When doing transactions over the blockchain, you will find that there will be an additional amount you will need to pay for each time. You may know this as the mining fee or the miner's fee. It is something like a transaction fee you pay to banks to help you carryout your transaction, miner's fee is something you give to the miners as a reward for keeping the blockchain network running, hence making your transaction possible.
If you are transacting in the Bitcoin blockchain, Bitcoin will be used to pay the fee. Normally, people do not really pay too much attention about how much miner's fee they are paying every time because it is an inevitable occurrence. However, there will be times when you need to calculate the fee in order to transact accurately an exact amount. The guide below will teach you how.
How to Calculate BTC Bitcoin Miner's Fee
Calculating the fee can be quite confusing but we will break it down for you. Here it is in words:
Work out the size of your transaction in bytes, multiply it by the median byte size and take the answer in Satoshis, divide it by 100 million to convert it to Bitcoin unit and convert it to fiat currency if you wish to know the value.
Take this transaction for example:
Calculate the fee with this formula:
BTC miner's fee = Fees(Satoshi/byte) * Size(byte)
First, get the variables from the block explorer, if you use the ELLIPAL, simply click "more information" at the bottom of your transaction page. You will get to a page like the one in the screenshot above.
From here, we can see that the Fee in Satoshi/byte is 401.613 sat/B
1 Bitcoin = 100 million Satoshi so to know this value in Bitcoin, you must divide it by 100 million.
Then, you multiply it by the size of the transaction which is shown in the blockchain explorer as 248 bytes
By multiplying Fees and Size and divide by 100 million to covert from Satoshi to Bitcoin you will get the mining fee of 0.000996 BTC which is the same as what is shown in the explorer, nice work!
Doing it Your Self
When you are setting up a transaction, you will need to select the Fees(Satoshi/byte). In the ELLIPAL, it is the sliding bar which allows you to choose how fast of slow you want your transaction to go. That is now one variable you know.
Second, the size of a normal transaction is about 226 bytes. Use this to multiply the Fees and divide by 100 million to get your answer.
To get the value in USD currency for example, simply times your answer by how much 1 BTC costs in USD during that time and you are done.
