KDP Royalties Explained: How Amazon Pays Authors and How to Maximize Yours

Understanding how Amazon KDP pays royalties is essential for pricing your book intelligently and projecting what you'll actually earn from sales. KDP's royalty structure is more nuanced than a single percentage: it varies by price, market, file size, and whether you're enrolled in KDP Select. This guide breaks down every component.

Ebook royalty plans

KDP offers two royalty plans for Kindle ebooks:

Plan	Royalty rate	Eligible price range (US market)	Applicable markets
35% plan	35% of the list price	$0.99 to $200.00	All markets
70% plan	70% of the list price minus a delivery charge	$2.99 to $9.99	US, UK, Canada, Australia, and other listed markets

For most ebooks priced in the $2.99 to $9.99 range, the 70% plan pays significantly more per copy, even after the delivery charge is deducted.

The delivery charge on the 70% plan

The 70% royalty plan includes a per-book delivery charge, calculated based on your ebook's file size. Amazon charges $0.15 per megabyte (MB) of file size in the US market. For a typical text-only novel (usually under 1 MB), the delivery charge is very small, often just a few cents.

For a 300 KB (0.3 MB) text novel priced at $4.99 in the US:

• Royalty: 70% of $4.99 = $3.493
• Delivery charge: 0.3 MB × $0.15 = $0.045
• Net royalty: approximately $3.45 per sale

For a book with many high-resolution images, file sizes can be much larger, and delivery charges can meaningfully reduce the net royalty. If your book contains many images, check the actual file size after formatting and factor the delivery charge into your pricing decision.

Books on the 35% plan have no delivery charge; the royalty is simply 35% of the list price.

When the 35% plan is necessary

A few circumstances make the 35% plan the only available option:

• Price below $2.99 or above $9.99: the 70% plan requires a price in the $2.99 to $9.99 range in the US. Free, $0.99, and $1.99 books, as well as books priced above $9.99, use the 35% plan by default.
• Certain book types: public domain books, for example, are restricted to the 35% plan in some cases.
• Certain territories: the 70% plan isn't available in all international markets; books sold in markets where 70% isn't available use the 35% structure.

For a $0.99 book, a 35% royalty is roughly $0.35 per sale. At $9.99, the 70% plan yields about $6.99 minus the delivery charge, while the 35% plan would yield about $3.50. The 70% plan is clearly better for the same price point when it's available.

Print (paperback and hardcover) royalties

Print royalties work differently from ebooks. Instead of a percentage of the retail price, KDP pays a fixed percentage of the retail price minus the printing cost.

Royalty structure: 60% of the retail price, minus the printing cost for that specific book.

Printing costs vary based on:

• Trim size: smaller books generally cost less to print per copy
• Page count: more pages means higher printing cost
• Paper type: black and white on white or cream paper is the least expensive; color printing significantly increases cost per page
• Marketplace: printing costs differ between Amazon's US, European, and other marketplaces

KDP provides a royalties calculator in the pricing section of each book's setup. This is the only reliable way to get a precise net royalty for your specific book at your chosen retail price, since the calculation depends on your particular page count and trim size.

A general example: for a 300-page paperback at 6 x 9 trim size, black and white on white paper, priced at $14.99 in the US marketplace, the printing cost is approximately $4.45. The royalty would be: 60% of $14.99 ($8.99) minus $4.45, yielding approximately $4.54 per sale.

Setting a minimum viable price for print

For print, your retail price must exceed the printing cost, leaving a positive royalty. KDP requires a minimum price that covers printing costs, but many authors price print books only slightly above that minimum, which leaves very little per-copy income.

To earn a sustainable royalty on paperback sales:

• Factor in KDP's printing cost for your page count and trim size
• Add your target royalty per copy (commonly $2 to $5 for a standard paperback)
• Set the retail price accordingly

Because printing costs are higher for longer books, longer books need higher retail prices to achieve the same per-copy royalty. Our guide on KDP pricing strategy covers this in more depth.

Kindle Unlimited and KDP Select page reads

KDP Select enrollment gives your ebook access to Kindle Unlimited, a subscription program where readers pay a flat monthly fee to read unlimited books. When a Kindle Unlimited subscriber reads your book, you're not paid per download; you're paid per page read.

