Margin Ruler

Return Cost Calculator Methodology

Estimates monthly and annual return burden from return rate, labor time, non-resellable inventory loss, return shipping, and non-refunded fee percentage.

Amazon FBA is active. Other marketplace modules stay marked as planned until audited.

Estimates monthly and annual return burden from return rate, labor time, non-resellable inventory loss, return shipping, and non-refunded fee percentage.

Published fee inputs, dated assumptionsNo account or emailPrivate unless you save

Fee schedule/source date: return-cost assumptions reviewed 2026-05-08; Amazon Returns Processing Fee is treated as explicit scope where user inputs it.

Primary source register: Amazon fee schedules · Amazon Revenue Calculator.

Formula

monthly_return_loss = returns_per_month × (labor_cost + inventory_loss + return_shipping + non_refunded_fees)

Includes

  • Monthly order volume
  • Return rate
  • Labor processing time
  • Labor cost
  • Resellability loss
  • Return shipping you cover
  • Non-refunded platform/payment fee percentage

Excludes

  • Category-specific Amazon Returns Processing Fee unless represented in fee percentage or shipping input
  • Fraud and abuse review labor
  • Customer support tickets
  • Exchange uplift
  • Restocking-fee policy effects

2026 fee-category audit

Fee componentStatus
Returns Processing Feemodeled in return cost planning
Coupons and promotional discountsexplicitly excluded unless user enters
Sales tax / VAT pass-through mathexplicitly excluded

Diagnostic output: Margin status, largest return-cost component, cost per return, percentage of revenue consumed by returns, and sensitivity to return-rate change.

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