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My Royalty Revelations: Amazon KDP Earnings Exposed

  • Writer: Tomasz Dylik
    Tomasz Dylik
  • Mar 30, 2025
  • 10 min read

Updated: Apr 5, 2025

AMAZON KDP ROYALTIES

Join me as I reveal my Amazon KDP royalties secrets and tips to boost your earnings like a pro!

Blue and black abstract background with bold text "royaties" featuring an orange smile logo. Words "royalties" and "KDP" appear below.

Understanding Amazon KDP Royalties

Royalty Rates Basics

When I jumped into self-publishing with Amazon KDP, decoding Amazon KDP royalties was at the top of my list. It's pretty basic but super important for figuring out how much I might earn. KDP gives us two main royalty deals: 35% and 70%. Which one I get hits a lot on my eBook’s price and if I decide to keep my book only on Amazon with KDP Select.

Here’s the rundown on those royalty rates:

Price Range

Royalty Rate

Notes

$0.99 - $2.98

35%

No strings attached.

$2.99 - $9.99

70%

Watch out for delivery costs & taxes.

$10.00 and above

35%

No extra treats.

If I want that sweet 70% cut, I gotta price my book between $2.99 and $9.99—a range many authors swear by for good money. But hey, if I go for Free Book Promotions via KDP Select, I should know there’ll be no royalties rolling in during those promo times (Amazon KDP Help).


Factors Influencing Royalties

Some things will mess with the royalties I get from my eBook. Thinking about these can tell me how much moolah I might actually see.

  1. List Price: The price tag on my book decides my royalty payout.

  2. Delivery Costs: At the 70% rate, Amazon knocks off delivery costs based on my book's size. Bigger book? Less cash.

  3. Applicable VAT: Taxes can slice into my pie. If my book sells somewhere with VAT, that’s coming off my earnings, too.


Here’s a little table magic to show how these add up in my pocket:

Selling Price

Royalty Rate

Delivery Cost

VAT Deduction

Final Earnings

$3.99

70%

$0.15

$0.30

$2.54

$5.99

70%

$0.20

$0.44

$4.15

$10.00

35%

N/A

N/A

$3.50

So, to rake in the dough, I gotta keep an eye on these bits and bob. It also helps me set smart prices for my books. For more goodies on self-publishing, check out how to publish on Amazon KDP and amazon KDP self-publishing. These will give me tips to cruise through eBook publishing with ease.


Calculating Your Earnings

Knowing how much money I can make from my Amazon KDP royalties is super important for beefing up those profits. A bunch of things matter when figuring out what I get for the books I roll out.


Pricing Strategy

Getting the price of my eBook just right is a game-changer. If I price it between $2.99 and $9.99, I can pocket a sweet 70% royalty, but that’s after taking delivery charges and VAT out of the mix. Anything not in this sweet spot, and I'm looking at 35% royalty instead. Here's a quick snapshot of what those numbers look like:

Price Range

Royalty Rate

Dough with 70% Royalty

Dough with 35% Royalty

$2.99 - $9.99

70%

$2.09 - $6.99

N/A

Outside $2.99 - $9.99

35%

N/A

$0.99 - $3.49

Sticking my price in that $2.99 to $9.99 lane is definitely the way to get the most cash flowing in.


Delivery Costs Impact

Delivery costs are another biggie when it comes to calculating my earnings. These fees are tied to how hefty my eBook file is—the bigger it is, the more I pay. Typically, it’s around $0.15 per MB. Say my book file is 3 MB, I’d be shaved off $0.45 from my cut.

Take a book priced at $2.99, for instance. Here's how I'd figure out what I actually get to keep:

  1. List Price: $2.99

  2. Delivery Cost: $0.45 (for a chunky 3 MB file)

  3. VAT (Let's say it's 20% for where it applies): $0.50

  4. Royalty Calculation:

  5. Earnings = (Price - Delivery Cost - VAT) x Royalty Rate

  6. Earnings = ($2.99 - $0.45 - $0.50) x 0.70 = $1.54

Not forgetting about delivery costs is a must for seeing the bigger picture of my earnings.


Applicable VAT Consideration

VAT - a sneaky little thing that paddles into my eBook pricing and take-home pay. I figure out the VAT by multiplying the price of my book with the VAT fraction. Like if the VAT rate's at 20%, here's the lowdown on the fraction:

  • VAT Fraction: VAT Rate / (VAT Rate + When Added) = 20 / (20 + 100) = 0.1667

Popping this fraction into my math clarifies how much tax is nudging into my earnings. So, for a $2.99 price tag, the VAT would land around $0.50.

In short, here's what the VAT number means:

VAT Rate

VAT Fraction

Would-be VAT on $2.99

20%

0.1667

$0.50

Getting a grip on VAT does wonders for knowing how much chump change I see per sale while keeping everything totally legit with my pricing moves.

