{
  "slug": "pos-fee-calculator",
  "title": "POS & Payment Processing Fee Calculator",
  "heading": "POS & Credit Card Processing Fee Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/pos-fee-calculator",
  "summary": "True cost of card processing and POS fees on your restaurant sales.",
  "description": "Card processing typically costs restaurants 2.3-3.5% of transaction value once you include interchange, assessment fees, and the payment processor's markup, plus many POS systems layer on a monthly software fee, per-terminal hardware cost, or a percentage-based software fee on top of straight processing. This calculator takes your monthly card sales volume, blended processing rate, and any flat POS software/hardware fees, and shows total monthly cost plus the effective rate as a percentage of total sales, which is usually higher than the quoted processing rate once flat fees are included, especially for lower-volume operations where fixed costs matter more relative to sales. Comparing this effective rate across providers, not just the headline processing percentage, is the only fair way to compare POS systems since a 'free' POS with a higher processing rate often costs more overall than a low-rate processor with a modest software fee.",
  "formula": "Total cost = (card sales × processing %) + POS software fee + hardware fee. Effective rate = total cost ÷ total sales × 100.",
  "dateModified": "2026-09-30",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=pos-fee-calculator",
  "inputs": [
    {
      "id": "cardSales",
      "label": "Monthly card sales",
      "kind": "number",
      "hint": null,
      "default": 55000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "processingPct",
      "label": "Processing rate",
      "kind": "number",
      "hint": null,
      "default": 2.6,
      "unit": "%",
      "min": 0,
      "max": 5
    },
    {
      "id": "perTxnFee",
      "label": "Per-transaction fee",
      "kind": "number",
      "hint": null,
      "default": 0.1,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "txnCount",
      "label": "Transactions per month",
      "kind": "number",
      "hint": null,
      "default": 2400,
      "unit": null,
      "min": 0,
      "max": null
    },
    {
      "id": "posMonthlyFee",
      "label": "POS software/hardware fee",
      "kind": "number",
      "hint": null,
      "default": 150,
      "unit": "$/mo",
      "min": 0,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "totalCost",
      "label": "Total monthly processing cost",
      "format": "currency",
      "hint": null,
      "primary": true
    },
    {
      "id": "effectiveRate",
      "label": "Effective rate on sales",
      "format": "percent",
      "hint": null,
      "primary": false
    },
    {
      "id": "processingCost",
      "label": "Base processing cost",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "txnFees",
      "label": "Per-transaction fees",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Monthly card sales: 55000 $",
      "Processing rate: 2.6 %",
      "Per-transaction fee: 0.1 $",
      "Transactions per month: 2400",
      "POS software/hardware fee: 150 $/mo"
    ],
    "outputs": [
      "Total monthly processing cost: $1,820",
      "Effective rate on sales: 3.31%",
      "Base processing cost: $1,430",
      "Per-transaction fees: $240"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter monthly card sales ($).",
      "Enter processing rate (%).",
      "Enter per-transaction fee ($).",
      "Enter transactions per month.",
      "Enter pos software/hardware fee ($/mo).",
      "Read your total monthly processing cost on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "cardSales": 33000,
        "processingPct": 1.56,
        "perTxnFee": 0.06,
        "txnCount": 1450,
        "posMonthlyFee": 90
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "cardSales": 55000,
        "processingPct": 2.6,
        "perTxnFee": 0.1,
        "txnCount": 2400,
        "posMonthlyFee": 150
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "cardSales": 88000,
        "processingPct": 4.16,
        "perTxnFee": 0.16000000000000003,
        "txnCount": 3850,
        "posMonthlyFee": 240
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "What's a normal card processing rate for restaurants?",
      "a": "2.3-3.5% all-in is typical, with the lower end for larger operations that can negotiate interchange-plus pricing and the higher end for smaller operations on flat-rate processors bundled with a POS system."
    },
    {
      "q": "Should I pass processing fees to customers as a surcharge?",
      "a": "It's legal in most states with proper disclosure, but rules vary — some states cap the surcharge or ban it entirely, and card network rules require specific signage and receipt disclosure. A cash discount structure is legal everywhere and achieves a similar effect without technically surcharging."
    },
    {
      "q": "Why do 'free' POS systems still cost money?",
      "a": "They typically recoup the hardware and software cost through a higher processing rate, often 0.3-0.6 percentage points above a standalone processor, which on $50,000+ monthly card volume adds up to more than a modest flat software fee would have cost."
    },
    {
      "q": "How do I actually compare two POS/processing quotes?",
      "a": "Run both through this calculator with your real monthly card volume and transaction count, then compare the effective rate output, not the headline processing percentage — flat fees matter more at lower volume and less at higher volume, which flips which option is cheaper depending on your sales level."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/delivery-app-commission-net",
    "https://www.revenuelab.fyi/toolbox/prime-cost-calculator",
    "https://www.revenuelab.fyi/toolbox/food-truck-event-pnl"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — POS & Payment Processing Fee Calculator (https://www.revenuelab.fyi/toolbox/pos-fee-calculator)"
}