Accurately calculate your net profit, margins, and ROI for Amazon FBA sales.
Net Profit
$0.00
Margin
0.00%
ROI
0.00%
Maximizing Your Amazon FBA Profitability
Selling on Amazon via Fulfillment by Amazon (FBA) is a powerful way to scale an e-commerce business, but the complexity of the fee structure often catches sellers off guard. To be successful, you must look beyond the "Selling Price" and "Product Cost" to understand your true bottom line.
How Amazon FBA Fees Work
When you use our Amazon FBA calculator, we take several critical factors into account:
Referral Fee: This is essentially Amazon's commission for selling on their platform. For most categories, this is 15% of the total selling price.
Fulfillment Fees: These cover the picking, packing, and shipping of your orders. These are based on the weight and dimensions of your product.
Storage Fees: Amazon charges for the space your inventory occupies in their warehouses. These fees often increase during the Q4 holiday season.
COGS (Cost of Goods Sold): This is what you pay your manufacturer per unit.
Example Calculation
Item
Value
Selling Price
$40.00
Product Cost
$10.00
FBA Fees (Referral + Shipping)
$12.00
PPC / Ads per unit
$4.00
Net Profit
$14.00
Profit Margin
35%
Three Tips for Better FBA Margins
Optimize Packaging: Because FBA fees are based on size and weight, reducing your packaging by just an inch can move your product into a lower fee tier, saving you thousands per year.
Monitor Long-Term Storage: Amazon charges extra for inventory sitting for more than 180 or 270 days. Keep your turnover high to avoid these profit-killers.
Audit Your Shipments: Occasionally, Amazon mismeasures products or overcharges for returns. Using a tool or manual audit to claim reimbursements can boost your annual profit by 1-3%.
function calculateFBAProfit() {
var price = parseFloat(document.getElementById('fba_price').value) || 0;
var cost = parseFloat(document.getElementById('fba_cost').value) || 0;
var shipping = parseFloat(document.getElementById('fba_shipping').value) || 0;
var referralRate = parseFloat(document.getElementById('fba_referral').value) || 0;
var fulfillment = parseFloat(document.getElementById('fba_fulfillment').value) || 0;
var storage = parseFloat(document.getElementById('fba_storage').value) || 0;
var ads = parseFloat(document.getElementById('fba_ads').value) || 0;
var misc = parseFloat(document.getElementById('fba_misc').value) || 0;
// Logic for Amazon Referral Fee
var referralFeeAmount = price * (referralRate / 100);
// Total Expenses
var totalCosts = cost + shipping + referralFeeAmount + fulfillment + storage + ads + misc;
// Profit Logic
var netProfit = price – totalCosts;
// Margin Logic (Profit / Revenue)
var margin = (price > 0) ? (netProfit / price) * 100 : 0;
// ROI Logic (Profit / Investment Cost)
// Investment cost usually includes COGS and shipping to Amazon
var investment = cost + shipping;
var roi = (investment > 0) ? (netProfit / investment) * 100 : 0;
// Display results
document.getElementById('res_profit').innerHTML = '$' + netProfit.toFixed(2);
document.getElementById('res_margin').innerHTML = margin.toFixed(2) + '%';
document.getElementById('res_roi').innerHTML = roi.toFixed(2) + '%';
// Color feedback for profit
if (netProfit < 0) {
document.getElementById('res_profit').style.color = '#d93025';
} else {
document.getElementById('res_profit').style.color = '#1a8917';
}
}