Amazon Long-Term Storage Fees: Aged Inventory Rules for 2027

Amazon’s long-term storage fee is changing again. Today it’s the Aged Inventory Surcharge, which starts at 181 days and bills monthly.

On February 1, 2027, Amazon removes that surcharge. Aged stock moves into one age-based monthly storage rate. Stock that turns in under six months pays flat or lower fees, and older stock pays more.

This guide covers both rules and how to keep inventory from aging into them.

Amazon’s long-term storage fees (LTSF)

FBA stores your products so you can sell them fast. When inventory sits too long, Amazon adds the Aged Inventory Surcharge on top of your normal storage fee. It starts once a unit passes 181 days in a fulfillment center. Amazon charges it monthly, based on a snapshot taken on the 15th of each month.

The rate steps up the longer stock sits. Amazon bills the greater of a per-unit rate or a per-cubic-foot rate. It also uses first-in, first-out to age your inventory. Selling or removing a unit clears the oldest stock on record first. The fix is simple: clear slow movers before they cross 181 days.

From February 1, 2027, there’s no separate surcharge line. Age is priced into the monthly storage rate itself.

Long-term storage fees calculation (LTSF)

Follow the below steps to calculate the LTSF

Step 1: Calculate your Inventory Volume

To determine the total volume of your inventory in cubic feet, a straightforward calculation can be employed. 

For each unit, multiply the length, width, and height of the item. 

To determine the total cubic footage of your entire inventory, add up the volume of each unit.

Step 2: Know your Inventory Age

To access information regarding the age of your stored items within Amazon fulfillment centers, navigate to your Seller Central account. 

Within the “Inventory“ tab, locate and select the “Inventory Age” option. This will display a comprehensive report detailing the length of time each item has been stored.

Step 3: Pinpoint Surcharged Inventory

To reduce the impact of surcharges for aged inventory, sellers must implement effective strategies for products that have been in Amazon’s fulfillment centers for over 181 days. 

These strategies may involve liquidation, price reductions, or promotional campaigns to boost sales of the affected inventory.

Proactively addressing slow-moving stock will help sellers minimize storage fees and sustain a healthy profit margin.

If you want to learn how to effectively liquidate your aging inventory and turn it into profitable sales, check out our Amazon Warehouse Deals Guide.

Step 4: Long-term fee calculation

Amazon calculates the surcharge from your inventory’s cubic footage times the rate for its age tier. It bills the greater of that per-cubic-foot amount or a per-unit rate. The surcharge applies to any inventory stored 181 days or more, and the rate rises at each age tier.

What changed in 2026

Amazon added higher tiers for the oldest inventory. Stock aged 12 to 15 months moved to a higher minimum rate. A new tier now applies at 15 months and beyond. These are the steepest surcharges in the structure, so dead stock is more expensive to hold than in prior years.

The lower tiers (181 to 365 days) carry their own per-cubic-foot rates that Amazon adjusts periodically. Pull the current rate for each age band from Seller Central under Inventory, then FBA Inventory, then the Aged Inventory tab.

What changes on February 1, 2027

Amazon removes the aged inventory surcharge and combines it with monthly storage into one age-based rate. Stock that turns in under six months pays flat or lower fees. Aged stock pays more. Check the new rates in Seller Central before you plan Q1 inventory.

For example, if your inventory occupies 1,000 cubic feet and the current long-term storage fee is $6.90 per cubic foot, you would face a monthly charge of $6,900. It’s important to note that long-term storage fees are in addition to the standard monthly storage fees imposed by Amazon. You can review a complete breakdown of these standard charges in our Amazon FBA fees guide to plan your pricing strategy effectively.

To protect your bottom line, it’s crucial to consistently monitor and manage your inventory levels to avoid accumulating excessive long-term storage fees.

Step 5: Track your stock closely

Additionally, implementing a robust inventory management system is essential. Reviewing your stock levels regularly helps you make proactive decisions, so you can avoid extra costs for holding old inventory and the financial burden of having too many items in stock.

Here are the 8 best ways to optimize your long term storage fees on Amazon 

1. Plan your Inventory Smartly

The key to avoiding long-term storage fees is starting smart with your inventory levels. Don’t order a ton of products upfront! Track your stock regularly and use Amazon’s tools like the IPI (Inventory Performance Index) to see what’s selling well and what’s not. 

This way, you can adjust your ordering to adjust orders before stock sits past six months. Today’s surcharge starts at 181 days. From February 2027, stock older than six months also pays a higher age-based rate.

By keeping a close eye on your inventory and ordering strategically, you can keep those fees at bay and maximize your profits on Amazon.

2. Use the Recommended Removal Report

Another weapon in your arsenal against long-term storage fees is Amazon’s Recommended Removal Report. This report identifies products nearing the fee threshold based on factors like inventory levels and sales history.  

You can view this report by following a few simple steps: 

• Go to Seller Central Reports  
• Click on Fulfillment
• Click on Inventory
• Recommended Removals is displayed

By regularly reviewing this report, you can take proactive steps to remove slow-moving items before incurring storage charges. These options include removing the inventory for storage elsewhere or disposing of it altogether if it’s no longer sellable. 

Utilizing this report allows you to make informed decisions and potentially save money on storage fees.

3. Dig deep: Analyze Unsold Products and its reasons

Know the reasons behind slow-moving inventory! 

