What the Settlement Report Shows
Every two weeks, Amazon pays you. The settlement report details exactly how that payment was calculated — every sale, every fee, every refund, every adjustment. Understanding this report is essential for knowing whether Amazon is charging you correctly and for accurate bookkeeping. Many sellers glance at the total payout without reviewing the details, potentially missing overcharges that add up over time.
Key Sections
The report breaks down into several sections. Product charges show the revenue from your sales. Amazon fees include referral fees, FBA fulfilment fees, and any subscription charges. Other transaction types include refunds (money going back to customers), reimbursements (money Amazon owes you for lost or damaged inventory), and adjustments for various corrections.
The bottom line is your net payout — total revenue minus total fees minus refunds plus any reimbursements or adjustments. This is the amount Amazon transfers to your bank account.
Common Fee Types
Referral fees are a percentage of the sale price, varying by category (typically 7 to 15 percent). FBA fees cover picking, packing, and shipping each order. Monthly storage fees charge for warehouse space. Long-term storage fees apply to inventory aged over certain thresholds. Understanding which fees apply to your products and at what rates helps you verify that Amazon is charging correctly.
Spotting Errors
Errors do happen. Amazon might charge the wrong referral fee percentage, apply fees for a product category different from what your product is listed in, or fail to reimburse for lost inventory. Cross-reference unusual charges against Amazon's published fee schedules. If something looks wrong, raise a case with Seller Support — you may be owed a refund.
Using Settlement Data for Business Decisions
Your settlement reports contain the data you need to calculate actual profit per product. Take the revenue, subtract all applicable fees, subtract your cost of goods, and you have your true margin. Products that look profitable based on the selling price alone might not be once you see the full fee picture. Use this data to make informed decisions about which products deserve more investment and which should be discontinued.
Export your settlement reports regularly and keep them organised by date. They form the foundation of your financial records and are essential for tax reporting, profitability analysis, and business planning.