--- title: How Amazon's FBA Returns Processing Fee Affects You description: Find out how the Amazon returns processing fee is calculated and what you can do to avoid this additional FBA fee in this article. image: https://www.ecomengine.com/hubfs/images/featured/blog/amazon-fba-returns-processing-fee.png --- [![eComEngine Logo](https://www.ecomengine.com/hubfs/Style%20Guide/Logos%20(svg)/%5BeComEngine%5DLogo-2019-linear.svg "eComEngine Logo")](https://www.ecomengine.com) [Demo](https://www.ecomengine.com/demo) [Free Trial](https://www.ecomengine.com/trial) ** ** ** [Free Trial](https://www.ecomengine.com/trial) ** ** ** [![FeedbackFive icon](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-star-svg.svg "FeedbackFive icon") FeedbackFive Request Amazon Reviews and Feedback ](https://www.ecomengine.com/feedbackfive) [![sellerpulse-menu-icon(teal)](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/sellerpulse-pulse-svg.svg 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Simplify FBA Inventory Management ](https://www.ecomengine.com/restockpro) #### FeedbackFive Features [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-envelop-svg.svg) | Review Automation Send automated review requests or customize your own message | | --- | --- | ](https://www.ecomengine.com/feedbackfive/automation) | ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-bells-svg.svg) | Review Monitoring Quickly identify review trends | | --- | --- | [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-alert-svg.svg) | Listing Alerts Monitor your Amazon listings and reputation 24/7 | | --- | --- | ](https://www.ecomengine.com/feedbackfive/alerts) [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-analytics-svg.svg) | Analytics & Reporting Analyze sales trends and brand 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Search **Menu** ** ** [Log In](https://www.ecomengine.com/login) [Free Trial](https://www.ecomengine.com/trial) --- Join Our Email List - Receive our monthly newsletter. - Stay up to date on Amazon policies. - Get tips to grow your business. # How Amazon's FBA Returns Processing Fee Affects You [![Matt Ellis](https://www.ecomengine.com/hubfs/images/headshots/external/matt-ellis.jpg)](https://www.ecomengine.com/blog/author/matt-ellis) By [Matt Ellis](https://www.ecomengine.com/blog/author/matt-ellis) No one likes returning products: not the customer, not Amazon, and especially not Amazon sellers. But starting this summer, Amazon FBA sellers have more reasons to be wary of returns. Amazon is once again updating its fee structure for FBA users, with extra fees for returns over a certain amount. So how does the Amazon returns processing fee work? How is it calculated and what can you do to avoid them? Let's take a closer look at what FBA sellers need to know. ## What is the Amazon Returns Processing Fee? ![Calculator with documents](https://www.ecomengine.com/hs-fs/hubfs/images/decorative/illustrations/calculator-with-documents.png?width=300&height=266&name=calculator-with-documents.png)Effective June 1, 2024, Amazon's new returns fee charges FBA sellers an extra amount for [returns](https://www.ecomengine.com/blog/amazon-return-policy). This fee is calculated based on the product's monthly return rate, plus category, size, and weight (you can read specific details in the next section). The return rate is the percentage of shipped units in a given month returned over that month and the subsequent two calendar months. The return processing fee will be charged between the 7th and 15th of the third subsequent month. Luckily, there are some exceptions to Amazon's new returns fees. Namely, products in Apparel and Shoes — the two most common for returns due to sizing issues — are exempt. If an individual product ships less than 25 units per month, it too is exempt. Finally, products in the [New Selection program](https://www.ecomengine.com/blog/amazon-fba-new-selection-program) are exempt for the first 20 returns *after* the listed threshold. ![sellerpulse-logo](https://www.ecomengine.com/hs-fs/hubfs/brand-identity/logos/sellerpulse-logos/sellerpulse-logo.png?width=287&height=72&name=sellerpulse-logo.png)**Analyze FBA Fees and Returns** Monitor FBA fee and return trends with weekly email summaries from SellerPulse. Dive into fee details including which ASINs are being charged the returns processing fee. Try it free for 30 days. [![FREE TRIAL](https://no-cache.hubspot.com/cta/default/5147382/interactive-186070694311.png) ](https://www.ecomengine.com/hs/cta/wi/redirect?encryptedPayload=AVxigLJmOJdXqDnaxLuSrK3OV%2BzBSIsfLYzWsVJK7%2F39tnorTIavXHuhtuxGDK%2FCLYH0euNjkLE94URQ5xRSAibM5U%2F7y6zB1UIHg6x%2FZRZXZt41gb3UiyygNi5ajZcVmkGBv5MPcPDulXr7c18vjuGlgGMMfmtZuVSMiyEZN8Qwr6sqqIXGq4Dzik7V9mprPIbztB2YIOjk1pMK61uDwecfzAkb33tThMQ%2BXUkuyA%3D%3D&webInteractiveContentId=186070694311&portalId=5147382) ## How is Amazon's Returns Processing Fee Calculated? Amazon's recent returns processing fees are calculated with four different factors: 1. **Product Size** — the [size tier](https://www.ecomengine.com/blog/amazon-fba-package-dimensions) based on product dimensions and dimensional weight 2. **Product Weight **— the product's shipping weight 3. **Return Rate** — the percentage of products shipped in a given month that are returned in the next three months 4. **Return Rate Threshold** — the allowable return rate of a product category before the returns processing fee goes into effect The returns rate threshold can get confusing, so let's break it down with an example. Let's say you sell 100 watches in June. By the end of August, thirteen of those watches have been returned. The return rate threshold for watches is 12%, which covers the first twelve of the thirteen returns. That means the seller is only charged a returns processing fee for one watch, based on its weight and size. Different product categories have different threshold percentages. You can [view the entire list](https://sellercentral.amazon.com/help/hub/reference/external/G64LS955WNFT6EDP?ref=nslp_at_GUPEE4MPUWPM3TSR_en-US_nslnk_2) for American merchants in Seller Central. To give you a heads-up, here are some of the categories with