Analyzing unsold products allows you to address the root cause and boost sales velocity. This proactive approach can significantly reduce your risk of incurring long-term storage fees.

Investigating the root causes behind sluggish product sales is crucial to mitigating long-term storage fees. 

Here are some key areas for examination:

• Pricing Strategy

 Are your products competitively priced compared to similar offerings? Overinflated prices can deter potential buyers. Consider price adjustments to align with the market.

• Customer Reviews

Negative reviews can significantly hinder your sales momentum. Regularly monitor customer reviews and address any concerns raised to rebuild trust and encourage purchases.

• Product Listing Optimization

Are your product listings optimized for discoverability? Utilize relevant keywords, high-quality images, and detailed descriptions to ensure your products stand out in search results. Working with an Amazon listing optimization agency can help you implement these best practices strategically and stay ahead of the competition.

• Seasonal Fluctuations

Certain products may experience seasonal sales variations. Adjust your inventory levels accordingly to avoid overstocking during periods of lower demand.

• Competitive Landscape

Is there excessive competition for your specific products? Consider diversifying your offerings or targeting niches with less competition to increase your chances of success.

By proactively addressing these potential roadblocks, you can significantly enhance your sales velocity and minimize the risk of incurring long-term storage fees.  Furthermore, consistent monitoring of your sales performance allows for early identification of slow-moving inventory, enabling you to take timely action and avoid storage fee accrual.

Suggested Read: What is Days Inventory Outstanding(DIO)? All you need to know

4. Lower your prices

Consider implementing strategic price adjustments to combat the threat of long-term storage fees. 

Offering enticing discounts or lowering your price points can act as a powerful sales catalyst. This approach can incentivize customers to choose your products, ultimately propelling your sales velocity and mitigating the risk of storage fee accrual. 

Remember, competitive pricing is key in today’s dynamic marketplace. By offering attractive pricing structures, you can significantly enhance your product’s appeal and ensure it doesn’t languish on warehouse shelves.

5. Consider Amazon Outlet Sales for aging Inventory

Amazon Outlet presents a valuable avenue for offloading aging inventory and mitigating long-term storage fees. 

Here’s how to leverage this feature effectively:

• Pinpoint Seasoned Stock

Utilize Amazon’s Inventory Age report to identify products nearing the long-term storage threshold.

• Discounted Listings

Create listings for these products at reduced prices and leverage the dedicated Amazon Outlet section for increased exposure.

• Targeted Marketing (if profitable)

Consider employing Amazon’s marketing tools like sponsored product and display ads, or deals, to promote your discounted listings and reach a wider audience. However, ensure that the profit margin remains favorable after factoring in advertising costs.

• Performance Monitoring

Regularly monitor the performance of your outlet listings to gauge their effectiveness in generating sales and clearing out stagnant inventory.

By strategically utilizing Amazon Outlet, you can effectively clear out aging inventory, minimize long-term storage fees, and optimize your overall inventory management on the platform.

6. Boost Sales: Using Ads and Promotions

Building upon the concept of strategic pricing, consider implementing targeted promotions and advertising campaigns to further incentivize customer purchases of slow-moving inventory. 

Sponsored product ads or limited-time discounts can prove to be effective tools in this regard. While the sale price itself may be lower than your initial profit margin, the increased sales velocity can ultimately generate greater overall profit compared to incurring long-term storage fees. 

Explore various advertising options offered by Amazon, such as sponsored product or sponsored brand ads, to strategically target potential customers and revitalize sales for stagnant inventory.

7. Restock Timing: Plan Your Shipment

Sellers can employ a strategic approach to inventory restocking to minimize long-term storage fees. 

Amazon now assesses aged inventory monthly, on the 15th, so there is no twice-a-year deadline to plan around. Focus on sell-through instead. Keep each unit’s age under 181 days, and remove or liquidate anything that will not sell before it crosses that line. From February 1, 2027, age feeds straight into the monthly storage rate. The goal stays the same: sell or move stock before six months.

This approach effectively reduces the risk of incurring long-term storage fees and optimizes your utilization of Amazon’s warehouse space.

8. Go for Automatic Removals

To streamline the process and free yourself from the burden of constant monitoring, Amazon offers automated removal settings for non-selling inventory. These settings empower you to configure automatic removal of all items susceptible to long-term storage fees, or you can choose to target specific price ranges for removal. 

Automatic removals handle this for you, so you do not need to track each unit’s age by hand before the monthly assessment on the 15th.

This automation not only saves your valuable time but also ensures compliance with Amazon’s storage policies, ultimately safeguarding you from unnecessary fees and streamlining your overall inventory management experience.

DID YOU KNOW?

Amazon ages your inventory on a first-in, first-out basis across the whole network. When a unit sells or gets removed, Amazon clears the oldest stock on record first. You cannot reset an item’s age by sending in fresh units.

Amazon no longer runs a twice-a-year cleanup. It takes an inventory snapshot on the 15th of every month. Any unit past 181 days on that date gets the Aged Inventory Surcharge, on top of regular storage.

From February 1, 2027, that surcharge becomes part of one age-based storage rate.

Final Words

Until January 31, 2027, aged units pay a surcharge from day 181. From February 1, age sets the storage rate itself. Pull your Inventory Age report now and clear anything near six months.

Frequently Asked Questions