Warrington Publishing Royalties Calculation

Maybe those numbers are in line with what you were thinking. Maybe not. So, let’s get a disclaimer out of the way - income from Amazon Kindle Direct Publishing (KDP) varies greatly among authors and publishers. Realistic earnings expectations are hard to define because there are countless variables involved, including the audience, marketing efforts and effectiveness, and quality of the story. For most authors, incomes range from a few dollars to over $10,000 per month for top-performers.

Here’s what you might expect:

• Low-tier: It’s not uncommon for new authors to make less than $300 a month. But it’s also not unheard of to make over $10k from one book.

• Mid-tier: Monthly earnings can range from $300 to $1,000+. This is usually when a series or multiple books have been published.

• High-tier : $10,000-$50,000 monthly range. This can be dependent on genre, stories, and marketing effectiveness.

Obviously, there's a pretty big difference between each of these intervals, but the mid- and high-tier earnings aren't as impossible or uncommon as they might seem. We'll introduce you to three AIA students of ours who are living proof in the next section.

How Often Does KDP Pay?

Every sixty (60) days, so long as Amazon’s minimum threshold is met. For example, January earnings will be paid at the end of March.

A Caveat: KDP Select

Kindle Direct Publishing offers an opportunity to enroll in a program called “KDP Select.” This is a promotion program offered to give publishers access to a wider audience that pays a monthly fee to read books enrolled in the Kindle Unlimited program and offer promotions to help market your book.

KDP Select has a 90-day enrollment period. One of the features is the Kindle Countdown Deal which allows authors to drop the price of their books for seven or less days while maintaining their 70% royalties.

The other main feature is Kindle Unlimited, a subscription service providing readers with an unlimited number of books that have signed up for the program. Publishers get paid through the KDP Select Global Fund based on the number of pages read. 

So what’s the catch? Exclusivity. While enrolled, authors and publishers cannot sell books on other platforms. When you consider Amazon’s 75% market share, that’s not a disastrous scenario. Many independent author make most of their revenue from this program because it’s low-risk to readers. Because the program is optional and the amount paid per page read changes monthly, the calculations were not included in the above scenarios. Authors can make a lot of money from Kindle Unlimited, especially if they qualify for the bonuses.