PayPal and Stripe charge a fee to process payments. Every time an attendee registers for your tournament, this fee will come out of the money they pay.

The processing fee does not go to smash.gg in any way. Running tournaments on our platform is completely free.

You can add a processing fee, as well as additional fees (like VAT, for example), on the Payments Setup page in your tournament settings.

The processing fee is calculated using a percentage and a base amount adjustment. The amount is calculated by adding the base amount to your desired earnings then dividing that value by 100% minus the entered percentage. 

By default for US transactions, both Stripe & PayPal apply a $0.30 base amount and an additional 3% charge. Other transaction types may have differing values. See these articles for more information on what processing fee values you should be applying to your transaction:
Stripe Pricing Details
PayPal Merchant Fees

Each additional fee you add will appear as a separate line item at checkout.

Here is what the fee will look like when an attendee is registering with a 5% processing fee applied:

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