the lowest (most at-risk) threshold percentages: - Beauty, Health, and Personal Care (5.5%) - Business, Industrial, and Scientific Supplies (6%) - Fine Art (5.6%) - Grocery and Gourmet (2.9%) - Media: Books, DVD, Music, Software, and Video (5.1%) - Office Products (4.4%) - Toys and Games (4.7%) - Video Games and Gaming Accessories (6.5%) Check the thresholds of your top product categories to see how you will be affected by the new Amazon returns processing fee. Product categories that are not listed or products that don't fit into the common categories — the "everything else" category — have a threshold of 4.8%. *Related Reading: *[*How to Analyze FBA Return Reasons and Improve Performance*](https://www.ecomengine.com/blog/fba-return-reason) ## Changes to the Returns Insights Dashboard To help FBA sellers keep returns as low as possible and reduce the returns processing fee, Amazon has added a few improvements to the Return Insights dashboard on the [FBA Returns page](https://sellercentral.amazon.com/fba/returns/?ref=nslp_at_GUPEE4MPUWPM3TSR_en-US_nslnk_1) in Seller Central (under the Inventory tab). Specifically, new additions include: - the number of total returned units - the return rate percentages applicable to your products - the standard return rate thresholds for a category - the number of returned units over the threshold (to which the new fee applies) The FBA Returns page is updated three times a week and accounts for the entire month's returns, with an option to view past returns. You can explore FBA return reasons and trends over the past 90 days further with [SellerPulse by eComEngine](https://www.ecomengine.com/sellerpulse). The FBA Returns report provides high-level insights to help you determine whether you need to change your product, listing, or supply chain to reduce future returns. You can get a weekly overview of recent returns via email for easy monitoring. Analyze FBA fees with detailed insights including fees by product, type, and time. Find out which products are being charged the returns processing fee and dig into return reasons and customer comments to determine how to reduce returns. ## How Amazon Sellers Can Reduce Returns Naturally, the new Amazon returns processing fee should motivate you to reduce your return rates. Although some returns are unavoidable, others are not. The best defense against Amazon's return fees is understanding what makes customers return products and taking preventative action against future returns. First, you want to address technical issues. For example, if you have returns caused by quality defects, you might want to remove those products from your lineup altogether. If customers complain that the product is not how it appeared online, you can update your product photos and videos. If returns are caused by people who don't understand how to use or misuse the product, you could add more detailed instructions to the product page. An instructional [video](https://www.ecomengine.com/sell-on-amazon/add-video-amazon) demonstrating how to access certain features can also do wonders, as it's easier to *show *how something works rather than explain it in text. Last, customer service can go a long way in reducing returns. If you communicate promptly and sympathetically with customers, you can address their problems and sometimes remove the need for a return altogether. Misunderstandings cause some returns, so extra communication can effectively clear things up. [![Product review monitoring screenshot and FeedbackFive logo with text, "Trusted by tens of thousands of Amazon sellers"](https://no-cache.hubspot.com/cta/default/5147382/f95ac93c-b441-407e-a61d-33dd45d3dc3e.png)](https://cta-redirect.hubspot.com/cta/redirect/5147382/f95ac93c-b441-407e-a61d-33dd45d3dc3e) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) Originally published on June 5, 2024, updated January 22, 2026 This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes. ## You May Also Like These Stories on Amazon [![12:53 AMClaude responded: Illustration of an upward graph with a magnifying glass, with the text "Prime Day Profit Scorecard"Illustration of an upward graph with a magnifying glass, with the text "Prime Day Profit Scorecard"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-profit-scorecard.png) ](https://www.ecomengine.com/blog/prime-day-metrics-amazon-sellers) ### [The Prime Day Profit Scorecard: 10 Metrics Amazon Sellers Should Watch Daily](https://www.ecomengine.com/blog/prime-day-metrics-amazon-sellers) June 24, 2026 | [![Illustration of an upward trend chart and reviews, with text reading "Prime Day Review Strategy"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-review-strategy.png) ](https://www.ecomengine.com/blog/prime-day-review-strategy) ### [Prime Day Review Strategy: Turn the Traffic Spike Into Long-Term Trust](https://www.ecomengine.com/blog/prime-day-review-strategy) June 22, 2026 | [![Downloadable PDF cover with title "Prime Day Profit Protection Checklist"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-profit-protection-checklist.png) ](https://www.ecomengine.com/blog/prime-day-readiness-plan-amazon-sellers) ### [Prime Day Is in June: The Last-Mile Readiness Plan Amazon Sellers Need Now](https://www.ecomengine.com/blog/prime-day-readiness-plan-amazon-sellers) June 8, 2026 | ## No Comments Yet Let us know what you think ### eComEngine 14321 Winter Breeze Drive Suite 121 Midlothian, VA 23113 Call us: [800-757-6840](tel:800-757-6840) Company Legal Software Resources [![GS1 US Channel Partner](https://www.ecomengine.com/hubfs/images/partners/logos/gs1-us-channel-partner.png "GS1 US Channel Partner")](https://www.ecomengine.com/get-gtin-amazon) ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-web-services.svg "Amazon Web Services") ![Amazon Selling Partner Appstore Software Partner badge](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-software_partners-badge.png "Amazon Selling Partner Appstore Software Partner badge") ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/amazon-web-services.svg "Amazon Web Services") Copyright© 2007-2026 eComEngine, LLC. 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