Tuning into my pricing blueprint, the delivery fees, and how VAT sneaks in helps map out my potential Amazon KDP royalties. Each insight pushes me further in my epic self-publishing journey. If you're curious about diving deeper, check out amazon kdp self-publishing.


Making the Most of Amazon KDP Royalties

Exploring Amazon KDP royalties has been an epic journey for me. Cracking the code behind the different royalty rates and options can really make a difference to my earnings. Here's what I've figured out about squeezing the most out of Amazon KDP.


70% vs. 35% Royalty Rates

The royalty structure in Amazon KDP is like choosing between two pies: a bigger slice or a smaller one. Authors can pick between 70% and 35% royalty plans. Here's the scoop:

  • 70% Royalty Rate: This juicy slice is mine if my eBook is priced between $2.99 and $9.99. But Amazon keeps a piece for delivery costs and VAT. It's a sweet deal if my ebook's price fits comfortably in there and the delivery doesn't eat much into it.

  • 35% Royalty Rate: For books outside the golden $2.99 to $9.99 zone, this smaller slice is the way to go. It might suit higher-priced stuff, though it won’t fill my pocket the way 70% would.

Price Range

Royalty Rate

Note

$2.99 - $9.99

70%

Delivery costs and VAT take a cut

Below $2.99

35%

Standard fare for cheaper reads

Above $9.99

35%

Rate for those big-ticket eBooks

Knowing these ins and outs is key for my pricing strategy. If you're curious about more self-publishing secrets, check out my piece on amazon kdp self-publishing.


KDP Select Perks

Jumping on the KDP Select bandwagon was a big win for me. Despite only listing on Amazon, the upsides trump the limits. KDP Select lets me snag 70% royalties and sprinkles in extras like Kindle Unlimited (KU).

KDP Select goodies include:

  • Promotional Pricing: I can dish out limited-time discounts that hike up visibility and sales.

  • Increased Visibility: A spot in Amazon’s lineup boosts my chances of grabbing readers’ attention.

  • Earnings from Kindle Unlimited: Folks in KU can borrow my eBooks, and I earn a chunk per page read.

To get an idea about the dough rolling in from KDP Select, authors raked in $55.3 million in February 2025 (Amazon KDP).


Territories and Royalty Rates

Choosing where my eBooks go can tip the scales on my royalties too. Amazon’s global, but royalty rates shuffle with regional rules. Usually, territories dish out 70% for books priced right. But keep an eye on VAT rates—they play with earnings.

For example:

Territory

Royalty Rate

VAT Considerations

United States

70%

Standard sales tax

Europe

70%

Depends on the country; VAT slaps on top

Other Regions

35%

Often the smaller slice

Getting to know the ins and outs of each region helps me strategize where to market my books.

By getting a handle on royalty rates, dipping into KDP Select perks, and tapping into regional pricing games, I'm boosting my cash flow on Amazon KDP. For more on this publishing ride, swing by my guide on how to publish on amazon kdp or explore amazon kdp print-on-demand options.


Self-Publishing Income Insights

Jumping into the whole Amazon KDP royalties thing has been a real eye-opener! I'm getting a pretty good grip on what my self-published books can rake in. So, lemme give you the lowdown on what I’ve learned about potential earnings, when to expect those precious dollars to hit my account, and some cash matters to keep in mind.


Earnings Examples

When I kicked things off with Amazon KDP, it was all about the Benjamins — or at least trying to figure out how many I could get. Here's a quick peek at what some real earnings look like, based on the usual book prices:

Book Type

Price

Royalty Slice

Cash in Your Pocket

eBook (e.g., "Little Birds")

$2.99

70%

$2.04

eBook (at $5.99)

$5.99

70%

$3.50

Paperback (e.g., "Little Birds")

$5.95

60%

$1.42

These aren't just fairytales — they're numbers grounded in the real-world hustle of self-published authors (Self-Publishing School). It's kinda wild to see how a price tag can change everything for your wallet.


Monthly Payouts

Getting to know the when and how of payday from Amazon KDP is crucial. They usually cut the check monthly, but the exact timing grooves to the sales cycle. Like, in February 2025, total KDP Select Author Earnings rocketed to $55.3 million — not too shabby for a bunch of indie writers (Amazon KDP).

Typically, my bank balance gets a boost about 60 days after a sale month wraps up. They gotta account for returns and stuff before handing over the loot. It's smart to keep this timing in mind, especially if you’re setting financial targets or planning to plow back into more self-published goodies.


Financial Considerations

Living that solo business life means watching every penny. Here's a few tips I've picked up on what matters for the bottom line:

  • Book Pricing: Playing around with the price tag can definitely change your sales game and what you take home after Amazon's cut. Go low, and you might sell more, but pocket less per book.

