Royalty & Break-Even Calculator
Calculate your royalty per sale, how many books you need to sell to break even, and your revenue projections at any sales volume.
| Sales/mo | Gross/mo | Royalty/mo | Net (yr 1) |
|---|
How Amazon KDP royalties work
Amazon Kindle Direct Publishing (KDP) is the dominant platform for self-published ebooks and paperbacks. For ebooks, KDP offers two royalty structures: 35% (available at any price) and 70% (available for ebooks priced $2.99–$9.99 in most territories).
The 70% tier sounds substantially better — and it is — but it comes with a delivery fee: $0.06 per megabyte of your ebook's file size, deducted from each sale. For a standard prose ebook (1–3 MB), this fee is usually $0.06–$0.18 per sale, a negligible deduction. For image-heavy books (children's books, cookbooks, illustrated guides), the fee can become significant.
The $2.99 price threshold
Pricing your ebook below $2.99 automatically drops you to the 35% royalty tier, even if your market is in an eligible territory. This is why most self-publishing advisors recommend staying at $2.99 or above. The 35% tier also applies at prices above $9.99, which matters for longer or premium-positioned books.
| Price | Tier | Royalty (no delivery fee) | Delivery fee (2MB file) | Net |
|---|---|---|---|---|
| $0.99 | 35% | $0.35 | $0 | $0.35 |
| $2.99 | 70% | $2.09 | $0.12 | $1.97 |
| $4.99 | 70% | $3.49 | $0.12 | $3.37 |
| $7.99 | 70% | $5.59 | $0.12 | $5.47 |
| $9.99 | 70% | $6.99 | $0.12 | $6.87 |
| $12.99 | 35% | $4.55 | $0 | $4.55 |
KDP Select vs. wide distribution
KDP Select is Amazon's exclusivity program. You enroll your ebook for 90-day periods and, during that time, cannot sell it anywhere else digitally. In return, you gain access to Kindle Unlimited (where you earn per page read, typically $0.004–$0.005 per KENP page), Kindle Countdown Deals, and Free Book Promotions.
Wide distribution means selling on every platform simultaneously: Kobo, Apple Books, Barnes & Noble, Google Play, library platforms, and international stores through aggregators like Draft2Digital or IngramSpark. Authors with strong fan bases or those writing in niches where Amazon doesn't dominate (literary fiction, certain non-fiction categories) often do better wide.
Pricing strategy for self-published ebooks
Genre conventions matter enormously. Romance readers expect $2.99–$4.99 for a standard novel. Fantasy and science fiction readers accept $4.99–$7.99. Non-fiction commands higher prices — $9.99–$19.99 is normal for how-to and business books. Setting your price in the genre sweet spot reduces friction and signals professionalism to browsers.
A common launch strategy: price the first book at $0.99 to build readership, then raise to the standard genre price after launch week. For series authors, permanently free or discounted first books are a proven reader acquisition strategy.
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Frequently asked questions
How does Amazon KDP royalty work?
Amazon KDP offers two ebook royalty tiers: 70% on books priced $2.99–$9.99 (minus a $0.06/MB delivery fee), and 35% on all other prices. For example, a $4.99 ebook with a 2MB file earns $4.99 × 70% − $0.12 = $3.37 per sale. Paperback royalties are 60% of list price minus the printing cost (which varies by page count and trim size).
What is the difference between KDP Select and wide distribution?
KDP Select means your ebook is exclusive to Amazon for 90-day enrollment periods. You get access to Kindle Unlimited page reads, Countdown Deals, and better international royalty rates. Wide distribution means publishing on Kobo, Apple Books, B&N, and more simultaneously through aggregators like Draft2Digital. Wide gives you more revenue streams and reduces platform risk.
How many books do I need to sell to break even?
Your break-even number is your total publishing investment divided by your royalty per sale. If you invested $1,500 and earn $3.37 per ebook sale, you need to sell 445 copies. This calculator computes that number live based on your inputs. Most debut self-published authors reach break-even within their first 12–18 months with a consistent marketing effort.