Published rates for 18 processors, with the effective rate at three ticket sizes. — [See the table](https://www.paydude.io/resources/payment-processor-fee-comparison)

## Frequently asked questions

### Is Square cheaper than PayPal?

Yes, on published online rates. Square charges 2.9% + 30¢ and PayPal 3.49% + 49¢, so Square is lower on both components and cheaper at any ticket size. The difference is largest on small transactions.

### At what transaction size does the answer change?

It does not. Because PayPal is higher on both the percentage and the fixed fee, there is no crossover point — Square is cheaper at $5 and at $5,000.

### What is the difference between Square and PayPal?

Square is a point-of-sale platform with online payments attached, strongest when you sell in person. PayPal is a consumer wallet with merchant services attached, strongest when buyers specifically want to pay with their PayPal balance.

### Where do these rates come from?

Both are publicly published standard rates for domestic online card payments as of September 2026. Neither is a negotiated or promotional rate, and either provider may quote you something different from its list price.