Amazon Profit Calculator
Amazon Profit Calculator helps sellers estimate real profit or loss before listing products confidently on Amazon.
Amazon Unit Economics Breakdown
How to use Meesho Profit Calculator
Enter Details
Enter product cost, shipping, packaging, GST, returns, and desired margin based on your Amazon reality.
Click on Calculate
Click calculate to apply Amazon fees, returns logic, GST impact, and see true cost instantly.
Amaon Profit Calculator for Sellers
This Amazon Profit Calculator is built specifically for Amazon sellers who want clear visibility into their real profit or loss, not just estimated margins.
Amazon selling often looks profitable on the surface, but the actual payout depends on many moving parts. Referral fees, closing fees, shipping charges, GST on platform fees, and returns all directly impact what finally reaches your bank account. Most sellers underestimate one or more of these costs, which slowly erodes profit even when orders are coming in regularly.
Unlike generic ecommerce calculators, Amazon pricing requires a much deeper understanding of unit economics. A small pricing mistake or an unrealistic margin assumption can quietly turn a good selling product into a loss making one, especially at scale. This usually becomes visible only after weeks of selling, when inventory and time are already invested.
This Amazon Profit Calculator helps you calculate:
- Estimated profit or loss per Amazon order based on your actual inputs
- Net profit margin percentage after all Amazon fees and GST
- Impact of returns and RTO on your overall profitability
- True unit economics before you decide to list, restock, or scale
The goal of this tool is not to push higher prices, but to show you the economic truth of your product on Amazon. It helps you understand whether your current price is sustainable, whether your margin assumptions are realistic, and whether scaling the product makes financial sense.
If you are unsure whether your Amazon product is genuinely profitable after payouts, this Amazon Profit Calculator gives you clear, practical profit visibility before you commit inventory, ads, or working capital.
How Amazon Profit Calculator Works
The Amazon Profit Calculator is designed to help Amazon sellers accurately understand their real profit or loss before listing a product or increasing inventory on the Amazon marketplace. Since Amazon has multiple layers of fees and deductions, many sellers misjudge their margins and only realize losses after sales start coming in. The Amazon Profit Calculator removes this confusion by showing a clear financial picture in advance.
Using the Amazon Profit Calculator, sellers enter key details such as product selling price, product cost, Amazon referral fee, fulfillment fee (FBA or FBM), shipping cost, packaging cost, advertising spend per order, GST details, and expected return rate. The calculator then processes all these inputs to estimate net payout from Amazon, total expenses, and final profit per order.
Amazon operates on a competitive pricing model where small changes in fees, ad costs, or returns can significantly impact profitability. Many products that appear profitable at first glance turn into loss-making items once Amazon fees and returns are considered. The Amazon Profit Calculator focuses on realistic calculations, helping sellers avoid pricing mistakes and margin erosion.
Example of How Amazon Profit Calculator Works
Suppose a seller plans to sell a product on Amazon at a price of ₹999. The product cost is ₹450, Amazon referral fee is ₹120, FBA fulfillment fee is ₹150, packaging and labeling cost is ₹30, and advertising cost per order is ₹70. The seller also assumes a 10 percent return rate.
When these values are entered into the Amazon Profit Calculator, it calculates the expected net settlement after Amazon deductions and adjusts profit based on the return rate. Even though the selling price looks healthy, the calculator may reveal that the actual profit per delivered order is much lower than expected, or in some cases negative. This insight allows the seller to revise pricing, reduce costs, or avoid listing the product altogether.
In practical terms, the Amazon Profit Calculator helps sellers:
- Calculate estimated profit or loss per Amazon order
- Understand total Amazon fees and hidden costs
- Evaluate the impact of advertising and returns on margins
- Decide whether a product is safe to launch or scale
- Avoid loss-making pricing decisions
The Amazon Profit Calculator is a decision-support tool, not a guarantee of earnings. Actual profits may vary due to changes in Amazon fee structures, logistics performance, customer returns, and advertising efficiency. However, by using the Amazon Profit Calculator before listing or scaling products, sellers can make more informed and financially sound decisions.
Example Amazon Profit Calculation
Here’s how an Amazon FBA profit calculation works step by step.
Example Scenario
Assume the following details for a product sold on Amazon using FBA (Fulfilled by Amazon – Warehouse):
Customer selling price (GST included): ₹1,399
GST rate on product: 18%
Product cost (manufacturing / sourcing): ₹350
Inward shipping cost (seller to Amazon warehouse): ₹40
Packaging & labeling cost: ₹20
Amazon referral fee: 15%
Amazon FBA fulfilment fee (based on size & weight): ₹135
Amazon storage fee (30 days average): ₹10
Expected return rate: 8%
Estimated loss per returned order: ₹700
Ad cost per unit: ₹40
Step-by-Step Calculation
GST calculation (price breakup)
The selling price shown to the customer includes GST, so the first step is to separate GST from the price.
