Amazon FBA Profit Calculator
Calculate Net Profit, Margin, and ROI for your Amazon FBA business.
Product & Shipping Costs
Amazon Fees
Net Profit per Unit
$0.00
Profit Margin:
0%
Return on Investment (ROI):
0%
Total Fees:
$0.00
Total Costs:
$0.00
Enter your data and click calculate to see the analysis.
Understanding Amazon FBA Profitability
Selling on Amazon through the Fulfillment by Amazon (FBA) program can be highly lucrative, but it requires a deep understanding of your margins. Many sellers fail because they only look at the gross revenue and forget the hidden layers of fees associated with the platform.
Key Components of the FBA Calculation
- Cost of Goods Sold (COGS): This is the manufacturing cost of your product plus any costs to get the product from the factory to your doorstep or your local warehouse.
- Referral Fees: This is Amazon's "commission" for selling on their marketplace. For most categories, this is 15% of the total sale price.
- Fulfillment Fees (FBA Fees): These are flat fees based on the weight and dimensions of your product. They cover picking, packing, and shipping your product to the customer.
- Storage Fees: Amazon charges you monthly to store your inventory in their warehouses. This price increases significantly during Q4 (October – December).
What is a Good Profit Margin for FBA?
While every category is different, most professional sellers aim for a 3-to-1 Rule. This means your product sells for $30, costs $10 to manufacture/ship, and incurs $10 in Amazon fees, leaving $10 in profit.
| Margin Tier | Status |
|---|---|
| Below 10% | High Risk – PPC costs will likely wipe out profit. |
| 15% – 25% | Healthy – Standard for most private label products. |
| 30% + | Excellent – Provides high room for advertising and scaling. |
Example Calculation
If you sell a product for $50.00:
- Referral Fee (15%): $7.50
- Fulfillment Fee: $6.00
- Storage: $0.50
- Cost of Product: $15.00
- Shipping to Amazon: $2.00
Total Cost: $31.00 | Net Profit: $19.00 | Profit Margin: 38%