Bitcoin fee calculation

[I_Anime]

Bitcoin fees are based on how many virtual bytes (vbytes) your transaction uses not how much BTC you send. Let me explain what’s vbyte ( A virtual byte is a measurement Bitcoin uses to calculate transaction fees after segWit was introduced) It represents the effective size of your transaction, and it’s what miners look at when deciding which transactions to include in a block.  While Segregated witness data  (segwit) , separates the witness (signature) from the main part of bitcoin transaction .

Calculation:

Fee= Transaction Size (vbytes) x Fee Rate (sat/vbyte)

Example: 250 vbytes x 30 sat/vbyte = 7,500 sats fee ( feel free to correct me , we all are here to learn) .

The biggest factor is inputs (each input has signatures & scripts). More inputs  bigger transaction , higher fee.

Outputs add size too, but much less. Compare to that of input.

Let me give some insight about segwit discount for those that don’t really understand or have idea about it , base on my understanding, segwit discount  simply mean given  a discount on transactions size by moving  the signatures into a separate area that counts less toward fees. You can do more research on this for proper understanding.

[Nathrixxx]

As for me, I don't bother myself in making the calculations, as long as am comfortable with the fee rate shown for that particular transaction, though I do check on the mempool before initiating a transaction, to know what to expect, lately, 1 sat/vbyte had been the transaction fee commonly used by me, while your thread OP is so interesting as it enlights on how these fees are being calculated.