Amazon FBA Landed Cost Calculator
Calculate the true per-unit cost of getting your product from the manufacturer to Amazon's warehouse, including all fees and duties.
Calculate Your Landed Cost
Per-Unit Breakdown
What is Landed Cost?
Landed cost is the total cost of getting a product from your supplier to Amazon's fulfillment center. It includes the product cost, freight and shipping, insurance, import duties, customs fees, prep service charges, and FBA fulfillment fees.
Many sellers underestimate their true landed cost by overlooking duties, insurance, or prep fees. Knowing your exact landed cost per unit is essential for accurate margin calculations and pricing decisions.
How to Calculate Landed Cost
CIF Value = Product Cost + (Shipping ÷ Units) + (Insurance ÷ Units)
Duty = CIF Value × Duty Rate %
Per Unit Landed = CIF Value + Duty + (Import Fees ÷ Units) + Prep Fee + FBA Fee
Example: Product costs $3.00/unit, shipping $1,500 for 1,000 units ($1.50/unit), insurance $100 ($0.10/unit). CIF = $4.60. At a 5% duty rate, duty = $0.23. Add $0.50 import fees per unit, $1.00 prep, and $3.50 FBA fee. Landed cost = $9.83/unit.
Understanding Your Results
A healthy Amazon FBA product typically targets a gross margin of 30% or higher after all landed costs. If your margin is below 20%, you may struggle to remain profitable after advertising and other variable costs.
Keep in mind this doesn't include referral fees, advertising spend, or storage fees. Those come out of your gross margin, so a higher margin here gives you more room to invest in growth.
Frequently Asked Questions
CIF stands for Cost, Insurance, and Freight. It's the value customs uses to calculate your import duty. It includes the product cost plus shipping and insurance, divided across all units. Getting this number right is essential for accurate duty estimates.
Look up your product's HTS (Harmonized Tariff Schedule) code on the U.S. International Trade Commission website. Duty rates vary widely — from 0% for some products to 25%+ for others. Your customs broker can also provide this information.
Referral fees are typically tracked separately from landed cost. Landed cost covers getting the product to Amazon's warehouse. Referral fees, advertising, and storage fees are selling expenses that come out of your gross margin.
After landed costs, aim for at least 30% gross margin. This leaves room for Amazon referral fees (typically 15%), advertising (varies), and storage fees while still maintaining profitability. Products with margins below 20% are difficult to scale profitably.
Tariffs can significantly increase your landed cost. Products from certain countries may face additional duties beyond the standard HTS rate. Always verify current tariff rates, as trade policies change frequently. Consider diversifying your supply chain to manage tariff risk.
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