Amazon Seller Tools
Amazon FBM Profit Calculator
Estimate Amazon FBM profit after item cost, buyer-paid shipping, shipping label cost, packaging, handling, referral fees, PPC, refunds, and other merchant-fulfilled selling costs.
FBM inputs
Enter sale price, shipping charged, item cost, shipping label cost, packaging, handling, Amazon fees, PPC, refunds, and order volume.
Revenue
Product and fulfillment costs
Amazon and selling costs
Results
Estimated Amazon FBM profitability.
Estimated profit
$9.25
Revenue minus item cost, shipping, packaging, Amazon fees, refunds, and selling costs
Profit margin
23.1%
Estimated profit divided by total FBM order revenue
Total revenue
$40.00
Sale price plus shipping charged to buyer
Total costs
$30.75
Item cost, shipping, packaging, handling, referral fee, PPC, refunds, and other costs
Monthly profit
$925.00
Estimated profit multiplied by monthly orders
Monthly revenue
$4,000.00
Total order revenue multiplied by monthly orders
Monthly costs
$3,075.00
Total order costs multiplied by monthly orders
ROI on item cost
77.1%
Estimated profit divided by item cost
Referral fee
$6.00
Total order revenue multiplied by referral fee rate
Shipping gap
-$1.00
Shipping charged to buyer minus shipping label cost
Fulfillment cost
$9.25
Shipping label, packaging, and handling costs
Amazon and selling costs
$9.50
Referral fee, PPC, refund allowance, and other costs
Cost share
76.9%
Total costs divided by order revenue
Break-even price
$24.12
Approximate item price needed before profit starts
20% margin price
$33.08
Approximate item price needed for a 20% margin
Shipping charged
$5.00
Buyer-paid shipping entered for the order
What this means
This FBM order is estimated to produce $9.25 in profit with a 23.1% margin.
Total order revenue is $40.00, while total estimated costs are $30.75.
The shipping gap is -$1.00. If this is negative, the order is subsidizing shipping from product profit.
Price scenario comparison
| Price | Revenue | Costs | Profit | Margin | Status |
|---|---|---|---|---|---|
| $20.00 | $25.00 | $28.50 | -$3.50 | -14.0% | Losing |
| $30.00 | $35.00 | $30.00 | $5.00 | 14.3% | Healthy |
| $40.00 | $45.00 | $31.50 | $13.50 | 30.0% | Strong |
| $50.00 | $55.00 | $33.00 | $22.00 | 40.0% | Strong |
| $60.00 | $65.00 | $34.50 | $30.50 | 46.9% | Strong |
How to use this Amazon FBM Profit Calculator
Enter revenue
Add the item sale price and any shipping charged to the buyer.
Add FBM costs
Include item cost, shipping label, packaging, handling, and seller labor.
Add Amazon costs
Include referral fees, PPC, refunds, and other selling costs.
Review profit
Compare profit, margin, shipping gap, break-even price, and monthly profit.
FBM cost breakdown
Review which costs reduce merchant-fulfilled profit.
Item cost
$12.00
39.0% of total costs
Shipping label cost
$6.00
19.5% of total costs
Packaging cost
$1.25
4.1% of total costs
Handling cost
$2.00
6.5% of total costs
Referral fee
$6.00
19.5% of total costs
PPC cost
$2.00
6.5% of total costs
Refund allowance
$1.00
3.3% of total costs
Other costs
$0.50
1.6% of total costs
Common Amazon FBM profit mistakes
- ×Treating buyer-paid shipping as profit without comparing it to the shipping label cost.
- ×Ignoring boxes, mailers, tape, labels, padding, inserts, and fulfillment supplies.
- ×Forgetting handling time, labor, customer messages, carrier issues, and drop-off work.
- ×Pricing from item cost alone instead of total merchant-fulfilled cost.
- ×Ignoring referral fees, PPC, refund allowance, and return-related losses.
- ×Using one shipping estimate for every item even when package size and weight differ.
Understanding your FBM profit result
Strong: The order appears to have useful profit after merchant-fulfilled costs and Amazon selling costs.
Healthy: The order appears workable, but sellers should still review shipping cost, refunds, and PPC pressure.
Thin Margin: Small changes in shipping, packaging, PPC, or refunds may reduce profit quickly.
Losing Money: The order may not cover all entered costs at the current price.
What Amazon FBM sellers should include
- ✓Item sale price and shipping charged to the buyer.
- ✓Item cost, supplier cost, inbound cost, and product prep.
- ✓Shipping label cost, packaging materials, tape, labels, mailers, boxes, and padding.
- ✓Handling time, labor, customer messages, carrier issues, and delivery expectations.
- ✓Amazon referral fee, PPC, refunds, returns, damaged packages, and replacement shipments.
- ✓Break-even price, shipping gap, profit margin, and monthly order volume.
Ways to improve Amazon FBM profit
Reduce shipping cost
Compare package sizes, carriers, service levels, and shipping settings.
Improve packaging
Use packaging that protects the item without adding unnecessary weight or size.
Raise price carefully
Increase price when the market allows and shipping costs are eating too much margin.
Control returns
Use accurate listings, clear photos, reliable packaging, and better quality checks.