How Much Money Do People Actually Make On TikTok?

As a social media platform, TikTok has taken the internet by storm, boasting over a billion monthly users. With such a vast audience, it’s no wonder that content creators on the platform have found numerous ways to monetize their influence. However, the question often arises – how much money can you actually make on TikTok?

TikTok’s Influence: A Brief Overview

TikTok, once under threat of being banned in the U.S., has emerged as one of the largest social media platforms worldwide. It has given birth to a new genre of internet celebrities – the “TikTok influencers”. These influencers leverage the platform’s features and their creativity to earn significant revenue. However, the amount of money one can earn on TikTok varies significantly, depending on several factors.

Monetization Methods on TikTok

TikTok offers its creators several ways to monetize their influence. One of these ways is through the Creator Rewards Program, which TikTok launched in early 2024 after experimenting with the Creator Fund. The rewards program considers the originality of the content, the play duration, audience engagement, and search value, among other factors, to calculate the earnings.

Additionally, TikTok’s popularity as an advertisement platform means that third-party sponsors and brand deals can significantly augment a creator’s earnings. The exact amounts, however, remain mostly under wraps, given the lack of transparency among creators regarding their earnings.

Key Examples of Earnings

While exact figures are hard to come by, some clues hint at the potential earnings one can make on TikTok. According to a report by Business Insider, Alex Ojeda, a TikTok creator with over 8 million followers who creates content around waterparks, charges at least $20,000 per sponsored video. Hunter Cordle, a lifestyle content creator with nearly 5 million followers, described his earnings from TikTok’s Creativity Program Beta as “life-changing.” Although they did not disclose specific numbers, several users reportedly manage to earn five-figure sums each month through views and ads.

The Power of TikTok Shop and Lives

TikTok provides additional avenues for its creators to earn money. One of these is the TikTok Shop, an affiliate program that allows creators to earn commissions on product sales. Once they join the program, creators can tag specific products in their videos or live streams, or even create a dedicated catalog on their profiles.

The exact commissions vary, but Business Insider reported in January 2024 that several creators claimed their earnings from TikTok Shop commissions were substantial. For instance, Jeneen Sahtout, a beauty and shopping content creator with nearly 800,000 followers, revealed that she earned approximately $6,000 in commissions after driving about $40,000 in product sales.

Another significant source of income for creators is TikTok Lives. During these live streams, creators receive virtual gifts from viewers, which translate into real earnings. For example, Lucy Davis, an ASMR content creator with over 600,000 followers, told Business Insider that she earns between $20 and $300 per live stream. Another creator, Jakey Boehm, claimed to have earned over $34,000 from a single month of TikTok Live, where he live-streamed himself sleeping.

Privacy and Consent

While TikTok offers numerous ways for its creators to earn money, it is essential to remember that the platform collects a significant amount of data from its users. This data collection is an integral part of how TikTok operates, and users should be aware of this when using the platform. Users have the right to manage their privacy preferences and consent to the different types of cookies that TikTok uses.

Conclusion

In conclusion, while the amount of money one can earn on TikTok varies significantly, there are several ways creators can monetize their influence on the platform. From the Creator Rewards Program to brand deals, TikTok Shop, and live streams, the potential for earning is quite high for those who can effectively engage their audience and create original, compelling content.

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