Why was my 100% tip on my service charged a fee?

[Korndogg]

I sent an invoice for a service for a deposit and partial payment. Client paid balance, cash at event, but also tipped 100% of the payment when they made deposit.

My fees collected reflect the total amount including the tip. Meaning, Square charged me fees on the tipped amount instead of excluding it from fees. What do I do to recoup the fees?

[ryanwanner]

This is usual behavior for Square. Whatever the total dollar amount is after tips, taxes, and sales is what you will be charged a fee on.

I'm not sure of your business, so I'll use mine for an example...

If I do a catering for 500 people, I charge the client for 500 people. If only 200 show up but I still make 500 plates, I charge for the 500 people due to all the costs involved. Square (and pretty much every merchant processor out there from what I've found) is the same way: you run a payment through, there are costs. It doesn't matter how much the payment is, there are costs. Just as I wouldn't give away 300 plates of food, I don't expect any merchant processor to give away fees just because more income was generated.