How Often Does Amazon Pay Sellers?

When you sell products on Amazon, understanding the payment schedule is crucial for managing your cash flow and planning your business activities. Amazon pays sellers on a bi-weekly basis, meaning that payments are typically made every two weeks. However, there are some important details and conditions to consider in this payment process.

Amazon's payment cycle for sellers operates on a set schedule that is based on a two-week period known as a “settlement period.” During this time, Amazon will process all sales and deduct any associated fees, such as referral fees, fulfillment fees, and other costs. After this period, the remaining funds are prepared for transfer to the seller's bank account.

Here is a step-by-step breakdown of how Amazon’s payment process works:

1. Sales and Deductions: Throughout the settlement period, you will make sales and Amazon will collect funds from buyers. Amazon will also deduct fees associated with selling on their platform during this time.

2. Settlement: At the end of the settlement period, Amazon calculates the net amount due to you, which is the total amount of sales minus fees, refunds, and any other adjustments.

3. Payment Processing: After the settlement period ends, Amazon processes the payment and schedules it for transfer. This typically happens within 7 days of the end of the settlement period.

4. Bank Transfer: The actual transfer of funds to your bank account usually occurs within 3-5 business days from the date of processing. This means you can expect to receive the payment within about 10-12 days after the end of the settlement period.

Key Points to Note:

• Initial Payments: New sellers may experience a delay in their first payment. Amazon holds funds for new accounts for a longer period to ensure that there are no issues with transactions or customer returns.

• Reserve Funds: Amazon may hold a portion of your funds in reserve to cover potential refunds or disputes. This is a precautionary measure and the reserved funds are typically released after a certain period.

• Currency and Fees: Payments are made in the currency of your marketplace. If you are selling in multiple regions, you might have payments processed in different currencies. Be aware of currency conversion fees if applicable.

Example Payment Schedule:

To illustrate, let’s assume you have sales every day and your settlement period ends on the 15th and 30th of each month. Here’s a simplified example of when you might see your payment:

• Settlement Period Ends: July 15
• Payment Processing: July 16-22
• Bank Transfer: July 23-27

For sellers who are accustomed to different payment schedules or those who need to manage their cash flow carefully, understanding Amazon’s payment timeline is essential. If you encounter any issues with payments or have questions about your account, contacting Amazon Seller Support can provide further assistance.

Overall, Amazon’s bi-weekly payment schedule helps sellers manage their finances and plan their operations effectively. By keeping track of your sales and understanding the payment process, you can ensure a smoother experience as you grow your business on the platform.