Amazon settlement calculator.
Amazon deducts a referral fee, a closing fee and — if you use FBA — a fulfilment fee, before your own advertising, returns and tax touch the number. Enter a price, a category and a weight to see the payout that actually reaches you, itemised line by line, for Amazon India or Amazon US.
Leave at 0 to use the category default above.
What Amazon credits per order, before COGS + tax.
Amazon fees
Other deductions
Profit calculation
Fee tables are commonly-published defaults. Verify referral %, closing fees, and FBA tiers against your current Seller Central rate card before pricing decisions. This calculator stays free forever — no plan gating.
The fee tables here use published rates as illustrative defaults. Amazon revises referral percentages by category and sub-category, and FBA fees by size band and season, so before pricing a product on these numbers check them against Seller Central → Fee Schedule and override the referral percentage if yours differs.
How it is worked out.
Settlement = Selling Price − Referral Fee − Closing Fee − FBA Fee − Ads − Expected Returns
- Referral fee
- A percentage of the selling price set by category — apparel around 17%, home and kitchen 14%, consumer electronics 8%, computers 5%. It is the largest single deduction on most orders.
- Closing fee
- A flat per-order charge that varies with price band and fulfilment method. Like Flipkart's fixed fee, it hurts cheap items far more than expensive ones because it does not scale.
- FBA fee
- Pick, pack and weight handling when Amazon fulfils the order, charged on size band and weight. Sellers who ship themselves pay their own courier instead, which the calculator takes as a direct input.
- Expected returns
- A rate applied to every order, not an occasional event. A returned order loses the outbound cost, the return handling and often the unit — modelling it as a percentage is the only way it stays visible.
- Net tax
- Selling price and cost are treated as tax-inclusive. Output tax on the sale less input credit on the goods is what you remit — GST in India, sales tax in the US.
Storage is not per order and is easy to forget. A slow-moving SKU accrues monthly storage whether or not it sells, and long-term storage fees on aged inventory can exceed the unit's own margin. Enter it as an apportioned per-unit figure.
With real numbers.
The same ₹1,299 apparel SKU as the Flipkart page — ₹420 landed cost, 400 g, FBA, 8% ad spend, 15% return rate, Amazon India.
| Selling price | ₹1,299 |
|---|---|
| Referral fee (Apparel, 17%) | −₹220.83 |
| Closing fee | −₹50.00 |
| FBA fee (400 g) | −₹28.00 |
| Ad spend (8%) | −₹103.92 |
| Expected returns (15%) | −₹46.32 |
| Packaging | −₹10.00 |
| Net settlement | ₹839.93 |
| Less cost of goods and net GST | −₹514.18 |
| Net profit | ₹325.75 |
Net settlement = ₹839.93 on a ₹1,299 order — ₹325.75 of actual profit
Amazon's own fees came to ₹298.83, of which the referral fee alone was ₹220.83. Run the identical product through the Flipkart calculator and the settlement is ₹841.92 — within two rupees, despite Flipkart charging a 14% commission against Amazon's 17% referral. Flipkart makes the difference back on a fixed fee, a collection fee and shipping; Amazon absorbs fulfilment into one FBA charge.
What the number means.
Judge the profit margin rather than the settlement. A ₹840 settlement sounds substantial and is worth ₹325.75 once goods and tax are paid — and it is that second number that tells you whether the listing can carry advertising.
| Range | Verdict | What it means |
|---|---|---|
| Below 0% | Loss on every order | Each sale costs you money, and advertising accelerates it. On Amazon the usual culprits are a referral percentage higher than assumed or an FBA size band above the one you planned for. |
| 0% – 10% | Too thin to defend | One fee revision or a bad returns month takes this negative. Very hard to advertise profitably, because break-even ACOS is under ten points. |
| 10% – 20% | Workable | Enough for modest advertising with a real break-even to aim under. This is where a lot of honestly-costed Amazon listings sit. |
| Above 20% | Strong | Room to advertise properly and absorb returns. Check that storage and long-term storage are included before treating it as settled. |
Whatever margin this shows is also your break-even ACOS — the same number answering a different question. At 25%, an advertising cost of sale above 25% is buying sales at a loss.
Where this goes wrong.
