Corridor · USD to MXN
Sending money from the US to Mexico: the cost, split apart
At our October 26, 2026 reference rate of 18.60 MXN per dollar, a $500 transfer delivers between 8,982 and 9,244 MXN depending on the channel. The gap is 262 MXN, roughly a week of groceries in many households. Online services win this corridor on price in our model: Remitly publishes a $1.99 base fee for bank deposit to Mexico, and Wise prices off the mid-market rate with a variable fee and no markup.
Open the calculator for this corridor
| Channel | Fee | Exchange-rate markup | Tax | Total cost | Recipient gets | Arrival |
|---|---|---|---|---|---|---|
What the cost is made of
Worked example: $500, bank account funding
| Channel | Fee | Markup cost | Tax | Total cost | Recipient gets |
|---|---|---|---|---|---|
| Online transfer service | $5.99 | $3.00 | $0.00 | $8.99 | 9,244.20 MXN |
| Cash pickup network | $4.99 | $9.00 | $0.00 | $13.99 | 9,132.60 MXN |
| Bank wire | $35.00 | $16.00 | $0.00 | $51.00 | 9,002.40 MXN |
Fund any row with cash instead and add $5.00 of tax. The ranking does not change. The gap between first and last just gets wider.
Practical notes for Mexico
- Bank deposit needs the recipient 18-digit CLABE. A wrong digit usually means a returned transfer, not a lost one, but it costs days.
- Cash pickup suits recipients without an account. It costs more in our model and, if you fund it with cash, it is the combination most likely to trigger the 1% tax.
- Weekend timing matters less than funding. A bank-funded transfer started Friday evening often sits until Monday.
Parameters used in every estimate
Base rates are approximate public mid-market references dated October 26, 2026: 1 USD = 18.60 MXN and 1 USD = 63.50 PHP. They are not live rates.
| Parameter | Value used | Source | Checked |
|---|---|---|---|
| Online service, Mexico: fee | $1.99 + 0.8% of amount | Remitly public US to Mexico pricing (base fee $1.99) | 2026-10-26 |
| Online service, Philippines: fee | 0.6% of amount, no flat fee | Wise public pricing (mid-market rate, variable fee) | 2026-10-26 |
| Online service: exchange markup | 0.6% Mexico, 0.8% Philippines | Sample estimate, public quote comparisons | 2026-10-26 |
| Bank wire: fee and markup | $35 flat, 3.2% Mexico / 3.5% Philippines | Sample estimate, typical published US bank wire range $25 to $50 | 2026-10-26 |
| Cash pickup: fee and markup | $4.99 flat, 1.8% Mexico / 2.0% Philippines | Sample estimate, public cash network pricing | 2026-10-26 |
| Federal tax on cash-funded remittances | 1% of the amount sent | IRS, Internal Revenue Code section 4475, effective 2026-01-01 | 2026-10-26 |
Rows marked as a sample estimate are exactly that. We did not find a single public price list that covers every bank or cash location, so we show the assumption instead of hiding it.
FAQ
What is the cheapest way to send $500 to Mexico in this model?
An online service funded from a bank account, at an estimated $8.99 total cost. Promotions can beat that on a first transfer.
How much tax do I pay sending cash to Mexico?
1% of the amount. That is $5 on $500 and $10 on $1,000, collected by the provider at the counter.