Amazon FBA Profit Calculator
Calculate your net profit, margins, and ROI for FBA listings.
How to Calculate Amazon FBA Profit
Selling on Amazon via Fulfillment by Amazon (FBA) involves several moving parts. To find your true "take-home" pay, you must subtract all operational costs from your gross sales price. This calculator handles the complex math of Amazon's fee structure so you can focus on sourcing profitable products.
Understanding the Key Metrics
- Selling Price: The final price the customer pays for your item on the Amazon marketplace.
- COGS (Cost of Goods Sold): What you paid the manufacturer or wholesaler for the product.
- Referral Fee: Amazon's "commission" for selling on their platform. For most categories, this is 15%.
- Fulfillment Fee: The flat fee per unit based on weight and dimensions that covers picking, packing, and shipping to the customer.
- Monthly Storage: Fees based on the volume of your inventory held in Amazon fulfillment centers.
Example Calculation
If you sell a yoga mat for $40.00:
- Product Cost: $12.00
- Shipping to Amazon: $1.00
- Referral Fee (15%): $6.00
- FBA Fee: $7.50
- Storage: $0.20
Total Expenses = $26.70. Your Net Profit would be $13.30, resulting in a 33.25% Net Margin and a 102.3% ROI.
Why Net Margin Matters More Than Revenue
Revenue is a "vanity metric." While a $100,000/month store sounds impressive, if your net margin is only 2%, you are making very little for the risk involved. Most successful FBA sellers aim for a net margin of at least 15% to 20% after all expenses, including PPC (advertising) costs which should be factored into your final business analysis.