how to earn and withdraw money from Patreon?

Patreon is a service for creating closed-paid communities. Ideal as an additional source of income for authors who have their audience.

How does Patreon work?

For authors, the process of conquering Patreon is as follows:

1. Create and register an account.

2. Set up a subscription price.

3. Users find your page and subscribe.

4. Create restricted content regularly. It can be either a text post or a photo or video, audio or online broadcast.

5. Once a month, money is collected from users.

How much will you get from a user who paid $10?

The user subscribes, $10 is charged from him. Then the payment system fee of 2.9% + $0.30 is deducted from this money, leaving $9.41. After that, Patreon takes away their 8% (or 5% or 12%, whichever you choose).

You will receive $8.66 net.

How much can you earn Patreon?

There are no restrictions - it depends on the size of the audience, the quality of the content and the monetization model.

The authors use different strategies:

1. Some use Patreon as a place to collect donations without creating new content.

2. Others regularly post closed content, for different categories of users. Arrange calls, answer messages, produce merch.

To succeed on Patreon, you need to take people somewhere who will get there and subscribe. Patreon does not have an internal catalogue of accounts, traffic must be driven from external sources.

I figured it out with Patreon when I helped my girlfriend, who is engaged in illustration, Anya Lomakina, with an account.

In the months she was active on Patreon, she was earning over $350 a month, uploaded one business day a week. At the time of creating the account, she already had an audience on Instagram and YouTube.

The account could be upgraded so that it gives 1-2K+ per month, and the same amount of effort would be spent on maintenance. But we switched to creating educational products, and she put Patreon on pause.

Now she does not post anything, but she left the account as a place where you can donate. The account still brings in about $50 a month.

Do I have to pay taxes with Patreon?

Technically, yes. When you're just starting, I wouldn't bother.

You will withdraw money through the Payoneer payment system. I have an article where you can read more about paying taxes through Payoneer.

How to open your Patreon account?

The procedure will be as follows:

1. Register an account.

2. Fill out the description.

3. Set up paid packages.

4. Set up withdrawals.

If you sign up using the link in this article and get 20 followers in the first month, you will receive a $50 Patreon bonus.

Fill in the description - name, type of activity. It usually tells you what you do.

There is a small moment that can drive into a stupor a little.

How to add an image to the description on Patreon?

Patreon does not allow you to upload pictures to yourself but asks for a link to your picture, which is stored on another site.

If you want to add a picture to the description, you will first need to upload it somewhere and get a link. For example, I uploaded it to my site, made on Tilda.

You can get a link to an image by right-clicking on any image on the Internet.

How to promote your account on Patreon?

Starting to make money on Patreon is easier for authors who already have their audience. But even if you are just starting, there is no point in waiting for world fame before opening an account.

You do not want to post a lot of quality content for a closed community with 0 people.

Withdrawing money from Patreon:

Let's say that you have already gathered an audience and you have earned your first money.

How to get them out?

The first time you need to set up the output and select the payment system. Then every month the money will be automatically sent by the selected method.

Patreon withdrawal settings:

Withdrawal settings can be found in the Income - Payouts section.

You will need to set up a withdrawal method - specify the country, payment system and fill out the form that you are not a US tax resident.

There will be two questions in the settings:

1. Are you an individual or a legal entity?

2. Are you a US citizen or resident or not?

I suspect that for most readers the answer will be - an individual, not a US resident.

With this option, you avoid double taxation - if you were a US resident, then an additional 30% would be deducted from all your earnings.

For the US tax authorities, you will need to complete Form W8-BEN. Don't worry, you will only need to enter your name, address, and country, thereby confirming that you are not a US tax resident.

Withdraw money from Patreon via Payoneer:

Payoneer is a payment system with which you can:

1. Get money from sites - freelance exchanges, photobanks, marketplaces. In our case, Patreon.

2. Get money from clients. Generate invoices and send them to clients by mail.

3. Obtain US bank account details.

After Patreon sends money to your Payoneer account, you can withdraw it to your bank account by paying a minimum fee of 2%.

Withdraw money from Patreon via PayPal:

Interestingly, Patreon offers to withdraw via PayPal since it does not work for depositing money in Ukraine in principle.

PayPal offers varying levels of service in different regions.

At the moment, in Ukraine, you can only spend money from your PayPal account, but not receive and withdraw money to a bank account. Send alone is the name of this model, and it operates in 96 countries.