  • Sales Channels: KDP Select has its own set of trick rules, like offering your book free (which can crank sales but won't make you a dime). Get a grip on these rules to use promotions without getting burned (Amazon KDP).

  • Production Costs: If you’re in the print game, every print on demand has a price, and that’s coming out of your royalties. Figure this into your pricing plan and profit calculations.


All these cogs in the machine help me suss out what kind of cash flow I can count on from my self-pub adventure. If you’re thirsty for more golden nuggets of wisdom, dive into how to publish on Amazon KDP, and get comfy with amazon kdp formatting guidelines to make sure your book’s geared for glory.


Kindle Unlimited and Royalties

Jumping into Amazon KDP, I've uncovered the tantalizing world of Kindle Unlimited (KU) as a nifty way to rake in the royalties. Buckle up as I break down the KU royalty setup, unpack Kindle Edition Normalized Page Count (KENPC), and dish out some key marketing tips to make the most of it.


KU Royalty Structure

Enrolling my eBooks in Kindle Unlimited means I get paid per page read—yep, it's not about the whole book. Each of my titles can rake in a cool 3,000 KENPC read per customer. My pennies are then calculated by comparing my total shared pages to all the others in KU land for that month.

KDP Select Global Fund

Whatcha Need to Know

Max Pages Read

3,000 pages per title per customer

How I Get Paid

My share of total pages read

Monthly Check-In

They tweak the fund to keep authors like me signing up

Kindle Unlimited is the big cheese for drawing in readers while backing authors who throw their eBooks into the KDP Select pot. Curious about self-publishing? Check out amazon kdp self-publishing.


KENPC Explained

KENPC? Sounds fancy, huh? It's the brainy metric that tells me how many pages readers soak up in my eBook. It figures out the count from the Start Reading Location (SRL) to the very end, snapping up all those non-text goodies like images.

Amazon does the math on KENPC with standard settings to keep it fair across books, gadgets, and gizmo settings. I'm privy to my KENPC numbers on the Promote and Advertise page in my Bookshelf, helping me eyeball how my book's kicking.

Quick heads-up: KENPC v3.0 might not match up with the page counts listed on Amazon's product page. Need some formatting pointers? Hit up the amazon kdp formatting guidelines.


Marketing Guidelines

While pushing my eBook, I gotta play by the rules to stay cool with KU. That means no dangling rewards in front of KU readers to get them flipping through my pages—not money, gift cards, contests, discounts, nada. Amazon's on the lookout for folks gaming the Kindle system, so I gotta keep my promo game squeaky clean.

Getting a grip on the KU mechanics, KENPC, and the dos and don'ts of marketing is the ticket to maxing out my Amazon KDP moolah. This savvy approach builds my readership while keeping me on the straight and narrow with platform policies, making my publishing ride a breeze. For those mulling over how to throw their hat into the self-publishing ring, resources like how to publish on amazon kdp can be a real game-changer.


Ensuring Royalty Eligibility

To squeeze the most coin outta my Amazon KDP ventures, I’ve gotta tick every box for raking in those royalties. This means getting cozy with pricing rules, guarding my copyright like it’s Fort Knox, and keeping an eye on those sneaky delivery fees.


Pricing Requirements

Price-making can make or break my royalty cash flow on eBooks—it’s like playing chess, but with digits. Amazon’s offering a sweet 70% royalty cut if I set my eBooks between $2.99 and $9.99. Stray outside that zone? I’m stuck with a measly 35%. So, setting the right price is like finding the golden ticket.

Price Tag

Royalty Cut

$2.99 - $9.99

70%

Below $2.99

35%

Above $9.99

35%

Getting a grip on these pricing rules helps me price my books just right to boost my payday (Amazon KDP).


Copyright Ownership

Another biggie for pocketing Amazon KDP royalties is nailing down full copyright ownership. I gotta be the pen-wielder or have all permissions squared away for everything in my book. Messing up here could get me booted off KDP and kiss those royalties goodbye.

Making sure my stuff’s original or I’ve got the proper rights means I can publish worry-free. This is serious stuff for anyone diving into amazon kdp self-publishing.


Delivery Fee Insights

Throwing eBooks on Amazon KDP? Delivery fees can nibble away at my earnings. They depend on the eBook file size, chopped off my royalties like those pesky hidden costs. Say I price my book at $4.99, with a delivery toll of $0.15, here’s what my royalty math looks like:

  1. What I charge: $4.99

  2. Royalty Cut: 70% → $4.99 x 0.70 = $3.49

  3. Delivery Bite: -$0.15

  4. Royalty Leftover: $3.49 - $0.15 = $3.34


So, delivery fees ain’t just a side note; they make a dent in my earnings. Knowing how this fee game works helps me outwit these charges and plan my pricing and content moves. For more on the KDP gig, take a look at how to publish on amazon kdp and amazon kdp formatting guidelines.

 
 
 

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