Amazon charges monthly storage fees on all inventory. But the real pain comes fr
By Anthony Nguyen 🟢 · June 4, 2026 · Curated by George's Blog
Amazon charges monthly storage fees on all inventory. But the real pain comes from long-term storage fees at two tiers:
- 271 to 365 days: surcharge kicks in
- 365+ days: significantly higher surcharge
These fees stack on top of regular monthly storage. A slow-moving oversized item sitting for 13 months can cost more in storage than you'd make selling it. I've seen it. It's ugly.
Per-SKU action recommendations based on age and velocity:
Hold, Under 180 days, steady velocity. No action needed.
Promote, 180-270 days, slowing velocity. Run a coupon, increase ad spend, create a Lightning Deal. Move units before the first surcharge tier hits.
Liquidate, 271-365 days, low velocity. Amazon's liquidation program returns $0.05-0.10 on the dollar. That stings. But it's better than paying storage fees on dead inventory.
Remove, 365+ days, near-zero velocity. Pay the removal fee and get units back, donate them, or dispose. Every month you wait costs more than acting now. This is math, not emotion.
The Inventory Age report in Seller Central has this data. Most sellers glance at it quarterly. Pull it monthly. Sort by units aged 180+ days. That's your action list.
Prevention beats cure. Accurate demand forecasting before your next PO saves you from this entire problem.
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