Book Royalty & Profit Calculator
Earnings Breakdown
Gross Revenue:
$0.00
Total Retailer Fees:
$0.00
Total Printing Costs:
$0.00
Net Author Profit:
$0.00
Profit per book: $0.00
How to Calculate Book Royalties
Understanding your earnings as an author is critical for choosing the right publishing path. Whether you are self-publishing on Amazon KDP, using IngramSpark, or working with a traditional publisher, the "net profit" is what actually lands in your bank account.
The Book Royalty Formula
For most self-published print books, the calculation follows this specific logic:
Profit per Book = Retail Price – (Retail Price × Retailer Cut %) – Printing Cost
Key Definitions
- Retail List Price: The price the customer pays on the store shelf or website.
- Printing Cost: The variable cost charged by the printer based on page count, ink type (B&W vs. Color), and trim size.
- Retailer Cut: The percentage of the list price kept by the platform (e.g., Amazon generally takes 40% for print books, while bookstores often require 55% via wholesale).
- Units Sold: The total volume of books distributed and paid for.
Example Calculation
If you sell a paperback for $14.99:
- Amazon/Retailer takes 40% ($6.00).
- The printer charges $4.50 for production.
- Your royalty per book is: $14.99 – $6.00 – $4.50 = $4.49.
- If you sell 1,000 copies, your total profit is $4,490.00.
Tips for Maximizing Author Profit
To increase your net earnings, consider these three levers:
- Optimize Page Count: Printing costs are often calculated by the page. Tightening your manuscript or choosing a larger trim size (which reduces page count) can lower printing costs.
- Strategic Pricing: Research your genre. If the average book in your category is $16.99, pricing at $12.99 might hurt your margins without significantly increasing volume.
- Direct Sales: Selling books directly through your own website eliminates the "Retailer Cut," allowing you to keep a much larger percentage of the sale.