What is the TikTok Creator Fund?
The TikTok Creator Fund is a way for popular creators on the platform to earn money for their videos. It was launched by TikTok in July 2020 as a way to support creators during the COVID-19 pandemic. According to TikTok, the Creator Fund aims to “encourage those who dream of using their voices and creativity to spark inspirational careers” (Source).
The fund allows eligible creators to earn money based on the engagement and views their videos receive. To be eligible, creators must be 18 years or older, meet a minimum follower threshold, and post original content that complies with TikTok’s community guidelines. The amount each creator earns depends on where they are located, how well their videos perform, and the overall availability of the fund in their region.
TikTok allocates a set amount of money each month to the Creator Fund, which is then distributed among qualifying creators. The total amount allocated has grown over time as the fund has expanded to more regions and countries.
How Much Money Does TikTok Pay?
TikTok pays creators between $0.02 and $0.04 per 1,000 video views through its Creator Fund program, according to top creators (source). This means with 1 million views, you could earn around $20-$50. The exact payout depends on factors like your country, content quality, and audience engagement.
TikTok evaluates video performance based on likes, comments, shares, follows and other engagement metrics. Higher quality, more popular content earns more money per view. TikTok also adjusts payouts based on your country’s cost of living and advertising rates.
Compared to other platforms like YouTube, TikTok’s payout per view is quite low. However, it’s easier to quickly amass views and go viral on TikTok. Top creators can earn substantial incomes, even with the lower per-view rate. For example, Charli D’Amelio earned $4 million in 2020 from her huge following and branded partnerships.
What are the Requirements to Join the Fund?
To be eligible for the TikTok Creator Fund, creators must meet certain requirements related to their account and content:
Account eligibility criteria:
- You must be 18 years or older
- Your account must be public
- You must have at least 10,000 authentic followers
- Your account must have at least 10,000 video views in the last 30 days
- Your account must be in a region where the Creator Fund is available
Application process:
Eligible creators can apply through the TikTok app by going to the Creator Fund portal in the app. You will need to agree to the Creator Fund terms and conditions.
Creator eligibility factors:
TikTok evaluates creators based on:
- Adherence to community guidelines and terms of service
- Level of engagement and views on their content
- Authenticity of their account and content
TikTok aims to accept creators who will contribute positively to the platform and engage users. Quality of content is a key consideration.
How Do You Get Paid from the Fund?
The TikTok Creator Fund pays creators on a monthly basis provided they meet certain eligibility thresholds. Payments are processed through online payment platforms like PayPal or Direct Deposit.
To receive payment, you must have at least 10,000 authentic video views in the previous 30 days. TikTok calculates your payment based on various factors like the number of video views and engagement. There is no set payment rate per view. The minimum payout per month is $100.
Payments are processed monthly around the 15th-18th of each month. For example, earnings from June 1-30 will be paid out in mid-July. TikTok deducts fees and taxes before issuing payment.
You are responsible for paying any income taxes on Creator Fund earnings in your country. In the United States, TikTok will send a 1099 form if your total year’s earnings exceed $600.
Overall, the TikTok Creator Fund aims to provide monetary compensation to top creators on the platform who produce original and engaging content.
Tips to Maximize Your Earnings
While the TikTok Creator Fund provides a baseline income stream, there are several strategies creators can use to maximize their earnings beyond what the Fund pays out:
First and foremost, consistently creating high-quality, engaging content optimizes your chance of going viral and obtaining more views. Consider trends and topics that are popular at the moment, and put your own creative spin on them. Use relevant hashtags, sights, and sounds to make it easy for your content to be discovered by viewers interested in those subjects.
You can also employ best practices like optimal posting times, using keywords in titles/descriptions, and leveraging TikTok’s editing tools. Pay attention to when your target audience is most active on the app and aim to post around those high-traffic times. Write compelling titles and descriptions with keywords that will show up in search.
Collaborating with other creators can expose your content to new audiences and provide inspiration for fresh ideas. Duets, reaction videos, and challenges with popular personalities in your niche can help increase reach. But make sure any collaborations feel natural and not just for views.
Outside of TikTok itself, cultivating your personal website, YouTube channel, or other social media accounts provides alternative platforms to earn money. Directing fans to those other channels creates potential for ad revenue, affiliate marketing, merchandise sales, sponsorships and more.
While maximizing views and creativity takes consistent effort, combining smart growth strategies with high-quality content will help you earn the most from the Creator Fund over time.