- 01
Reading settlement as profit
Settlement is what Amazon pays you; your landed cost of goods and the tax you owe still come out of it. In the example above that is the difference between ₹839.93 and ₹325.75 — the settlement figure is more than two and a half times the profit.
- 02
Leaving storage out
Storage does not appear on an order, so it never appears in a per-order calculation unless you put it there. A slow-moving SKU accrues it monthly regardless of sales, and long-term storage on aged inventory can exceed the unit's own contribution.
- 03
Assuming the category referral rate
Referral percentages differ by sub-category, not just category, and Amazon revises them. Apparel above and below a price threshold can attract different rates. Two points of referral on a ₹1,299 order is ₹26 — enough to move the margin band.
- 04
Using MRP instead of the price actually paid
Coupons, Lightning Deals and marketplace-funded discounts all reduce the real selling price, and the referral fee is charged on what the customer paid. Computing on MRP overstates both the fee and, more dangerously, the margin.
- 05
Ignoring the FBA size band
FBA fees step by size band, and a package a centimetre over a threshold pays the next band up on every unit. This is one of the few marketplace costs that can be engineered away entirely by changing the box.
- 06
Comparing an India number to a US number
Referral percentages, closing fees and FBA schedules all differ between marketplaces, and so does the tax treatment. Switch the marketplace selector rather than converting a rupee result into dollars.
The rest of the set.
Where the real numbers live.
- Amazon profit and P&L analysis
This page is one order. That one walks the whole picture — fees, advertising, returns and what is genuinely left.
- Amazon seller tools
Everything else we build for Amazon — sales analytics, advertising and the free calculators.
- SP Search Term Report
Advertising was ₹103.92 of the example order. This finds the share of it that produced nothing.
You now know your break-even ACOS. Find out what you are actually paying.
The margin this calculator returns is the advertising cost of sale at which an extra order earns you nothing. Upload a search term report and see which campaigns are above it — the file parses in your browser and never reaches us.
Questions people actually ask.
How is the Amazon settlement amount calculated?
Amazon deducts a referral fee (a category percentage of the selling price), a closing fee (flat, varying by price band and fulfilment), and an FBA fee if Amazon fulfils the order. What remains is your settlement. Your cost of goods, advertising, packaging and the tax you owe all come out of that afterwards, which is why settlement is consistently much larger than profit.
What is the difference between settlement and profit on Amazon?
Settlement is what Amazon transfers to your bank; profit is what survives after landed cost of goods and net tax. On the ₹1,299 apparel example on this page, settlement is ₹839.93 and profit is ₹325.75. Pricing decisions made against the settlement figure rather than the profit figure are the most common way a catalogue ends up full of listings that sell well and earn nothing.
Is Amazon or Flipkart cheaper for sellers?
Much closer than the headline rates suggest. The identical ₹1,299 apparel SKU settles at ₹839.93 on Amazon and ₹841.92 on Flipkart — about two rupees apart. Amazon charges a higher referral percentage (17% versus 14%) but Flipkart adds a fixed fee, a collection fee and separate shipping. Which is cheaper depends on your category, price point and weight, so run both calculators on your own SKU rather than trusting a general claim.
Does this include FBA storage fees?
Only if you enter them. Storage is charged monthly against inventory rather than per order, so it cannot be derived from a single sale — enter an apportioned per-unit figure in the storage field. It matters most for slow-moving stock, where long-term storage fees on aged inventory can exceed what the unit contributes when it finally sells.
Does it work for Amazon US as well as Amazon India?
Yes — switch the marketplace and the whole fee table changes, along with the currency. US referral percentages, closing fees and FBA schedules differ from India's, as does the tax treatment, so the two are genuinely separate calculations rather than a currency conversion.
Why is my actual Amazon payout different from this estimate?
Usually a referral rate that differs from the illustrative default at sub-category level, or an FBA size band above the one you assumed. Other common causes: promotional and coupon fees not modelled here, storage accruing separately from orders, returns settled in a later payment cycle than the sale, and reimbursements arriving out of period. Check your rate in Seller Central and use the referral override.
How do I reduce Amazon fees?
The FBA size band is usually the biggest addressable one — trimming package dimensions below a threshold saves on every unit shipped. After that: verify your category classification, since a mis-categorised listing can carry several unnecessary referral points; reduce returns by fixing the listings that cause them; and clear aged inventory before long-term storage fees apply. Referral percentages themselves are not negotiable.