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Did you receive an email from Amazon stating that you owe long-term storage fees? Congratulations! That means you’ve been selling on Amazon for more than a year.  It also means you have some old inventory sitting up there. This is pretty common. I found my first assessment period that some of my books that I sent up early on were a mistake and were gathering dust in a big way.

Amazon assesses these extra fees twice a year on August 15 and February 15. This post will show you how to look at your potential long-term storage fees and to reduce them.  Today, February 15 is your last day to do it before the fees are imposed, so don’t delay.

The fee is $22.50 per cubic foot. That means bulky items like toys will cost more than smaller items like paperback books.  The fee is assessed on the combined cubic footage of your excess inventory.

In an example given by Amazon, an excess book cost 63 cents while an excess toy cost $2.29, just to give you an idea.

Amazon exempts one item for each MSKU.  So if you have four baby dishes for sale, the first one is free, they are only charging fees for the excess three.

First, you need to find out what items are being considered for fees.  Then you need to decide if you want to leave them up there, arrange for items to be sent back or for Amazon to dispose of them (i.e. destroy them) for you. Last time I had Amazon send me back three new collector’s Barbie dolls. There had been a lot of low-ball sellers and my sales had dropped. When my sales picked up again, I sent the three back in to sell. The margin was strong enough to make it worth shipping back and forth again.

1.           Review your inventory: Recommended Removal Report

  • Inside Seller Central, click on the “Reports” Tab, then “Fulfillment” and then “Recommended Removal”
  • You can either download this report to a spreadsheet or look at it on screen.

 2.       Decide if you want your items to be sent back or destroyed.

  • Decide if you want items sent back to you at 50 cents per item or if you want items destroyed at 15 cents per item.
  • If you think you can sell the items later on eBay or back on Amazon, then have them sent back to you.
  • If the items are not worth your trouble like a book selling for $3.75, then arrange for them to be destroyed and move on.

 3.       Remove excess items

  • In the upper right-hand corner of the “Recommended Removal” report is a yellow button that says “Begin Removal Process”
  • You may need to go through this process twice, once for “removals” and once for “disposals.”
  • Select the number of items you want disposed or returned and click “continue” at the bottom of the page.

That’s it! It is pretty simple and should only take you a few minutes.

If you decide to leave some of the items up there and pay the fees, this would probably be a good time to reprice these items and see WHY they’ve not been selling. I generally leave valuable books up there because the shipping back and forth (at least $1) is more than the fee (around 63 cents).

I have a few coffee table books that I bought new that are slow sellers, but they do sell for around $60 so it is worth the fee.

If you have questions about this, you can get help inside Seller Central’s “Help.” Type in “FBA Long-Term Storage” in the search bar. This link might work, too, but if it doesn’t just go to “Help”:

Lastly, you can always ask the friendly FBA Seller Support team for help. They’re awesome.  You can find their number through “Help” and “Contact Us.”

Not yet been selling for a year? Be sure to look at this report about three months before your anniversary date. That will give you plenty of time to reprice and get rid of those slow sellers before fee assessment time.