Home Blog Amazon FBA for Beginners: Costs, Fees, and Profit Margins
2025-02-01 · 🛒 Ecommerce

Amazon FBA for Beginners: Costs, Fees, and Profit Margins

Everything you need to know about Amazon FBA profitability — before you source your first product.

Fulfillment by Amazon (FBA) lets you sell on Amazon while Amazon handles storage, packing, and shipping. Use our Amazon FBA Calculator to check any product.

Key FBA Fees

  • Referral Fee: 8–15% of sale price (category dependent)
  • FBA Fulfillment Fee: $3.22–$6+ per unit (size/weight dependent)
  • Storage Fee: $0.87/ft³/month (Jan–Sep), $2.40/ft³ (Oct–Dec)

Minimum Viable Margin

Target at least 25% net margin after all fees. Products under $15 are hard to make profitable on FBA.

The 3× Rule

Your selling price should be at least 3× your landed COGS. If a product costs $10 to source and ship to Amazon, aim to sell at $30+.