Kindle Direct Publishing (KDP) has been the go-to platform for many independent authors and self-publishers. It’s ideal for turning manuscripts into books and making them accessible to readers worldwide.
With its global reach, print-on-demand model, and attractive royalty options, KDP has empowered thousands of authors—just like you—to publish on their own terms.
But big changes are coming.
Amazon has announced that starting June 10, 2025, there will be a major change in how royalties are paid for paperback and hardcover books. More specifically, a new royalty rate structure will impact titles priced below a certain amount, which varies by region.
The Amazon KDP royalty changes for 2025 could affect how much indie authors earn and how they price their books moving forward. If you publish through KDP or plan to, it’s important to understand what’s changing and how to adapt your publishing strategy to achieve your desired earnings while remaining competitive.
What’s Changing? New Amazon KDP Royalties
The KDP platform has revolutionized Amazon book publishing royalties for indie authors, offering a straightforward way to publish titles and earn money. But with the KDP royalty rate update for 2025, there’s an important change you need to know about.
Print Books Are Affected
From June 10, the royalty structure for print books—paperbacks and hardcovers—will be adjusted.
The current royalty rate is 60% for books priced below a certain threshold. This will drop to 50%.
These thresholds vary by marketplace. For example, on Amazon.com, the cutoff is $9.98. Books priced at or below this amount will now earn a lower royalty percentage, while books priced above will keep the 60% rate.
Why Does This Matter?
Many indie and self-publishing authors price paperbacks affordably to attract readers. Now, this could mean lower KDP earnings unless you adjust your pricing. It also adds complexity when deciding how to price KDP books in 2025, as you have to balance affordability with profitability.
In short, the new Amazon KDP royalties structure forces authors to rethink pricing strategies to protect their income. Understanding these changes will help you come up with a plan to deal with the upcoming Amazon self-publishing updates and make informed decisions for your publishing endeavors.
KDP Pricing Strategy for Authors Based on Marketplace Thresholds
A big aspect of the June 2025 changes to KDP is that royalty rates will depend on regional pricing thresholds. These amounts vary by country and reflect differences in local currencies, operational costs, and market conditions.
Due to exchange rate fluctuations and regional printing expenses, the minimum list price to earn the higher royalty rate differs across Amazon marketplaces.
A quick summary of some thresholds in areas where the royalty cut applies:
Region | Marketplace | Threshold Price | Currency |
United States | Amazon.com | $9.98 | USD |
United Kingdom | Amazon.co.uk | £7.98 | GBP |
Canada | Amazon.ca | $13.98 | CAD |
Australia | Amazon.com.au | $13.98 | AUD |
You can find the full list of marketplaces and thresholds on the Amazon KDP website.
If your book is priced below these amounts in a specific marketplace, your KDP paperback royalty cut will apply, lowering your earnings. Use this information to help develop your royalty structure across regions and plan your global publishing strategy.
How the Amazon KDP Royalty Changes 2025 Affect Authors
The KDP paperback royalty cut primarily affects authors who price their print books on the lower end to attract budget-conscious readers. This includes indie fiction writers, educators, and anyone offering shorter or smaller-format books.
Authors relying on competitive pricing may see a notable drop in KDP earnings if they don’t adjust their prices to meet the new minimum thresholds.
Help! My Book Is Below the Minimum Price
If your book’s list price falls below the marketplace-specific threshold, you cannot escape the royalty rate decrease from 60% to 50%. In some cases, especially with longer books that have higher printing costs, this can result in minimal or even zero royalties.
Simply put, you might sell copies of your title but earn a lot less—or even nothing at all—unless you raise your book’s price.
Balancing Royalties and Reader Expectations
While raising prices can restore your royalties, it comes with the risk of pricing pushback from readers. This is more likely if you participate in competitive genres where affordability matters.
Many authors face the tough choice between keeping prices low enough to achieve a high sales volume and increasing prices to protect their earnings.
KDP pricing strategies for authors require balancing two key factors: knowing your audience and experimenting with price points. The aim is to maximize your overall revenue while remaining competitive amidst royalty changes.
The Silver Lining: KDP Printing Cost Reductions in 2025
Alongside the June 2025 changes to KDP, Amazon is introducing a welcome update. They are reducing printing costs for certain paperback books. This reduction helps offset the impact of the KDP royalty rate update by lowering the cost per printed page in certain marketplaces.
For example, on Amazon.com, the standard color printing cost per page will decrease from $0.0270 to $0.0255. Over hundreds of pages, these savings add up, potentially increasing your profit margin even with lower royalties.
The lower printing rates won’t completely negate the effect of the Amazon self-publishing updates, but it does give some breathing room as you balance affordability with profitability.
Pay careful attention to your royalty structure combined with these printing savings to help maintain your book earnings.
Action Steps for Authors
So, what do you need to do as an author?
Step 1: Audit Your Titles
Stay ahead of the Amazon KDP royalty changes in 2025 by auditing your entire catalog. Identify which titles are priced below the new regional thresholds, as these are the books that are at risk of earning the reduced royalty rate.
Amazon will also display a message on your KDP Bookshelf to indicate which titles are affected by the royalty change. It’s still prudent to manually review your books to determine which ones are subject to earning adjustments.
KDP’s online royalty calculator is an invaluable tool here. It lets you simulate different price points, page counts, and formats to see how your KDP earnings might be affected.
Step 2: Update Pricing and Book Formats Strategically
Once you know which titles need adjustments, update the prices thoughtfully. It’s probably best to increase your list price just enough to meet the threshold so you can protect your royalties without alienating readers.
You can also explore other options, such as adjusting trim sizes or reducing page counts to lower printing costs. Offering different formats (for example, paperback vs. hardcover) may also provide flexibility and optimize profitability.
Step 3: Rethink Your Marketing
Besides pricing and physical book adjustments, you may want to refine your overall marketing approach.
Think about bundling books together at a better price than purchasing them separately. This allows you to get more titles into the hands of your readers while still protecting your royalties.
Another option is to add exclusive content, bonuses, or access to special communities to justify higher prices. Potential readers may consider these elements as added value, which makes them want to buy the book, even if it means paying a higher price.
Final Thoughts
The upcoming Amazon KDP royalty changes for 2025 may feel challenging, even disheartening, but view them as a strategic adjustment instead of a setback. Proactive planning and smart pricing can help you overcome these challenges, allowing you to protect your KDP earnings while keeping readers happy.
Spend some time in the next week to understand the new royalty structure and its effects on your income. Then, update your KDP pricing strategy to position yourself for success as a self-publisher.
These changes present an opportunity to refine your approach and grow your business confidently by using new strategies!
FAQ
When do the new royalty rates take effect?
The change comes into effect on June 10, 2025, for paperback and hardcover books priced below a certain amount.
Will ebook royalties decrease?
No, the royalty rates for Kindle ebooks remain unchanged. The update only affects print book royalties.
What are the new royalty rates?
Books priced below the regional threshold will earn royalties of 50% instead of the current 60%. Books priced above the threshold retain the 60% rate.
How do I know if my book’s price meets the threshold?
Thresholds vary by marketplace (region). Use KDP’s royalty calculator or check Amazon’s official guidelines to see your book’s pricing eligibility.
Will printing cost reductions offset the royalty cut?
Printing costs are decreasing slightly. It may help offset some losses, but it won’t make up for the lower royalty percentage.