Create Fee Types

Open Catalog > Product Fee Types and select Add Fee Type. Fee types are reusable definitions. They describe the meaning and calculation of a charge; the amount applied to a specific product is set later on the product itself.

Product Fee Types grid with fixed and percentage fees

Fee type fields

Field Purpose
Label Customer-facing name shown in the storefront and sales documents
Code Stable internal identifier, such as environmental_handling
Calculation Fixed amount or percentage of the product price
Taxable Whether Magento may calculate tax for the fee
Default Product Tax Class Tax class used unless a product assignment overrides it
Active Whether new quote calculations can use the fee type
Sort Order Position when several fees are displayed together

Environmental Handling Fee form with calculation and tax settings

Fixed or percentage

  • Fixed Amount uses the assigned amount per item unit. An amount of 4.90 adds €4.90 per unit in a euro website.
  • Percentage of Product Price treats the assigned amount as a percentage. An amount of 2.5 calculates 2.5% of the product price used by the quote item.

Use a stable code that describes the fee rather than its amount. A code such as environmental_handling can stay unchanged when product amounts change.

Tax behavior

Mark a fee type as taxable and select its normal product tax class when the charge should follow Magento tax calculation. A product assignment can override that class for an exceptional product. The module-wide Apply tax to product fees setting must also be enabled.

Active status and historical orders

Deactivating a fee type prevents it from being applied to new quote calculations. Existing orders, invoices and credit memos keep the fee snapshot captured during checkout.

Deleting a fee type also removes its current product assignments. It does not rewrite historical sales documents.

Next, assign the fee type to a product.