In this section:
In 2023 we licensed our ebooks to libraries for the first time. We received our annual income from these loans in December and this will be showing up in your ebook sales for December 2023. The income per library loan is smaller than an ebook sale, so if you notice increased numbers in your ebook sales, but not the corresponding income, this is why. We are looking to account for and present these numbers separately in 2024.
We pay royalties twice a year:
The most cost-effective way for us to pay and receive money is via wire-transfer.
To ensure you are paid, make sure you’ve sent us your bank details and keep us up to date if you change them in between royalty statements. We do not have the time or manpower to track down authors with incorrect or outdated details.
Email your details to [email protected], including:
Please note that we cannot individually confirm receipt of bank details, so take great care that the ones you send us are correct.
If you have sent your details to [email protected], you should receive any due payment when royalties are next processed.
We do not store bank details on our Database. They are only accessible to our financial staff in the UK office.
We can pay via PayPal. If you want to receive your royalties that way, make request that on the Author Forum under Royalties, in the SALES AND DISTRIBUTION section.
You can view your figures and royalty statement on your in the ROYALTIES table in your Financials page.
The royalties amount will be transferred directly into the bank account details advised to us (or a check posted to the address given in the US).
Please retain your remittance, as this may be required for tax purposes.
The date and how you are paid will be shown in the Payment Details column of the ROYALTIES table in your Financials page.
Anything less and the bank charges, and administration times are too high relative to the payments.
Any payment due that’s under the limit will of course be carried forward.
The minimum amount we will send out to an author living outside the UK is £75, including payments via PayPal.
Anything less and the bank charges and administration time are too high relative to the payments.
Any payment due that’s under the limit will of course be carried forward.
We normally pay via Barclays.net, meaning your bank converts the money to local currency and the rate is set by them. If we pay via Comerica, our bank in the US, then it's the average rate for the month, as dictated by HMRC.
No. You will not need one from us. Tax forms are only necessary in some circumstances, between publishers in different countries, where the sender is paying tax as well as the recipient. They are used to avoid double taxation.
We don’t pay tax on the royalties we send you, so you need to make sure you are responsible for declaring your own income and paying your own taxes.
If you are an author outside the UK and you need to look up what you were paid in the previous year for your local currency, you will need to go to your bank and track down the statements for the times you were paid your royalties, and see exactly at what rate they converted it. Those statements should show the dates you were paid and how much in your local currency.
We prepare over 1500 royalty statements twice a year, and there are usually a few queries. The main reasons being:
If none of the above reasons apply, and you still think you are owed royalties, let us know on the Author Forum – Sales & Distribution: Royalties.
Send the correct info to [email protected]. Double check it!
Our payment details will be on the invoice you receive from us.
If you have a problem with transferring to us as regards the cost (it varies from country to country), please post a cheque/check made out to Collective Ink Ltd (3 East Street, Alresford, Hampshire, United Kingdom, SO24 9EE). You can pay via PayPal, but there will be an additional charge to cover their fees.
Sorry, we do not use credit card payment services.
You can see your royalties in the ROYALTIES table on your Financials page.
Here follows an explanation of how we arrive at the figures displayed in the ROYALTIES table on your Financials page.
Please note: The figures on your Financials page are in £ sterling. If you are outside the UK, we normally pay via Barclays.net, meaning your bank converts the money to local currency and the rate is set by them. If we pay via Comerica, our bank in the US, then it's the average rate for the month, as dictated by HMRC. Read Royalty Payments for more information.
The period for which the statement has been compiled (May to October or November to April).
These are taken from the Total sales column from the SALES tables on your Financials page.
This applies to the ebook table also.
NB: Your sales total is a net amount. This means discounts to booksellers have been taken off. Different booksellers have differing discounts. For example, a wholesaler would have a different rate than an independent single bookshop. The total we receive, therefore, depends where the book is bought and which discount was applied. It is entirely possible that the same number of books sold would generate a different amount of income over separate royalty periods.
These are deducted from the trade sales figures, as we do not pay royalties on author sales.
These are manually inputted by us, taken from reports from our North American and UK distributors, and Office Sales.
This column will not apply for ebook sales.
This provision used to be standard on all publishers' contracts (and often still is), to protect from them from large numbers of books coming back from the trade in returns. We dropped it on new titles from October 2012 onwards, but the column remains on the system for historical information. It need not be a concern for you.
This is taken from your contract terms, which you can check at any time by clicking on Contract on the left-hand menu. It should match the current sales level your title is on.
The calculation is trade sales, less author sales, plus/minus returns provision (if applicable), and when we have this figure, we apply your royalty rate. This is how we come to the royalty on trade sales.
This will apply the foreign rights sales % as per your contract terms, to any foreign rights amounts received in the period (see Foreign Rights Sales table in Sales section).
This is not applicable for ebook sales.
These are any adjustments we need to make to your royalty payment.
Additions are signified by A in the Type column.
Deductions are signified by D in the Type column.
The most common are:
This is the royalty payable to you, calculated as follows:
We then apply the author split (as per your contract) if there are multiple authors to give us the amount owed to each author.
If you have an agent, we will automatically pay them this amount.
If it is blank, see Unearned Carry Forward below.
This means that no amount is owed to you for this period, and the figure will be negative.
This is because there were either net returns for the period, more amounts deducted than royalty owed, or a negative amount was brought forward and the royalty still hasn’t earned through (see above for each separate point).
This figure will be shown under deductions in your next statement.
We try to respond to queries quickly, but appreciate your patience in the period just after statements have been issued.
If your title has come to us through an agent, they will be listed on the contracts page, payment will be made to your agent, and they will make a corresponding payment to you, minus their agreed %.
Due to our high volume of authors and payments, unfortunately, we cannot split percentages to anyone other than authors or agents. If you would like to donate a portion of your royalties to a good cause, you will have to make it directly.
If a book has two or three named authors, we will split the royalties equally, unless advised otherwise.
You should then be able to save it to your computer/print it as you wish.
If you have any queries about late payment or wrong payment of your royalties after reading this, please add them to the Royalties section of the Author Forum in Sales & Distribution.
For some authors, in UK and Europe, who are registered for Value Added Tax, we need an invoice from you for the royalty payment, so we can reclaim the tax. Please send the invoice to [email protected].
If you are not registered for this (the vast majority), you do not need to do anything.
As of December 2018, we have stopped charging a conversion cost for ebooks on new titles.
In 2023 we licensed our ebooks to librries for the first time. We received our annual income from these loans in December and this will be showing up in your ebook sales for December 2023. The income per library loan is smaller than an ebook sale, so if you notice increased numbers in your ebook sales, but not the corresponding income, this is why. We are looking to account for and present these numbers separately in 2024.