Creator Fund Controversies
The TikTok Creator Fund has generated some controversies and complaints since its launch. Many creators have criticized the fund, saying the payments were paltry compared to the views and engagement their videos received.
“I have videos with millions of views that got paid like $30 from the creator fund,” said popular TikTok creator Devan (Source). “It feels like we are getting ripped off.”
There has also been confusion and lack of transparency around how earnings are calculated. TikTok has not provided a clear breakdown of the formula used or revealed key details like average CPM rates. This has led to creators feeling short-changed without understanding why (Source).
Some have alleged the opaque earnings calculations allow TikTok to arbitrarily determine payouts. There have been accusations of favoritism, with established personalities receiving higher payments per view (Source).
The secrecy around the fund’s operations and lack of transparency about earnings has been a major source of discontent for many TikTok creators.
Alternative Monetization Options
While the TikTok Creator Fund is a great way for creators to earn money, there are other ways TikTokers can monetize their content and brand outside of the fund:
TikTok Gifting
TikTok has a gifting feature that allows fans to send virtual gifts to their favorite creators during live streams. These gifts can be exchanged for real money. According to Foundr, top creators can earn up to $2,000 per hour from TikTok gifts alone. Strategies like promoting your next live stream and creating exclusive content can help maximize gift revenue.
Sponsorships and Brand Deals
Sponsored content is a lucrative option for popular TikTok creators. Brands will pay creators to promote their products or services in TikTok videos. Rates vary greatly depending on follower count and typical views, but six-figure deals are not uncommon for creators with millions of engaged followers. Pitching brands that align with your niche and content style is key.
Selling Merchandise
Many top TikTokers earn income by selling custom merchandise like t-shirts, phone cases and other products featuring their brand and content. Products can be sold through sites like Teespring without any upfront costs. Promoting your merch to your loyal TikTok fans can lead to steady passive sales.
Success Stories
The TikTok Creator Fund has produced many high earners and success stories since launching in 2020. Some creators have earned millions from the fund as their content went viral and gained huge viewership. For example, Spencer Polanco Knight earned over $1 million in the first year of the fund as his comedy sketches racked up over 47 million likes. Other top earners include Tabitha Brown, who gained fame for her vegan cooking videos, and Devon Rodriguez and Randy Gonzalez of comedy duo Enkyboys.
The Creator Fund has also opened doors to lucrative brand sponsorships outside of TikTok. Top creators are regularly offered deals worth thousands of dollars from brands wanting to partner with them. For example, Charli D’Amelio, one of TikTok’s biggest stars with over 140 million followers, has sponsorship deals with Hollister, Invisalign, Morphe cosmetics and other major brands. Many creators use their Creator Fund earnings and brand deals as their full-time income.
Future Outlook for the Fund
The future of the TikTok Creator Fund remains uncertain as the platform transitions to its new Creativity Program. Some possible changes include:
TikTok may adjust the monetary incentives or structure of payments to creators in order to remain competitive with rival platforms like YouTube and Instagram. There is speculation that the new program may offer higher pay rates or bonuses to top creators (Fortune).
The eligibility requirements and application process could change. TikTok may aim to attract established influencers to the platform by making it easier for them to qualify and get accepted into the program.
More brands and advertisers may partner directly with creators for sponsored content deals outside of the formal TikTok program. This could become an increasingly important source of revenue for creators.
Some analysts predict TikTok may phase out direct payments over time in favor of tips, gifts, and other user-funded monetization models common on live streaming platforms (ZDNet).
It remains to be seen if the Creativity Program will drive more creators to the platform or if top talent will be enticed away by competitors. TikTok will likely continue evolving its offerings to creators as part of its strategy to attract and retain influencers.
Key Takeaways
The TikTok Creator Fund provides an opportunity for creators to earn from their content, but earnings are limited and competitive. Creator Fund payouts range from $0.01 – $0.04 per 1,000 video views, so it takes significant view counts to see meaningful income. To maximize earnings, focus on producing quality content consistently, use best practices for visuals/audio/captions, interact with viewers, post at optimal times, and complement TikTok monetization with other options like sponsorships or ecommerce.
For new creators, the key is patience and persistence. Don’t expect Creator Fund payments to sustain you in the early stages. View it as supplementary income while you grow your audience and skills. Focus on improving content quality rather than obsessing over view counts. Be consistent, find your niche, engage your community. With time and effort, the Creator Fund can become a larger (though likely still small) part of your overall monetization strategy.
