Amazon is one of the most popular online marketplaces in today’s globe for selling your products. It is the best option because of the reach and expansion it may give your company and all the extra advantages one can get from selling on Amazon. All of your business purchases will come with a GST invoice, which allows you to claim the input tax credit on several products. These perks are all excellent. However, it becomes very time-consuming to summarize and make legible all the data provided by Amazon when it comes to creating said reports or handling them. In addition to this, Amazon levies a variety of fees on each order completed, and each cost has a unique verification process that is difficult to complete. Since these duties are so time-consuming and tiresome, it happens frequently that certain faults or errors are missed, and when a corporation sells products worth crores of rupees, even a 2% error can result in a significant loss for the organization. When there is a clear indication that these mistakes are causing a company loss, it cannot be ignored. Hence, Cointab has created software to assist in resolving this issue. This software makes it simple to perform Amazon USA Fee verification with a click. The software will verify every order and provide an output that is easy to read, so a corporation may skip the tiresome and time-consuming task of managing data and can instead deal with errors directly if there are any. All a company needs to do is upload the data and await reconciliation.

Fees Charged by Amazon

Shipping Fees 

Amazon Charges Shipping fees based on SKU weight, step level, and fulfillment type. First, the software creates the SKU master where it calculates the volumetric weight and gross weight. Whichever weight is higher is considered for calculation.

Referral Fees

Referral fees are a commission charged by Amazon to the Merchant, This fee is charged for the items sold via its marketplace based on Category and item price. Amazon provides a Percentage of referral fees for all kinds of item categories which is provided in the report as a referral fee preview report.

Storage Fees

A storage fee is charged by Amazon to store goods in Storage places provided by Amazon.  The fee is determined by Amazon for the item based on the item detail.

Verification Process:

Reports needed:

  • Amazon All Order report
  • Amazon MTR Report
  • Amazon Disbursement Report
  • Amazon All Return report
  • Amazon FBA Return report
  • Amazon Reimbursement Report 
  • SKU master

Fee Verification:

For fee Verification, the software links all the reports and the rate cards, and the SKU master. The rate cards are made based on rates or amounts shown in the Amazon reports. The software then calculates the fees based on the rate card and the SKU master for the parameters. After this, the software displays the calculated fee and charged fee for each individual transaction.

It then compiles these transactions into a systemized result which is very easy to analyze. This result can help a merchant know how much he is being charged. It helps in knowing when and where the fee is overcharged. Using this information a merchant can raise disputes with Amazon.

The result is as follows:

Total Referral Fee

In this line item, the total referral fee charged is recorded.

Correctly Charged – Referral Fee

Transactions for which the referral fee was charged correctly.

Overcharged – Referral Fee

The referral fee for these transactions is overcharged. This means the calculated referral fee was less than the charged referral fee.

Undercharged – Referral Fee

When the charged referral fee is more than the calculated referral fee they are recorded as Undercharged referral fee.

Total Shipping Fee

The Total Shipping fee amount is recorded here.

Total Storage Fee

Total Transactions and the amount for which the storage fee is charged is recorded here.

Amazon USA fee verification is made simpler by Cointab. The automated reconciliation software easily and automatically uploads the data. It cleans and extracts the data without any waste of time and summarizes the data accurately and in a very easy format all on one dashboard. This makes analysis easy. This is very helpful for a merchant as easy analysis can lead to quick and accurate business decisions. Start using Cointab now and eliminate the risk of inaccuracy. Make sure your business doesn’t lose unnecessary time and money

Get started with Cointab!