Back in 2023 Amazon switched from weekly/quarterly limits to a single monthly FBA capacity limit. You now see next month’s limit in the third full week of the current month, plus two months of estimates for planning. You can also request more space with Capacity Manager (reservation-fee model with performance credits), and capacity is measured in cubic feet. Sell on Amazon

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🧭 Quick glossary (what changed and what didn’t)

• Monthly capacity limit (by storage type): a single, month-long limit replaces the old restock + storage limits. Measured in cubic feet; Amazon also shows an estimated unit equivalent.
• Capacity timing: next month’s limit appears in week 3; Amazon also shows two months of estimates. IPI, demand forecasts, lead times, and FC capacity influence limits.
• Capacity Manager: request extra space by setting a reservation fee per cubic foot; performance credits earned from the sales generated with that additional capacity can offset up to 100% of the fee.
• Overage fees: charged if your usage exceeds the limit; calculated by days over and uses the highest limit (estimated or confirmed) for the month. Amazon Seller Central
• Individual plan cap: Individual accounts have a fixed 15 cu ft limit that can’t be raised; upgrading to the Professional plan is required to participate fully in capacity tools. Amazon Seller Central

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🧩 What actually drives your limit (levers you can pull)

• 📈 Inventory Performance Index (IPI): the efficiency score Amazon considers when forecasting space. Higher IPI generally supports more capacity.
• 📦 Sell-through & lead time: Amazon’s forecast and your replenishment profile matter (fast movers with stable lead times are easier to support).
• 🏭 FC network capacity: macro constraints still apply (why estimates can move up or down).

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🛠️ Step-by-step: your monthly capacity routine

1) 🗓️ Week-3 “capacity check”

• Open Capacity Monitor to read: confirmed limit for next month + two months of estimates. Plan inbound POs/shipments against cubic feet, not just units.

2) 🧮 Convert to cubic feet (fast)

• Rule of thumb:
  cubic feet per unit = (L × W × H in inches) ÷ 1728
  Then: needed cu ft = units you plan × cu ft per unit.
  (Amazon measures limits/usage in cubic feet; use their unit estimate as a cross-check.)

3) 🚀 Decide whether to request more (Capacity Manager)

• If the plan > limit, open Capacity Manager, set a reservation fee ($/cu ft) you’re willing to bid. Allocations are granted starting from the highest fee until the available extra capacity is allocated. Performance credits from the sales you make with this extra space can offset up to 100% of that fee.
• Note: only FBA sales count toward performance credits. Amazon Seller Central

4) 🧯 Avoid overage fees

• If your usage exceeds the month’s limit, you accrue overage fees based on days over and using the highest limit (estimated or confirmed) in the month. Keep an eye on the Capacity Monitor and throttle inbound/removals accordingly.

5) 🧰 Use AWD as an overflow buffer

• Put bulk into Amazon Warehousing & Distribution (AWD), then replenish into FBA as capacity allows—AWD shows real-time status and supports creating replenishments to the Amazon network. Sell on Amazon

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🧪 Worked examples (numbers you can copy)

Example A — “Do I need to request more?”

• Item: 10″ × 8″ × 6″ (ship-ready) → per-unit cu ft = 480 ÷ 1728 ≈ 0.28 cu ft
• Next month plan: 4,000 units → 1,120 cu ft
• Limit (standard-size): 900 cu ft (from Capacity Monitor) → short by 220 cu ft
  Decision: Open Capacity Manager and request +220 cu ft. If granted, performance credits from FBA sales made using that extra space can offset the reservation fee—your goal is to sell through so the net fee ≈ $0.

Example B — “Will I trigger overage fees?”

• Current usage forecast: 1,050 cu ft vs 1,000 cu ft limit → over by 50 cu ft
• Overage fees are based on days over and the highest limit (estimated or confirmed) in the month, so you either:
  1. Remove/transfer ~50 cu ft worth of the slowest SKUs before month-end, or
  2. Request +50 cu ft via Capacity Manager (aim for credits to offset the fee).

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🧱 FAQ (fast)

• “Can Individual plan sellers increase capacity?”
  No—Individual accounts have a fixed 15 cu ft limit that can’t be increased.
• “When exactly are limits posted?”
  Third full week each month for the upcoming month; you’ll also see two months of estimates.
• “Do the reservation fees always cost me money?”
  Not if you sell—the performance credits from sales using your extra capacity can offset up to 100% of the fee.
• “What if I just keep sending stock and go over?”
  You can incur overage fees based on days over and the highest limit (estimated or confirmed) that month.
• “What’s AWD’s role here?”
  AWD lets you store bulk more cheaply and replenish into FBA when capacity allows, with visibility in AWD Inventory.

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Sources

• Amazon announcement: Monthly capacity limits, week-3 posting, capacity measured in cu ft, Capacity Manager + performance credits, IPI influence. Sell on Amazon
• Seller Central help: FBA capacity limits (Individual plan 15 cu ft cap). Amazon Seller Central
• Seller Central help: Capacity Manager (request, performance credits limited to FBA sales). Amazon Seller Central
• Seller Central help: Overage fees (days over; highest estimated/confirmed limit applies). Amazon Seller Central
• Amazon pages: AWD overview & AWD inventory (bulk storage → replenish FBA, real-time status). Sell on Amazon