Base price (before GST)
= 1,399 ÷ 1.18
≈ ₹1,186
GST amount collected from customer
= 1,399 − 1,186
≈ ₹213
GST is collected from the customer and later paid to the government.
It is not profit and not a business cost.
Net revenue considered for profit calculation
Only the GST-exclusive base price is treated as seller revenue.
Net revenue (before costs)
= ₹1,186
Amazon marketplace & fulfilment costs
These are costs charged by Amazon for using the platform and FBA services.
- Amazon referral fee = 15% of ₹1,399 ≈ ₹210
- Amazon FBA fulfilment fee = ₹135
- Amazon storage fee = ₹10
- (GST charged by Amazon on these fees is ignored here assuming ITC is claimable.)
Seller operational costs
These are real costs borne by the seller.
- Product cost = ₹350
- Inward shipping (to Amazon warehouse) = ₹40
- Packaging & labeling = ₹20
Expected return loss
Returns are calculated as an average expected loss, not per individual order.
Expected return loss per order
= 8% of ₹700 ≈ ₹56
Advertising cost
Ad cost per unit = ₹40
Total cost summary
Amazon fees
Referral fee + FBA fee + storage
= 210 + 135 + 10 = ₹355
Seller costs
Product + inward shipping + packaging
= 350 + 40 + 20 = ₹410
Expected return loss = ₹56
Ads cost = ₹40
Total cost per unit
= 355 + 410 + 56 + 40 = ₹861
Net profit per unit
Net revenue (before GST) = ₹1,186
Total costs = ₹861
Net profit per unit
= 1,186 − 861= ₹325
Profit margin
Profit ÷ Net revenue × 100
= 325 ÷ 1,186 × 100 ≈ 27.4%
Final Result
GST collected from customer: ₹213 (for tax purposes only)
- Net profit per unit: ₹325
- Profit margin: 27.4%
Important Notes & Clarifications
- This calculator provides estimated results based on the inputs you enter and should be used as a guidance tool, not an exact guarantee.
- Actual selling price and payouts on Amazon may vary due to category-specific fees, competition, promotions, and marketplace policy changes.
- Amazon fees, fulfillment charges, and advertising costs can change over time, which may impact final profitability.
- Return rates, damaged orders, and logistics performance can affect real profits and may differ from assumed values.
- Always use the calculator as a pricing reference and review current market conditions before listing or scaling any product.
Frequently Asked Questions
What is an Amazon Profit Calculator?
An Amazon Profit Calculator helps you estimate your actual profit or loss per order after considering Amazon fees, GST, shipping costs, and returns. It shows what you truly earn, not just what you expect on paper.
Is the Amazon Profit Calculator free to use?
Yes, the Amazon Profit Calculator is completely free and can be used without any signup or limits.
Why is profit calculation important before listing on Amazon?
Because once a product is listed and scaled, small pricing mistakes compound into large losses. This calculator helps you validate whether your product is financially sustainable before investing inventory or ads.
Does this Amazon Profit Calculator include all Amazon fees?
Yes. The calculator considers major Amazon cost components like referral fees, closing fees, shipping related costs, GST on platform fees, and return impact based on the inputs you provide.
How should I estimate return or RTO percentage?
You should enter a realistic return or RTO percentage based on your category, past experience, or similar products. Returns are one of the biggest silent profit killers on Amazon, and underestimating them gives false confidence.
What does desired profit margin mean in this calculator?
Desired profit margin is the percentage profit you want after all costs, not before. It represents the amount you actually want to retain per order once Amazon deducts its fees.
Can I use this calculator to decide my selling price?
Yes. One of the main purposes of this Amazon Profit Calculator is to help you arrive at a practical and sustainable selling price instead of pricing based only on competitor listings.
Is this calculator suitable for both new and existing Amazon sellers?
Yes. New sellers can use it to validate pricing before listing, while existing sellers can use it to audit current products and identify loss making listings early.
Will the calculator guarantee profit on Amazon?
No calculator can guarantee profit. This tool gives you clarity and visibility, so you can make informed decisions. Market demand, competition, and execution still matter.
How accurate are the results from this calculator?
The results are as accurate as the inputs you provide. The calculator is designed to reflect real Amazon selling conditions, but actual payouts may vary slightly due to category specific fees or policy changes.
When should I use the Amazon Profit Calculator?
The results are as accurate as the inputs you provide. The calculator is designed to reflect real Amazon selling conditions, but actual payouts may vary slightly due to category specific fees or policy changes.