Amazon sets a per-page-read rate each month based on the total Kindle Unlimited Global Fund divided by all pages read across all enrolled books. This rate fluctuates monthly but has historically been in the range of a small fraction of a cent per page (approximately $0.004 to $0.005 per page read in many recent months, though this changes and Amazon doesn't disclose the rate until after each month ends).

For a 300-page book, full readthrough from a Kindle Unlimited subscriber might generate approximately $1.20 to $1.50 at recent typical rates, considerably less than a $4.99 sale at the 70% plan royalty. Whether KU earnings supplement or underperform direct sales royalties depends heavily on your genre and readership. Genres with highly engaged reader communities (especially certain romance subgenres) often see strong KU page reads that outperform expectations based on the per-page rate alone.

International royalty rates

KDP's royalty rates vary by market. In most major markets (the US, UK, Canada, Germany, France, Spain, Italy, Brazil, Australia, India, Mexico, Japan), the 70% option is available for qualifying price ranges in local currency. In other markets, the 35% rate applies.

Amazon converts royalties to your home currency at the prevailing exchange rate when calculating your earnings. If you price your book in US dollars and it sells in a market where the dollar is strong against the local currency, the retail price in local currency may be above what readers in that market expect, which can affect sales volume.

Payment schedule

KDP pays royalties approximately 60 days after the end of the month in which sales occur:

• Sales in January are paid approximately at the end of March
• Payment is made via direct deposit (EFT) in most markets, or by check in some markets
• A minimum payment threshold applies; accounts below the threshold accumulate until the balance exceeds it (the threshold varies by payment method and currency)

KDP provides a detailed royalties dashboard where you can see sales and estimated royalties by title, date range, and marketplace.

Expanded distribution royalties

KDP Print offers an "expanded distribution" option that makes your paperback available to additional channels beyond Amazon's own fulfillment: third-party book retailers, online retailers other than Amazon, libraries, and academic institutions through KDP's distribution network.

The tradeoff is royalty rate. Expanded distribution paperback royalties are 40% of the list price minus printing costs, compared to 60% for Amazon's own marketplace. Because printing costs don't change, and the royalty rate is lower, the per-copy earning from expanded distribution sales is meaningfully lower than from direct Amazon sales.

For many books, expanded distribution is worth including (it costs nothing to enable and some sales will come from channels you're not actively promoting), but it's worth noting that the per-sale income from expanded distribution is lower. Authors who want broader bookstore distribution often prefer IngramSpark, which has better terms and reach for trade distribution specifically, over KDP's expanded distribution option.

How the Kindle Unlimited Global Fund works

Amazon doesn't reveal the exact size of its Kindle Unlimited Global Fund publicly, but it discloses the monthly per-page-read rate after the month ends. Understanding how the fund works helps authors in KDP Select set realistic expectations for KU earnings:

• Amazon determines the total fund size each month
• The fund is divided by the total number of KU pages read across all enrolled books that month
• The result is the KENP (Kindle Edition Normalized Pages) rate for that month
• Your KU earnings are: pages read in your book × the KENP rate

Pages are counted based on Amazon's normalized page count (KENP count), which may differ from your book's physical page count. Amazon calculates KENP based on the digital content, not the print page count.

Because the per-page rate depends on both the fund size and total pages read, the rate fluctuates month to month. A month when more authors publish or more readers borrow tends to dilute the per-page rate slightly. The rate can also be higher in some months if Amazon funds the pool more generously.

Reading your KDP royalties report

KDP's reports section provides several report types. The most useful for understanding your earnings:

Sales dashboard: real-time (or near-real-time) view of units sold and borrows, useful for tracking day-by-day performance during a launch or promotion.

Royalties report: shows estimated royalties by title, marketplace, and date range. Note that these are "estimated" until the 60-day payment cycle closes; actual amounts may differ slightly due to returns or marketplace adjustments.

KENP report: shows pages read from Kindle Unlimited borrows per day, by title and marketplace.

Month-to-date report: consolidated view of all titles' estimated earnings for the current month.

