eli5, how do royalties work?

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How do royalties on music or books work?

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Anonymous 0 Comments

It will very heavily depending on the specific contract you signed with the company that is publishing your work.

For books, the idea is that you are guaranteed a small percentage of the sale of every copy of the book. In practice, most writers are given an advance, a bunch of money up front which is basically what they expect the royalties of that book for the next few years to be. So you’re not earning extra royalties unless your book is an incredible success and is still selling copies years later.

My understanding is that for music, the royalties will vary immensely based on whether it’s something playing on the radio or streaming service or the sale of a CD or digital download, but the basic idea that a small percentage of the money someone spent on that music will go to the original artist should still apply.

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