What is the Amazon high return rate fee?
The high return rate fee applies to apparel and select categories when a SKU's return rate exceeds category benchmarks. Amazon charges the fee per unit returned above the threshold. It is designed to push sellers to fix listings, sizing, and quality on chronic problem SKUs.
Jul 26, 2026 · 3 min read
Where the fee applies
The fee has focused on apparel, shoes, and a set of high-return categories where returns run structurally high. Amazon publishes the category-level thresholds and updates them periodically.
What to fix first
Return reason codes tell you why. Sizing mismatches usually mean chart or fit changes. Quality complaints mean supplier work. Description mismatches mean image and copy updates. Nova rolls returns into per-SKU net margin so you see the true post-return P&L, not just the top-line.
Frequently asked questions
Does the fee apply to grocery or beauty?
Not currently in most cases. Check the current fee schedule for your marketplace as the scope has been expanding.
Is a defective return counted?
Yes, unless Amazon reimburses you for it. The return still hits your return rate math.
How is the threshold measured?
Amazon compares your SKU's return rate to a category benchmark over a trailing window, typically month over month.
See this in Nova
Nova surfaces this metric per SKU so you can act before your next monthly close catches it.
Try Nova free for 14 daysRelated questions
What is a good refund rate on Amazon?
A good Amazon refund rate is under 5% overall. Category averages: 4% to 6% in home and kitchen, 8% to 12% in electronics, 15% to 25% in apparel and shoes. Anything above the category average signals a listing, product, or fulfilment problem. Refund rate above the category threshold also triggers Amazon's returns processing fee.
How do I calculate profit per unit on Amazon?
Profit per unit on Amazon equals sale price minus referral fee, FBA fulfilment fee, per-unit COGS, allocated ad spend, and a refund reserve. A quick formula: Profit/unit = Price - (Referral% x Price) - FBA fee - COGS - (Ad spend / units sold) - (Refund rate x Price).