How Much Royalty Do I Get on KDP?

 Royalties are a key part of earning income as an independent author on Kindle Direct Publishing (KDP). Whether you're publishing an eBook, paperback, or hardcover, understanding how royalties work on KDP helps you set realistic income goals and price your book strategically. Amazon pays authors a percentage of the book’s list price after subtracting any applicable delivery or printing costs.

In this article, we will explore how royalties work for all book formats on KDP, including eBooks, paperbacks, and hardcovers. We will also break down the differences between the 35% and 70% royalty rates for eBooks, explain how printing costs affect your income for paperbacks and hardcovers, and outline how programs like Kindle Unlimited affect your royalties. Everything you need to know to calculate and understand your KDP earnings is included in this guide.

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Royalties on Kindle eBooks

When you publish an eBook on KDP, you can choose between two royalty plans: 35% or 70%. These rates apply to the book’s list price, but there are important conditions that determine which rate you qualify for.

The 70% Royalty Option

The 70% royalty rate is only available under specific conditions:

• Your eBook must be priced between $2.99 and $9.99 (or equivalent in other currencies).

• The book must be sold in specific countries, including the U.S., Canada, UK, Australia, India, and most European countries.

• The book must be enrolled in KDP Select or made available for sale in all eligible territories.

• A small delivery fee is deducted from each sale. This fee depends on the file size of your eBook. The current delivery cost is $0.15 per megabyte (MB) in the U.S. and varies by country.

For example, if your eBook is 2 MB and priced at $4.99:

• Royalty before delivery = 70% of $4.99 = $3.493

• Delivery cost = 2 MB × $0.15 = $0.30

• Net royalty = $3.493 - $0.30 = $3.193 per sale

The 35% Royalty Option

You automatically fall under the 35% royalty plan if:

• Your eBook is priced below $2.99 or above $9.99.

• Your eBook is sold in countries that do not support the 70% option.

• You opt out of the 70% option manually.

For example, if your eBook is priced at $1.99 and sold in a country that only qualifies for the 35% royalty:

• Royalty = 35% of $1.99 = $0.6965 per sale

• There are no delivery fees with the 35% option.

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Kindle Unlimited and KDP Select Royalties

If you enroll your eBook in KDP Select, it becomes available in Kindle Unlimited (KU) and the Kindle Owners’ Lending Library (KOLL). In these programs, readers don’t buy your book—they borrow it. You earn royalties based on how many pages are read, not the book’s list price.

Each month, Amazon sets aside a global fund (often over $40 million) to pay authors in KU. The payout rate per page read (known as KENP or Kindle Edition Normalized Pages) fluctuates monthly but generally ranges between $0.004 and $0.005 per page.

If your eBook has 300 KENP pages and a reader finishes the entire book:

• At $0.0045 per page, you earn: 300 × $0.0045 = $1.35 per read

This system allows authors to earn money even when their books are read through subscription-based services, and it encourages longer engagement with quality content.

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Royalties on KDP Paperbacks

For paperback books, Amazon uses a different model: you earn 60% of the book’s list price minus the printing cost. Printing costs vary based on page count, ink type (black and white or color), and trim size. You can estimate your printing cost using Amazon’s online calculator, but a typical 200-page black-and-white paperback in a 6" x 9" trim size may cost around $2.15 to print.

Example:

• List price = $12.99

• Royalty rate = 60%

• Printing cost = $2.15

• Royalty = (60% of $12.99) - $2.15 = $7.794 - $2.15 = $5.644 per sale

Expanded Distribution Royalties

If you opt into Expanded Distribution (which allows your paperback to be sold through third-party retailers), your royalty drops to 40% of the list price minus printing costs.

Using the same example as above:

• Royalty = (40% of $12.99) - $2.15 = $5.196 - $2.15 = $3.046 per sale

Expanded Distribution can help you reach bookstores, libraries, and academic institutions, but you’ll earn less per sale.

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Royalties on KDP Hardcovers

Amazon also offers hardcover publishing through KDP using case laminate binding (no dust jacket). The royalty structure is the same as paperbacks:

• You earn 60% of list price minus printing costs.

• Expanded Distribution is not currently available for hardcover books.

Printing costs for hardcovers are higher due to materials and production. A 200-page black-and-white hardcover may cost around $6.00–$8.00 to print depending on specifications.

Example:

• List price = $24.99

• Royalty = (60% of $24.99) - $7.50 printing = $14.994 - $7.50 = $7.494 per sale

Because of the higher production costs, authors often price hardcover books significantly higher than paperbacks to maintain healthy profit margins.

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Important Royalty Considerations

1. Minimum and Maximum List Prices

Amazon requires your book’s list price to fall within specific limits based on format and royalty option. These limits ensure your book is eligible for your chosen royalty rate. For example, to earn 70% on an eBook, it must be between $2.99 and $9.99.

2. Currency Conversion

Royalties are calculated in the marketplace’s currency. If you publish in the U.S. but sell a book in the UK, your royalty is first calculated in GBP and then converted into your selected payment currency.

3. File Size and Delivery Fees

For eBooks earning 70%, the file size directly affects your royalty. Image-heavy books, illustrated children’s books, or textbooks with complex layouts will have higher delivery fees, reducing earnings.

4. Book Returns

Customers can return eBooks under certain conditions (such as if they read only a small portion of it), and if they do, royalties are deducted from your account. Return rates are usually low but can impact your monthly earnings.

5. Royalty Payment Schedule

Amazon pays KDP royalties approximately 60 days after the end of the month in which the sale occurs. You can receive payments via direct deposit, wire transfer, or check (depending on your country and settings). The minimum threshold for payment varies:

• $100 for checks

• $100 for wire

• $0.01 for direct deposit

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Strategies to Maximize Your Royalties

1. Choose the 70% royalty rate whenever possible. Price your eBook between $2.99 and $9.99 to qualify.

2. Keep your eBook file size small. Use compressed images to reduce delivery costs.

3. Enroll in KDP Select carefully. If you anticipate high engagement, KU pages read may add significant earnings.

4. Optimize your paperback pricing. Balance reader affordability with a healthy royalty by adjusting price and trim size.

5. Use Expanded Distribution selectively. Use it if your genre benefits from library or academic access, but be aware of lower margins.

6. Consider multiple formats. Offering an eBook, paperback, and hardcover increases your total market reach and earning potential.

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Conclusion

Royalties on KDP vary by book format, pricing strategy, delivery costs, and geographic market. For eBooks, authors can earn either 35% or 70% royalties based on eligibility criteria, with file delivery costs affecting the latter. For paperbacks and hardcovers, royalties are 60% of the list price minus printing costs, with a 40% rate applied to paperbacks in Expanded Distribution. Additional revenue opportunities include Kindle Unlimited and the KDP Select program, which pays based on pages read.

By understanding these systems and strategically pricing and formatting your book, you can increase your earnings and make informed decisions about your publishing journey. Whether you're a new writer or a seasoned indie author, mastering the royalty structure of KDP is one of the most important steps in turning your writing into a sustainable income.