Here's an Amazon Marketplace Fee Calculator I wrote to help people calculate what their fees and profit would be when using Amazon Marketplace. If you've ever bought anything from Amazon.com before you're probably familar with Amazon Marketplace. Amazon Marketplace allows sellers to offer their new and used goods directly alongside Amazon's own offerings. You can easily recognize it by seeing something like this on a product's details page...

In a way, this is similar to eBay's Half.com. Both systems allow you to list your item for an extended period of time without paying any fees until your item sells.

With Amazon Marketplace you don't pay any fees up front to list your items, only if and when your item sells. If your item does sell, you're charged a $0.99 per-transaction fee (if you're not a Pro Merchant Subscriber), a variable closing fee, and a variable commission rate based on your product's category. You can visit Amazon's Marketplace fees page to see all of their fee policies in detail.

To quickly calculate your Amazon fees you simply enter your item's price in the Amazon Fee Calculator box and it will show you what your total fees would be and what you would be left with after fees. If you look closely, you'll notice there is no calculate button because your fees are instantly calculated as you type. In this example, we can see that if we sold a $50 book on Amazon Marketplace we would pay $9.84 in fees and receive $40.16 after fees. Since the Books category has a 15% commission rate, our fees start with $7.50, then we add the $0.99 per-transaction fee (assuming we don't have a Pro-Merchant subscription), which makes $8.49, then we add a closing fee of $1.35, which makes a total of $9.84.

If you click on the word Shipping Cost you can enter additional shipping information about your item. You can enter your item's shipping weight, shipping method, and see what your shipping credit will be. The Amazon Shipping Credit works similarly to the Shipping Reimbursement feature of Half.com. It's an amount they first collect from the buyer then pass along to you for you to use to ship your item. Your shipping credit will vary based on your item's category, your shipping method, and your shipping weight. Amazon states... "The shipping credit is priced to cover standard shipping costs. All sellers are required to offer standard shipping; sellers may also elect to include expedited shipping. Shipment is required even if the shipping credit does not cover all shipping costs. Such discrepancies should be accounted for in the price you set."

If you click on the word Total Amazon Fees you can see a breakdown of all your Amazon fees. You can choose whether or not you want to include your $0.99 Per-Transaction fee by checking or unchecking the checkbox next to the word Per-Transaction fee (Pro-Merchant Subscribers don't pay a $0.99 Per-Transaction fee) and you can see what your Closing Fee is based on Amazon's Closing Fee tables. You can also see what your Amazon Commission is, which is a percentage based on the price of your item and varies by category.

The Edit Amazon Commission Rate box allows you to optionally edit what commission rate the calculator is using at any time. This commission rate will vary depending on what type of product you are selling, not based on the price of your item. Whenever you change categories in the calculator this amount will get updated with the correct fee rate for that category.

The Reverse Amazon Fee Calculator allows you to calculate your Amazon fees in reverse. That is, it can tell you what amount you would need to sell your item for in order to receive the amount you want after fees. In this example, I enter $20 into the calculator and it tells me to sell my item for exactly $26.28. Just to verify that, if we were to sell a book on Amazon Marketplace for exactly $26.28, we would pay a $0.99 per-transaction fee, a $3.94 (15%) commission rate, and a $1.35 closing fee. If you combine all those together, you get $6.28 in total fees, and if we subtract that from our sale price $26.28, we end up with exactly $20.00. I've specifically designed this "reverse" calculator so that it can work for any amount, any category, and any fee rate.

If you have any suggestions, comments, or ideas for the calculator feel free to leave them here or e-mail me directly. Thanks for your input!

Previous Versions

Version 1.0 (August 23, 2006)		Version 2.0 (December 13, 2007)