How Do YouTubers Make Money?
YouTubers have multiple revenue streams beyond just ad revenue. Here's a comprehensive breakdown of every way creators earn money on YouTube in 2024.
The 9 Main Ways YouTubers Make Money
Most successful YouTubers don't rely on a single income stream. The creators earning six figures or more typically combine 3-5 of these methods, with ad revenue often making up less than half of their total income. Understanding all your options helps you build a sustainable, diversified revenue strategy that isn't dependent on YouTube's algorithm or advertiser demand alone.
1. Ad Revenue (YouTube Partner Program)
This is where most creators start and what people think of when they ask "how much do YouTubers make?" Ad revenue is passive income—once you're monetized, ads run on your videos automatically and you earn money while you sleep. The amount you earn per 1,000 views (your RPM) varies dramatically based on your niche, audience location, and video length.
Finance channels might earn $12-25 per 1,000 views, while gaming channels typically see $1-3 per 1,000 views. The difference comes down to advertiser demand— companies selling financial products pay much more to reach potential customers than gaming advertisers.
- Earn from ads shown on your videos (pre-roll, mid-roll, display ads)
- Typically $1-5 per 1,000 views (varies widely by niche)
- Requires: 1,000 subscribers + 4,000 watch hours
- You keep 55% of ad revenue, YouTube takes 45%
Example: A channel getting 100,000 views per month at $3 RPM earns $300/month from ads alone. Scale that to 1 million views and you're at $3,000/month.
2. Sponsorships & Brand Deals
Here's where the real money is for most successful creators. While ad revenue might pay you $3-5 per 1,000 views, a single sponsored video can earn $20-50 per 1,000 views— often 10x more than ads. Brands pay premium rates because they get direct integration in your content, not just a skippable ad.
You don't need a massive channel to start landing sponsors. Many brands work with creators who have 5,000-10,000 engaged subscribers, especially in valuable niches like tech, finance, or productivity. The key is having an engaged audience that trusts your recommendations.
- Companies pay you to feature their products in your videos
- Typically $10-50+ per 1,000 views (sometimes $100+ in premium niches)
- Rates depend on niche, engagement rate, and audience demographics
- Can start pitching sponsors around 5,000-10,000 subscribers
Real numbers: A channel with 50,000 views per video can charge $1,000-2,500 for a sponsored integration. Do 2-3 sponsored videos per month and that's $2,000-7,500 on top of ad revenue.
3. Channel Memberships
Monthly recurring revenue is the dream for any creator because it's predictable. Unlike ad revenue that fluctuates with views and CPM, memberships give you a baseline income you can count on. Fans pay $4.99/month (or higher tiers) for perks like custom badges, exclusive emojis, members-only posts, and early access to videos.
- Fans pay $4.99-$49.99/month for exclusive perks and benefits
- You keep ~70% after YouTube's fees ($3.50 per $4.99 membership)
- Requires: 30,000 subscribers (or 1,000 for gaming channels)
- Best for creators with highly engaged, loyal communities
Benchmark: Successful channels convert 1-5% of subscribers to members. A channel with 50K subs might have 500-2,500 members = $1,750-$8,750/month.
4. Affiliate Marketing
This is often the easiest way to start earning before you're even monetized. Review products you actually use, include affiliate links in your description, and earn a commission when viewers buy through your link. Amazon Associates pays 1-10% depending on category. Tech affiliates can pay 5-30%.
- No subscriber or view requirements—start day one
- Earn 3-10% commission on sales (varies by program)
- Works best with honest reviews and recommendations
- Amazon Associates, ShareASale, Impact are popular networks
5. Digital Products
Sell your knowledge. If you're teaching something on YouTube—photography, coding, fitness, cooking—package that expertise into a course or ebook. Digital products have high profit margins (often 80-95%) and scale infinitely. Create once, sell forever.
- Courses, ebooks, templates, presets, plugins
- Platforms: Gumroad, Teachable, Podia, Stan Store
- Higher margins than physical products
- No subscriber requirements, but trust is essential
6. Merchandise
Selling physical merchandise works best when you've built a strong brand and community. Fans want to rep their favorite creators. Merch profit margins are lower (typically 20-40%), but it strengthens your community and turns viewers into walking advertisements.
- T-shirts, hoodies, hats, stickers, mugs
- Use YouTube Merchandise Shelf (10K subs) or link to external stores
- Print-on-demand: Printful, Teespring (low upfront cost)
- Works best with catchphrases, inside jokes, or strong visual branding
7. Super Chat & Super Thanks
Live streamers can earn significant income from Super Chats—viewers paying to have their messages highlighted during your stream. Super Thanks extends this to regular videos, letting viewers tip you to show appreciation. It's like Twitch bits but on YouTube.
- Must be in YouTube Partner Program and 18+
- Works during live streams, Premieres, and regular videos
- You keep ~70% after fees
8. YouTube Shorts Revenue
Shorts pay significantly less than long-form videos ($0.05-$0.10 per 1,000 views vs $1-5), but they can generate massive view counts quickly. Many creators use Shorts as a funnel to their main content where the real money is made.
- Ad revenue sharing launched in 2023
- Much lower RPM than long-form content
- Best used for audience growth, not primary income
9. Services / Consulting
Many creators use YouTube primarily as a lead generation tool for their service business. A web developer might create tutorial videos to attract clients. A fitness coach might offer free workout videos then sell 1-on-1 coaching. Even a small channel can land high-paying clients.
- Coaching, consulting, freelancing, agency services
- YouTube as a portfolio and lead generation machine
- Can start at any subscriber count—it's about authority, not size
- Often the highest $/hour revenue for professional creators
Which Methods Earn the Most?
Not all revenue streams are created equal. Some require massive subscriber counts but are mostly passive. Others can generate serious income with a smaller audience but need ongoing effort. Understanding the effort-to-reward ratio helps you prioritize where to focus your energy as your channel grows.
For most creators, the sweet spot is combining passive income (ads) with one or two active revenue streams (sponsorships and products). This gives you baseline income that covers costs while you build higher-margin revenue sources. Here's how they compare:
| Revenue Source | Potential | Effort |
|---|---|---|
| Ad Revenue | Medium | Low (passive) |
| Sponsorships | Very High | Medium |
| Products/Courses | Very High | High (upfront) |
| Memberships | Medium-High | Medium (ongoing) |
| Affiliate Marketing | Medium | Low |
The 40-40-20 rule: Successful creators often aim for 40% of income from ads, 40% from sponsorships/products, and 20% from other sources. This diversification protects you if ad rates drop or a sponsor partnership ends.
Common Questions
Frequently Asked Questions
Next Steps
Ready to calculate your potential earnings? Use our free calculators to estimate your income:
- YouTube Earnings Calculator - Calculate your ad revenue
- How much YouTube pays for 1,000 views
- YouTube pay for 100,000 views
- YouTube pay for 1 million views
- Sponsorship Calculator - Estimate sponsorship deals
- How do YouTubers get paid? - Payment methods and schedules
- How many views to make $1,000?
- Complete money-making guide - Step-by-step strategies