GST at 18% on Selling Price (vary product to product): | |
Referral Fee: | |
Shipping Method: | Closing Fee (based on Shipping Method): |
Shipping Cost: | |
GST on Referral, Closing, and Shipping Fee: | |
Amount to Amazon (1% of GST also retained): | |
Amount in Your Hand (deducted 18% GST): | |
Need to Purchase Goods at (determing your desired profit): | |
Percentage of Share on Selling Price gone to (Amazon Fee + GST 18%): |
Understanding Amazon Seller Fees
Amazon charges various fees that impact your profitability:
- Referral Fee: A percentage of the selling price charged by Amazon.
- Closing Fee: Charged per item sold, varies by category and shipping method.
- Shipping Charges: Cost of shipping the product to the customer.
- GST (Goods and Services Tax): Applied to selling price, referral fee, closing fee, and shipping fee.
- Amount to Amazon: Total fees deducted by Amazon.
- Amount in Your Hand: Your actual earnings after deducting all fees.
- Commission on Each Product: The commission charged by Amazon on each item sold, based on its category and selling price.
Commission Calculation for Each Product Category
Here's how commission is calculated for different product categories:
- Baby Hardlines - Swings, Bouncers and Rockers, Carriers, Walkers
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Baby Safety - Guards & Locks
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Baby Room Décor
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Baby Furniture
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Baby Car Seats & Accessories
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- appa Strollers, Buggies & Prams
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Vehicle Tools and Appliances
- Commission Rate: 4% for selling price up to ₹300, and 6% for selling price above ₹300.
- Baby diapers
- Commission Rate: 4.5% for selling price up to ₹300, 5.5% for selling price up to ₹500, and 8% for selling price above ₹500.
- Toys - Drones
- Commission Rate: 11% of the selling price.
- Toys - Balloons and Soft Toys
- Commission Rate: 11% of the selling price.
How Our Calculator Works
Our Amazon Seller Fee Calculator simplifies fee estimation:
- Enter Selling Details: Input selling price, category, shipping charges, shipping method, and desired profit percentage.
- Click Calculate: Instantly compute fees and profits.
Optimizing Your Profit Strategy
To maximize profits:
- Competitive Pricing: Set prices considering Amazon fees and competitors.
- Category Selection: Choose the correct category for accurate fee calculations.
- Shipping Method: Opt for cost-effective shipping.
Consider Amazon FBA costing
While our calculator provides a detailed breakdown for Self-Ship and Easy Ship methods, it currently doesn't include Fulfillment by Amazon (FBA) expenses. FBA offers logistical convenience and benefits such as expedited shipping and enhanced customer support. However, it comes with additional charges including:
- Storage Fees: Charged per cubic foot per month.
- Pick and Pack Fees: Based on item weight and dimensions.
These FBA costs can impact overall expenses, while the referral commission remains constant. Sellers utilizing FBA should take into account these extra charges for precise profitability calculations.