Standard royalty rates, and what deviation means
The royalty rates a traditional trade contract is expected to carry — by format — and, more importantly, the difference between a percentage of list price and a percentage of net receipts, which matters more than the number itself.
Last updated 10 September 2026 · every figure carries its source
These are the rates a standard trade contract from an established publisher is expected to carry. They are widely documented — the Authors Guild’s model trade book contract reflects them. A contract can deviate, but you should know what the baseline is before you agree to less.
| Format | Typical rate | Base | Notes |
|---|---|---|---|
| Hardcover | 10% → 12.5% → 15% | List price | 10% to 5,000 copies, 12.5% to 10,000, 15% thereafter (the escalator) |
| Trade paperback | 7.5% | List price | Often a flat 7.5%; some contracts 6–7.5% |
| Mass-market paperback | 8% → 10% | List price | Commonly 8% to ~150,000 copies, 10% after |
| E-book | 25% | Publisher’s net receipts | The de-facto standard. The Authors Guild argues a fair rate is 50% of net |
| Audio (licensed to publisher) | ≈ 25% | Net receipts | Varies; retaining audio rights is often better than a low audio royalty |
Net vs list — the distinction that matters more than the percentage
A royalty on list price is a share of the cover price, and it does not move when the retailer discounts. A royalty on net receipts is a share of what the publisher actually receives after the retailer’s discount — often 40–55% off list. So 15% of a $28 list hardcover is $4.20 a copy; 15% of “net” on the same book, after a 50% trade discount, is about $2.10. Same percentage, half the money. When a print contract offers a net-receipts royalty where list is standard, that is a rate cut disguised as a number.
What counts as a bad rate
- A flat print royalty with no escalator — you never share in the book’s success.
- An e-book royalty below 25% of net, now that 25% is standard.
- A deep-discount clause that quietly drops your royalty (e.g. to a share of net) on any sale over a set discount threshold — it can swallow most real-world sales.
- Print royalties calculated on net where the format conventionally pays on list.
The individual clauses that carry these terms are explained, one page each, in the clause reference.
Spot a figure that's out of date or wrong? Tell us — corrections are logged publicly. Where reliable public data doesn't exist, this table says so rather than guessing.
This is information, not legal advice. Contracts turn on their exact wording and your circumstances — before you sign, have a publishing lawyer or a body like the Society of Authors or the Authors Guild review the actual document.