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How to REALLY Make Money on TikTok

Introduction

A lot of people are aware they can make money on TikTok, but many don’t grasp the intricacies of how it actually works. Unfortunately, false information abounds, often peddled by those hoping to sell courses and make money off your ignorance. After being a full-time TikTok creator for four years—longer than TikTok has had a robust monetization system in place—I'm here to break down the realities of how earning on TikTok functions.

Requirements to Get Paid

TikTok pays through something called the Creator Rewards Program, which replaced the original Creative Fund. To qualify for the Creator Rewards Program, you need:

  • 10,000 followers
  • 100,000 views in the last month
  • Videos longer than one minute that you post while enrolled are eligible for monetization.

Under the older Creative Fund, creators received about £20 per million views, but that system had its shortcomings. Now, the Creator Rewards Program's payment structure fluctuates more often. Your payment is determined by something called RPM (Revenue Per Mille), which is how much you are paid per thousand views.

Understanding RPM and Qualified Views

Your RPM represents your actual earnings, not to be confused with CPM (Cost Per Mille), which indicates the amount advertisers pay. TikTok is very particular about what counts as a "qualified view." To qualify, views need to:

  1. Be from a viewer engaged for more than 5 seconds.
  2. Be from someone who hasn’t clicked “not interested” on your video.
  3. Originate from supported countries in the Creator Rewards Program.

The takeaway? If you start with 100,000 views, only about 40% are likely to be qualified—so, if you think you’ll earn based on total views, think again.

For instance, let’s break this down plainly: say you have video that gets 30 million views. If only 40% of those are qualified, you’re realistically looking at 12 million views qualifying for pay, which can greatly reduce expected earnings.

Factors Affecting Your Earnings

  1. Geographical Location: Views from countries like the United States or the United Kingdom are worth more than views from places like India or Indonesia.

  2. Audience Age: Older viewers often have higher disposable income, impacting ad spend and your earning potential.

  3. Engagement: Surprisingly, TikTok doesn’t reward engagement as heavily in terms of earnings. You might receive the same RPM regardless of comments or shares.

  4. Video Performance: Higher view counts can sometimes lead to lower RPM rates due to how distribution algorithms work. More popular videos might be less profitable.

From experience, posting more videos doesn’t mean more earnings at times. I noticed that uploading over 60 videos a month generally leads to lower RPM. Unlike platforms like YouTube where increased reach leads to better earnings, TikTok can penalize you for success.

Overarching Income Strategies

While TikTok has introduced monetization models, relying solely on them for income may not be stable. Many creators still find their primary income in product sales, services, or sponsorships. For instance, I phased out direct client coaching after creating e-books which yielded thousands of pounds easily without daily bookings.

In hindsight, one could earn more through products priced at £25 by selling a handful monthly than relying on millions of views through TikTok. Social media can create vast opportunities—if you leverage your followers wisely. Even with fewer followers, selling digital products can result in steady income.

Conclusion

Factoring in all aspects, TikTok monetization offers the potential for high earnings, but is fraught with unpredictability and false expectations. Aim for diverse revenue streams to fully capitalize on your social media presence. Whether coaching, product sales, or sponsorships—have multiple avenues to ensure financial stability.

Keywords

  • TikTok
  • Creator Rewards Program
  • RPM (Revenue Per Mille)
  • Qualified Views
  • Geographical Location
  • Engagement
  • Earnings
  • Monetization
  • Sponsorship

FAQ

Q: What are the prerequisites to start earning on TikTok?
A: You need at least 10,000 followers and 100,000 views in the past month.

Q: How does TikTok measure my earnings?
A: Earnings are calculated based on RPM, which represents your earnings per thousand qualified views.

Q: What qualifies as a "qualified view"?
A: Qualified views are those viewed for more than 5 seconds, not marked as "not interested," and originating from supported countries.

Q: Does my video’s engagement impact earnings?
A: Not significantly; RPM remains similar regardless of whether your video has many comments or likes.

Q: Can I rely solely on TikTok for steady income?
A: It’s not recommended; diversifying into products, services, or sponsorships often proves to be more stable and profitable.

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