If you’re new to auctions, the “buyer’s premium” can be confusing. Here’s the plain-English version so you can bid with confidence.
What is a buyer’s premium?
It’s a percentage added to your winning bid. At AuctionUbid, the buyer’s premium is 15%. So if you win an item for $100, the premium adds $15.
What about sales tax?
North Carolina sales tax of 7.25% applies unless you have a valid NCDOR tax-exemption form on file. Using the example above: $100 bid + $15 premium + tax on the total.
Why do auctions charge it?
The buyer’s premium helps cover the cost of running the sale — cataloging, photography, marketing, and support — which is part of what brings so many buyers (and competitive prices) to each auction.
How to factor it into your bid
Before you bid, decide the total you’re willing to pay, then work backward. If your ceiling is $150 all-in, your top bid is roughly $122 once you account for the premium and tax. This keeps you from overspending in the heat of bidding.
Don’t forget removal
Items must be paid for and picked up by the removal deadline; late-removal fees can apply. Plan your transport before the auction closes.
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