Margin Ruler

Inventory Carrying Cost Calculator Methodology

Estimates annual carrying cost from inventory value, storage percentage, capital cost, obsolescence, and turn rate.

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

Estimates annual carrying cost from inventory value, storage percentage, capital cost, obsolescence, and turn rate.

Real Amazon fees, dated to sourceNo account or emailPrivate unless you save

Fee schedule/source date: inventory-cost assumptions reviewed 2026-05-08; Amazon storage and aged-inventory fees change by season and age band.

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

Formula

annual_carrying_cost = inventory_value × (storage_pct + capital_cost_pct + obsolescence_pct); per_turn_cost = annual_carrying_cost / annual_turns

Includes

  • Average inventory value
  • Storage cost percentage
  • Cost of capital
  • Obsolescence/shrinkage where available
  • Per-turn cost

Excludes

  • Exact FBA cubic-foot storage bill
  • Aged inventory surcharge by age band
  • Low-Inventory-Level Fee
  • Inventory placement fee
  • Insurance if not included in storage/carrying assumptions

2026 fee-category audit

Fee componentStatus
Q4 storage seasonal spikeincluded in inventory storage assumptions
Aged Inventory Surchargeexplicitly excluded
Low-Inventory-Level Feeexplicitly excluded
Inbound Placement Service Feeexplicitly excluded unless user enters

Diagnostic output: Margin status, largest carrying-cost driver, per-turn cost, and sensitivity to storage/capital-rate changes.

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