> For the complete documentation index, see [llms.txt](https://docs.bloomanalytics.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.bloomanalytics.io/cost-setting/return-cost.md).

# Return Cost

Configure return shipping and handling costs in Bloom so returned orders are factored into your true profit calculations.

### What is Return Cost?

The Return Cost tab in Bloom lets you configure how much return-related expense to include in your cost calculations. It covers two categories, Return Shipping Cost and Return Handling Cost. Once both are set and you recalculate, Bloom factors these costs into your profit numbers.

### How it Works

Return costs are split into two independently configured categories. For each, you pick how the cost is calculated, save the selection, then recalculate to apply the values across your data.

**Return Shipping Cost**

This defines how much you, as the store, cover for shipping when a product is returned.

<figure><img src="https://749049708-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F9Cj862knfGNqzzPFauD6%2Fuploads%2Fe4UCbaO8VmhSpDbSeGBt%2Fimage.png?alt=media&amp;token=d8ab20bb-dabc-443b-b4fe-8783fe4dc584" alt="Return Shipping Cost in Bloom"><figcaption></figcaption></figure>

| Option                         | How it calculates                                                                        |
| ------------------------------ | ---------------------------------------------------------------------------------------- |
| Fixed rate per return          | A flat amount you pay for each returned order.                                           |
| Percentage of order value      | Bloom calculates the return shipping cost as a percentage of the order's value.          |
| Same as outbound shipping cost | Return shipping matches whatever the customer paid for outbound shipping.                |
| None                           | No return shipping cost is tracked. Select this if you do not cover any return shipping. |

**Return Handling Cost**

This defines how much you spend on processing returned items, for example inspection, repackaging, and labor.

<figure><img src="https://749049708-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F9Cj862knfGNqzzPFauD6%2Fuploads%2FWWvw9nT4N35bhKsOBLZz%2Fimage.png?alt=media&amp;token=02c02d62-d909-4645-8c4e-dffb2c66aac1" alt="Return Handling Cost in Bloom"><figcaption></figcaption></figure>

| Option                          | How it calculates                                                                                          |
| ------------------------------- | ---------------------------------------------------------------------------------------------------------- |
| Handling cost per returned item | A fixed cost for each item that gets returned.                                                             |
| Same as outbound handling cost  | Uses the same handling cost configured in the Order Handling section.                                      |
| None                            | No handling cost is tracked for returns. Select this if you do not incur or want to track return handling. |

### How to Use it

1\. Open the Return Cost tab in Bloom.

2\. Under Return Shipping Cost, select one option (Fixed rate per return, Percentage of order value, Same as outbound shipping cost, or None). Enter the required value if the option needs one, then click Save.

<figure><img src="https://749049708-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F9Cj862knfGNqzzPFauD6%2Fuploads%2FMU8mfwY8HLScnoHznMNA%2Fimage.png?alt=media&amp;token=25fbd686-7aeb-4051-acdc-c8f82cdd9215" alt="Return Cost in Bloom"><figcaption></figcaption></figure>

3\. Under Return Handling Cost, select one option (Handling cost per returned item, Same as outbound handling cost, or None). Enter the required value if the option needs one, then click Save.

4\. Click the “Recalculate Past Order Also” button to apply the new settings to your data.

<figure><img src="https://749049708-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F9Cj862knfGNqzzPFauD6%2Fuploads%2FtFwsG78GMeJTm2tVSZ2d%2Fimage.png?alt=media&amp;token=8e45b4de-4b92-4234-a193-95cbd6f0a2bf" alt="Return Cost in Bloom"><figcaption></figcaption></figure>

\ <br>
