Calculator Inputs
Example Data Table
| Scenario | Invoice | Mid-Market Rate | Spread | Total Fees | Net Payout |
|---|---|---|---|---|---|
| Marketplace transfer to local bank | USD 1,500.00 | 278.500000 | 2.20% | USD 84.00 + PKR 1,350.00 | PKR 391,138.80 |
| Direct processor payout to wallet | EUR 2,200.00 | 305.200000 | 1.40% | EUR 70.40 + PKR 900.00 | PKR 656,524.45 |
| Agency payment with higher banking charges | GBP 950.00 | 355.100000 | 2.90% | GBP 47.00 + PKR 2,300.00 | PKR 307,124.70 |
Formula Used
Provider Rate = Mid-Market Rate × (1 − Exchange Spread ÷ 100)
Platform Fee = Invoice Amount × Platform Fee Percentage
Processor Fee = Invoice Amount × Processor Fee Percentage
Total Source Fees = Platform Fee + Processor Fee + Fixed Source Fee
Convertible Source Amount = Invoice Amount − Total Source Fees
Converted Target Before Fees = Convertible Source Amount × Provider Rate
Net Received = Converted Target Before Fees − Withdrawal Fee − Receiving Bank Fee
Total Conversion Cost = Mid-Market Value of Invoice − Final Net Received
Effective Rate = Final Net Received ÷ Invoice Amount
Hidden FX Cost = Convertible Source Amount × (Mid-Market Rate − Provider Rate)
How to Use This Calculator
- Enter the source and target currency codes for the payment route you expect.
- Add your invoice amount and the live mid-market rate you want to benchmark against.
- Enter the provider exchange spread percentage applied to the transfer.
- Fill in platform, processor, and fixed fees charged before conversion.
- Enter the withdrawal and receiving bank fees charged after conversion.
- Submit the form to see net payout, effective rate, total cost, and retained value.
- Use the CSV or PDF buttons to save the results for budgeting, quoting, or client pricing decisions.
Frequently Asked Questions
1. What does this calculator measure?
It estimates how much money you actually keep after exchange spreads, percentage fees, fixed deductions, and bank-side payout charges reduce your freelance payment.
2. Why is mid-market rate important?
The mid-market rate acts as a neutral benchmark. It helps you measure hidden foreign exchange losses when a provider offers a weaker payout rate.
3. What is an exchange spread?
An exchange spread is the percentage gap between the real market rate and the provider rate. A higher spread usually means you receive less money.
4. Should I include platform and processor fees separately?
Yes. Many freelance platforms charge a commission, while payment processors charge additional transaction fees. Separating them gives a more realistic payout estimate.
5. What does effective rate mean here?
The effective rate shows how much target currency you truly receive per one unit of invoiced source currency after all deductions are applied.
6. Can I use this before sending a quote?
Yes. It helps you estimate the real payout first, so you can price your services high enough to protect your intended take-home income.
7. Does this replace live exchange tools?
No. It is a planning calculator. You should still verify live rates and current provider fees before accepting payment or withdrawing funds.
8. Why might my actual payout differ slightly?
Actual payouts can change because of fee minimums, tiered pricing, weekends, settlement delays, intermediary banks, and rate updates between invoice and withdrawal.