Can I pass card fees on to the client?

Often, but check your state and the processor's rules; surcharging has legal limits. The cleaner move: price fees into your rate, then offer a small discount for ACH/bank transfer. Same economics, no friction.

Which processor should a freelancer default to?

For invoicing, Stripe or Square on rates, with Stripe's invoicing and ACH support usually winning for larger B2B invoices. PayPal's edge is client familiarity: some clients simply pay PayPal invoices faster.

Why do the small fixed fees matter?

Because they are regressive. On a $50 invoice, $0.49 plus 3.49% is nearly 4.5% gone; on $5,000 the same terms cost 3.5%. If you bill small amounts often, the fixed fee IS the comparison.

Calculators

Payment processor fees

Card fees look tiny per invoice and compound into a real annual number. This compares the three defaults on your actual invoice size, because the fixed fee makes the cheapest option depend on how big your invoices are.

Your numbers

Typical invoice amount

Your median invoice, not your biggest.

Invoices paid per month

To annualize the cost.

Standard published US online rates, checked 2026-08: Stripe 2.9% + $0.30, PayPal 3.49% + $0.49, Square 2.9% + $0.30. Negotiated, in-person, and international rates differ.

What the ledger says

Cheapest for your invoice sizeStripe

Stripe · fee per invoice: $43.8 (2.92%)
you receive: $1,456.2
per year: $2,102

PayPal · fee per invoice: $52.84 (3.52%)
you receive: $1,447.16
per year: $2,536

Square · fee per invoice: $43.8 (2.92%)
you receive: $1,456.2
per year: $2,102

Estimate, not advice

The formula

Fee = invoice × percent + fixed fee. The fixed part punishes small invoices: $0.30-0.49 is nothing on $2,000 and real on $20. Annual = fee × invoices × 12.

What this ignores

ACH/bank transfers (Stripe ACH caps at $5, often the real answer for big invoices), international card surcharges, currency conversion, chargeback fees, and payout timing. For invoices over $1,000, ask about ACH before comparing card rates.

Field notes

Can I pass card fees on to the client?: Often, but check your state and the processor's rules; surcharging has legal limits. The cleaner move: price fees into your rate, then offer a small discount for ACH/bank transfer. Same economics, no friction.
Which processor should a freelancer default to?: For invoicing, Stripe or Square on rates, with Stripe's invoicing and ACH support usually winning for larger B2B invoices. PayPal's edge is client familiarity: some clients simply pay PayPal invoices faster.
Why do the small fixed fees matter?: Because they are regressive. On a $50 invoice, $0.49 plus 3.49% is nearly 4.5% gone; on $5,000 the same terms cost 3.5%. If you bill small amounts often, the fixed fee IS the comparison.