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Amazon Profit Calculator for UK Sellers

Work out your profit per unit after Amazon's referral, FBA and storage fees and UK VAT. Fees are estimated from Amazon's rate card effective 1 July 2026, and you can replace any of them with your own.

Last updated: 25 September 2026

Packaged size and weight

Size tier: Small parcel, shipping weight 480 g (dimensional)

Profit per unit
£6.61
Margin
39.7%
ROI
132.2%
Break-even
£11.22
Selling price
£19.99
Output VAT to HMRC
20% of the VAT-inclusive price
−£3.33
Referral fee
Home Products, on the VAT-inclusive price
−£1.60
FBA fulfilment fee
standard rate £3.04 + 1.5% surcharge
−£3.09
Storage
base monthly fee only
−£0.06
VAT on Amazon fees (reclaimable)
not a cost if you reclaim it
£0.95
Product and other costs
−£5.30
Profit per unit
£6.61
£1,322.00

Estimate based on the Amazon FBA Europe rate card, effective 1 July 2026. Amazon's own fee figures in Seller Central take precedence. Excludes storage surcharges, returns and other programme fees. Not tax advice.

How the Amazon profit calculator works

The calculator follows the same fee and VAT rules TrueBooks uses when it posts Amazon settlements to Xero:

  • Referral fee: the rate for your category, including price bands such as Home Products at 8% up to £20 and 15% above, with a £0.25 minimum and a £0.50 closing fee on media. See Amazon referral fees by category.
  • FBA fee: the size tier from your packaged dimensions and weight, the festive peak rates from 15 October to 14 January, Low-Price FBA rates if the product is enrolled, and the 1.5% fuel and logistics surcharge. See Low-Price FBA.
  • Storage: the base monthly fee per cubic foot, higher from October to December. Surcharges for aged or excess stock aren't included. See FBA storage fees and surcharges.
  • VAT: if you're VAT-registered, output VAT comes off the price and the VAT on Amazon's fees is reclaimable. If you're not, you keep the full price but pay the fee VAT. See reclaiming VAT on Amazon seller fees.

A worked example

An illustrative example: a VAT-registered seller sells a Home Products item for £19.99. Packed, it measures 20 × 15 × 8 cm and weighs 350 g, so it's a small parcel charged at its dimensional weight of 480 g. It costs £5.00 to buy and £0.30 to send to Amazon, and sits in storage for about a month.

  • Output VAT: £19.99 ÷ 6 = £3.33, leaving £16.66
  • Referral fee: 8% of £19.99 = £1.60
  • FBA fee: £3.04 + 1.5% = £3.09
  • Storage: about £0.06
  • Product and inbound costs: £5.30
  • Profit: £6.61 a unit, a 39.7% margin on sales excluding VAT

Raising the price by £1 to £20.99 cuts profit to £5.89, because the referral fee jumps from 8% to 15% on the whole price. The calculator's break-even price for this product is £11.22.

What the calculator leaves out

Oversize items, and parcels in categories Amazon charges from a separate table (such as clothing, footwear and grocery), need your own FBA fee from Seller Central. The calculator doesn't include storage surcharges, returns processing fees, advertising you don't enter yourself, or the timing of Amazon's payouts. For how these land in your books, see Amazon FBA bookkeeping.

How TrueBooks helps

Once you're selling, TrueBooks imports every Amazon settlement and posts each line to Xero with the right UK VAT, with referral, FBA, storage and other fees on separate lines, so each settlement matches the bank deposit. See how the Amazon Xero integration works.

Source: Amazon Amazon FBA Europe rate card, effective 1 July 2026. Estimates only. TrueBooks is independent and not affiliated with Amazon. General information, not tax or legal advice.

Frequently asked questions

Is the referral fee charged on the price including VAT?

Yes. Amazon works out the referral fee on the price the customer pays, including VAT, so a VAT-registered seller pays referral on the VAT that goes to HMRC too. The calculator does the same.

Do Amazon's fees include VAT?

The rate card lists fees before VAT. Since 1 August 2024 Amazon's UK seller fees carry 20% UK VAT. If you're VAT-registered you can reclaim it, so the calculator doesn't count it as a cost. If you're not, it's a real cost and the calculator adds it.

Why does my product show as an envelope?

Amazon sets size tiers by dimensions and weight. Anything up to 33 × 23 × 6 cm and 960 g counts as an envelope tier, even if it ships in a box. Enter the packaged size to get the right tier.

What is dimensional weight?

For parcels Amazon charges on the greater of the actual weight and the dimensional weight, which is length × width × height in cm divided by 5,000 (in kg). Light but bulky parcels move up a weight band.

How accurate is the estimate?

The rates come from Amazon's UK rate card effective 1 July 2026. Your actual fees can differ, for example because of Amazon's own measurement of your product, storage surcharges, returns fees or promotions. Check the fee preview in Seller Central before you set a price, and use "Enter my own Amazon fees" to put in your real figures.


Related reading

A2X, Link My Books, Finaloop, Taxomate, QuickBooks and Sage are trademarks of their respective owners. TrueBooks is an independent product and is not affiliated with, endorsed by, or sponsored by any of them, by Amazon.com, Inc. or by Xero Limited. Third-party details reflect publicly available information on the date shown above and may change.