Phytoplankton is at the base of the marine food web and plays a fundamental role in the global carbon cycle. Ongoing climate change significantly impacts phytoplankton distribution in the ocean. Monitoring phytoplankton is crucial for a full understanding of changes in the marine ecosystem. To observe phytoplankton from space, chlorophyll-a concentration (Chl) has been widely used as a proxy of algal biomass, although it can be impacted by physiology. Therefore, there has been an increasing focus towards estimating phytoplankton biomass in units of carbon (C_phyto). Here, we developed an algorithm to quantify C_phyto from space-based observations that accounts for the spatio-temporal variations of the backscattering coefficient associated with the fraction of detrital particles that do not covary with Chl. The main findings are: (i) a spatial and temporal variation of the detritus component must be accounted for in the C_phyto algorithm; (ii) the refined C_phyto algorithm performs better (relative bias of 23.7%) than any previously existing model; and (iii) our algorithm shows the lowest error in C_phyto across areas where picophytoplankton dominates (relative bias of 14%). In other areas, it is currently not possible to accurately assess the performance of the refined algorithm due to the paucity of in situ carbon data associated with nano- and micro-phytoplankton size classes.