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How Amazon FBA Fees Work - Complete Guide 2025

Understanding Amazon FBA fees is crucial for any seller looking to maximize profits. This comprehensive guide breaks down every fee you'll encounter when selling through Amazon's Fulfillment by Amazon (FBA) program.

What is Amazon FBA?

Amazon FBA (Fulfillment by Amazon) is a service that allows sellers to store their products in Amazon's fulfillment centers. Amazon handles storage, packing, shipping, customer service, and returns for a fee. This allows sellers to focus on sourcing and marketing while Amazon handles the logistics.

Types of Amazon FBA Fees

1. Referral Fees

Referral fees are a percentage of the item's sale price (including shipping). The percentage varies by product category:

  • Electronics: 8% (minimum $0.30)
  • Beauty & Personal Care: 15%
  • Home & Kitchen: 15%
  • Clothing & Accessories: 17%
  • Books: 15%
  • Sports & Outdoors: 15%

Referral fees are calculated on the total sale price, including any shipping charges paid by the customer.

2. FBA Fulfillment Fees

FBA fulfillment fees cover picking, packing, shipping, and customer service. These fees are based on:

  • Product size tier (Standard or Oversize)
  • Product weight
  • Product dimensions

Standard Size Products:

  • Small (under 6 oz): $3.22
  • Large (6-20 oz): $4.75
  • Large (over 20 oz): $5.26 + $0.38 per lb over first 2 lbs

2025 Update - Low-Price FBA:

For items priced under $10, Amazon offers reduced fulfillment fees. This is especially beneficial for low-margin products.

3. Monthly Storage Fees

Amazon charges monthly storage fees based on the volume (cubic feet) your inventory occupies in their fulfillment centers.

  • January-September: $0.75 per cubic foot
  • October-December: $2.40 per cubic foot (peak season)

These fees are calculated monthly and can add up quickly for slow-moving inventory.

4. Long-Term Storage Fees

Items stored in Amazon fulfillment centers for more than 365 days are subject to long-term storage fees:

  • $6.90 per cubic foot or $0.15 per unit, whichever is greater

These fees are assessed on the 15th of each month for inventory that has been stored for over a year.

5. Returns Processing Fees

When customers return items, Amazon may charge a returns processing fee:

  • Standard size: $2.12 per return
  • Oversize: $5.00+ per return

These fees are only charged if the return is not due to an Amazon error.

2025 Fee Updates

Low-Price FBA Fees

Amazon introduced special fulfillment fees for products priced under $10. This helps sellers of low-cost items maintain profitability while using FBA.

European Marketplace Changes

Fee structures have been updated for European marketplaces (UK, Germany) with new size categories and adjusted rates.

How to Calculate Your Total FBA Fees

  1. Calculate referral fee: Sale Price × Category Percentage
  2. Determine FBA fulfillment fee based on size and weight
  3. Estimate monthly storage fees: Cubic Feet × Monthly Rate
  4. Add any long-term storage fees if applicable
  5. Factor in expected return processing fees
  6. Add shipping costs to Amazon
  7. Include packaging and labeling costs

Use our FBA Profit Calculator to automatically calculate all fees and determine your net profit. Also see our complete referral fee chart and storage fees guide.

Tips to Minimize FBA Fees

  • Optimize product dimensions: Smaller, lighter products cost less to fulfill
  • Manage inventory levels: Avoid long-term storage fees by keeping inventory moving
  • Choose the right category: Lower referral fee categories can significantly impact profitability
  • Bundle products: Sometimes bundling can reduce per-unit fees
  • Monitor return rates: High return rates increase processing fees
  • Use FBA Small and Light: For eligible products, this program offers lower fees

Frequently Asked Questions

Q: Are FBA fees the same across all marketplaces?

No, FBA fees vary by marketplace. US fees differ from UK, Canada, Germany, and other international marketplaces. Always check the specific fee structure for your target marketplace.

Q: When are FBA fees charged?

Referral fees are charged when an item sells. Fulfillment fees are charged when Amazon ships the item. Storage fees are charged monthly on the 7th-15th of each month.

Q: Can I negotiate FBA fees?

FBA fees are standardized and non-negotiable. However, high-volume sellers may qualify for certain programs or discounts. Focus on optimizing your product selection and inventory management instead.

Q: What happens if I miscalculate fees?

Amazon provides detailed fee previews in Seller Central. Use our calculator to estimate fees before listing. If fees are higher than expected, you can adjust pricing or consider FBM (Fulfillment by Merchant) for certain products.

Ready to Calculate Your FBA Fees?

Use our free FBA Profit Calculator to get accurate fee estimates and profit projections for your products.

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