I've been asked to handle donations for community prizes for the upcoming Dreamhack. Here is what I came up with. The subject is still getting in shape, so your opinion counts!
This is an open subject, and we should reach a consensus among the community. The official prize distribution in USD is:
1st 7520.15
2nd 3760.08
3rd 2256.26
4th 1504.03
How to proceed from here is really up to us. We can take this distribution (more or less a geometric sequence with ratio 0.66) and extrapolate from that an ideal donation pot of 2900 USD that would behave like this:
The actual money pla
yers would get is from an even split among pla
yers at the same place. We could adapt this to whatever actual donation sum we get applying the same ratio.
For instance:
0 - 2000 USD: 5th to 8th get a prize
> 2000: 5th-16th get a prize according to the distribution above. For example:
Donations: 2000 USD
5th-8th: 407 USD each
9th-16th: 46 USD each
Donations: 2900 USD
5th-8th: 591 USD each
9th-16th: 66 USD each
Paypal applies a
2.4% fee on every transaction below 5k. Hence, what really matters it's the overall sum of donated money, and the fact it's gonna have two overall transactions (from donors to me, from me to pla
yers, i.e.
an overall 4.7% fee on the whole budget).
Additionally, if pla
yers don't have paypal, I will have to do bank transfers, which may apply different rates.
Update:
I've been going through all donations to make sure I copied them correctly, and I noticed something weird about the fee. To make an example:
Total amount: $50.00 USD
Fee amount: -$2.25 USD
Net amount: $47.75 USD
Now that's 4.5%, which is much higher than the 2.4% I read when I started this. I checked the details for many donations, and the fee is actually not constant, which is quite puzzling. Of the 4571USD donated, my account shows 4'398.94USD which means an average fee of 3.7%.
Update 2: thanks to twister I think we figured it out. The proper place to look at is
this one, and you can see most cross-boarder transactions are 3.9% + 0.3$, which explains the current status.
. Feedback on prize distribution is welcome.