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Amazon Return Cost Calculator
Enter monthly orders, the return rate, price, landed cost, return processing fee and return shipping. The calculator returns refunds paid, referral fees not refunded, processing and shipping cost, resale recovery, the monthly cost of returns and the cost per order sold.
A refund is not the whole cost
When an order is refunded, the customer gets the sale price back. Whether the seller also loses the referral fee depends on the marketplace and the reason for the return; under standard Amazon policy the referral fee is normally refunded. What usually remains is the return processing fee where it applies, the return shipping the seller pays, and the item value if the unit cannot be resold as new.
The calculator separates those lines so the cost of a return can be compared with the margin on the original sale. A return rate that looks tolerable as a percentage can consume the entire contribution on a low-margin product.
The number to put in the price
The useful output is the cost per order sold, not the cost per return. That is the figure that belongs in the unit economics next to the referral and fulfilment fees, because every order carries a share of the returns that will come back. The monthly and annualised totals show the cash effect; the per-order figure shows the pricing effect.
Use your own observed return rate for the category rather than the best month, and model resale recovery conservatively. A returned unit may be resold, liquidated or destroyed, and each outcome recovers a different share of the landed cost. The return processing entry lists what triggers each cost.
Seller cost playbooks — all entries
Every entry links to its full reference page. The search box above filters this list.
Frequently asked questions
Does Amazon refund the referral fee on a return?
Under standard policy the referral fee is normally refunded when the order is refunded. Exceptions exist by category and reason, so confirm the current policy and model the case where the fee is not returned.
What is a return processing fee?
A per-unit charge that applies to returns in some categories and conditions. It is separate from the refund and from the return shipping, and the amount depends on the current fee schedule.
How should I treat resale recovery?
Enter the share of the landed item cost you realistically recover. A unit resold as new might recover most of it; a unit liquidated or destroyed recovers little. Using zero is a conservative planning assumption.
Should I use the category return rate or my own?
Use your own observed rate where you have enough orders, and the category rate as a planning assumption for a new product. The best month is not a rate; use a period long enough to include seasonal peaks.
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