For tax reporting, Amazon provides year-end summaries and, in the US, a 1099-MISC for royalty income above the reporting threshold. International authors may receive country-specific equivalents.

How to maximize your KDP royalties

A few practical levers:

Price for the 70% plan where possible: for most ebooks, staying in the $2.99 to $9.99 range captures the higher royalty rate. Books priced outside this range only use the 35% plan.

Minimize file size if you're using the 70% plan: the delivery charge scales with file size. Optimizing image compression and avoiding unnecessary embedded content keeps the delivery charge small.

Track royalties by marketplace: some international markets may show strong sales at prices that generate good royalties; others may underperform. Reviewing marketplace data periodically can inform pricing adjustments.

Review print pricing against KDP's royalties calculator: if your print book's per-copy royalty is very low, adjusting the retail price (or adjusting the trim size to reduce printing costs) may significantly improve your per-sale earnings.

Consider KDP Select enrollment carefully for your genre: in genres with large Kindle Unlimited readership, KU page reads can substantially supplement or outperform per-sale royalties. In genres where readers prefer to own their books (professional nonfiction, children's books), KU exclusivity may sacrifice meaningful sales on other platforms with little compensating benefit.

Royalties for special book types and situations

A few cases where the standard royalty structure applies differently:

Public domain works: if you publish an edition of a public domain work (with your own introduction, foreword, or critical apparatus), the 70% royalty plan may not be available. KDP restricts the 70% plan for public domain content in many markets, defaulting to 35%. Your own original contributions (introduction, notes, etc.) don't override this restriction.

Bundled content: if you publish a bundle (two books in one file), the pricing rules apply to the bundle as a single product. A bundle priced at $4.99 qualifies for the 70% plan; the individual book prices within it don't affect the royalty plan.

Pre-orders: pre-orders are recorded as sales at the time the reader pre-orders, but royalties are calculated and paid out after the book's launch date. If a reader pre-orders and then cancels before launch, no royalty is owed. KDP allows authors to set a pre-order price that can be changed (upward, but not downward, after a certain point in some markets).

Returns: Amazon customers can return ebooks within seven days of purchase for a full refund. When an ebook is returned, the royalty is reversed in the next payment cycle. Return rates for ebooks vary but are generally low (typically under 5% for well-reviewed books in most genres).

Frequently asked questions

Do I pay taxes on KDP royalties?

KDP withholds taxes for authors in some jurisdictions, depending on tax treaty status. US authors submit a W-9; international authors submit a W-8BEN. The rate of withholding, if any, depends on your country's tax treaty with the US. KDP provides a tax interview during account setup to determine the applicable rate.

How does Amazon calculate the delivery charge if I have two different file sizes for the same book?

The delivery charge is based on the file size of the actual Kindle file Amazon delivers to the reader, which may differ from your upload file size after Amazon's conversion and compression. You can estimate by checking the "Digital List Price" and royalty estimate in your book's pricing section after uploading.

Does pricing my ebook at $0.99 ever make sense?

At $0.99, you're on the 35% plan and earning roughly $0.35 per copy. This can make sense as a limited-time promotional price to drive volume, launch a series, or build readership, especially for a first-in-series book. As a permanent price, it generates low per-sale revenue; the math only works if volume is significantly higher than it would be at a higher price.

Can I change my royalty plan after publishing?

You can change the price and royalty plan for your ebook at any time from your KDP dashboard. Price changes typically take effect within a few hours in most marketplaces.

The bottom line

KDP's royalty structure rewards authors who price strategically: staying in the 70% plan's qualifying range, minimizing delivery costs for image-heavy books, and understanding how print printing costs affect net earnings per copy. For Kindle Unlimited, the value depends heavily on your genre and how engaged your readers are with the KU subscription model.

Pricing your book appropriately for the royalty plan you want is one of the most direct ways to improve your per-copy earnings without changing anything about the book itself. Our guide on KDP book pricing strategy goes into detail on setting a price that works for both your royalties and your readers' expectations. For a full walkthrough of the publishing process, see our guide on how to self-publish on Amazon KDP. For pricing strategy specifically, see our guide on KDP book pricing.