Buyer's premium table: what £100 to £5,000 really costs
A quick-reference table of what common hammer prices really cost once the buyer's premium and VAT are added. The rates are examples, so use the percentage from your own auction.
Total cost at common hammer prices
These totals assume the premium is charged plus VAT at 20%, with no other fees.
| Hammer price | 15% + VAT | 20% + VAT | 25% + VAT |
| £100 | £118 | £124 | £130 |
| £250 | £295 | £310 | £325 |
| £500 | £590 | £620 | £650 |
| £1,000 | £1,180 | £1,240 | £1,300 |
| £2,500 | £2,950 | £3,100 | £3,250 |
| £5,000 | £5,900 | £6,200 | £6,500 |
A rule of thumb
When the premium is plus VAT at 20%, the real rate is the premium multiplied by 1.2:
- 15% plus VAT is a real rate of 18%, so multiply the hammer price by 1.18
- 20% plus VAT is 24%, so multiply by 1.24
- 25% plus VAT is 30%, so multiply by 1.30
If the premium is quoted inclusive of VAT, there's nothing to multiply. A 25% inclusive premium means the hammer price multiplied by 1.25.
Online fees are extra premium
An online bidding fee is charged on the same hammer price, so it simply adds to the rate. A 15% premium and a 5% online fee, both plus VAT, gives the same totals as the 20% column above. See what an online bidding fee is.
What the table leaves out
Delivery, VAT charged on the hammer price, Artist's Resale Right on some artworks, and banded premiums where the rate changes with the price. Our invoice guide covers each.
How BidCalc helps
The table only covers a few prices and rates. Enter any bid and any rates in BidCalc and you get the exact total, with every line shown, plus the other costs this table can't include.
Try a £500 bid at 20% + VATGeneral information only, not tax or financial advice. Auction houses set their own fees and terms, so always check the conditions of sale and confirm the details with the auction house before you bid.