The technological era has brought a lot of advancements, and one of them is the possibility to make thousands and even millions of dollars through video game streaming. Twitch, the most popular video game streaming platform on the planet, has given many gamers the ability to stream their games and earn massive amounts from this. Those familiar with the service know the likes of Ninja, who take home millions each year, but how much do Twitch streamers make? Here is a breakdown.
Years ago, if you dared tell your parents that you wanted to play video games for a living, you would have probably gotten a long lecture about career choices. Today, the video game streaming career is one of the most lucrative, and thanks to Twitch, players can earn massive amounts at the comfort of their homes.
You might be sold on the whole video game streaming thing, and might be wondering ‘how much do streamers make on Twitch?’ Take a seat, and prepare to be surprised by the insane amounts of cash these people take home every month.
How much do Twitch streamers make?
How do Twitch streamers make money? There are several methods of earning an income on Twitch, which include the following:
Donations basically involve viewers giving money to the streamers. Viewers can donate either by cheering and through other methods in the chat.
Viewers can also make direct donations to them.
Bits are also considered a form of donations. Usually, viewers purchase Bits in order to use them as animated GIFs in chat rooms.
How much do Twitch streamers make per Bit? They get 1 cent for each Bit used in their chat room.
Streamers do not disclose the amounts they make from advertisements due to disclosure reasons. The amount they make from ads is also referred to as Cost Per Mile or Cost Per 100 Views.
3. Subscriptions: How much do streamers make per sub?
Most viewers only follow streamers. However, some opt to subscribe to them, as this comes with its own set of perks like unlocking bonuses and freebies in certain games.
How much do Twitch streamers make per sub? There are three subscriptions tiers with different subscription fees
- Tier 1 - $4.99 per month(1 sub point)
- Tier 2 - $9.99 per month (2 sub points)
- Tier 3 - $24.99 per month (3 sub points)
How much does a Twitch streamer make per sub? They earn a minimum of 50% of the subscription fees. Twitch pockets the other 50%. Top tier Twitch partners earn up to 70% of the subscription fees.
This involves companies paying streamers to promote their brands. A good example was when EA paid Ninja $1,000,000 to play Apex Legends on his stream.
For sponsored streams, they get paid 1 cent to $1 per viewer per hour. For 10,000 viewers, they can earn $1,000 to $10,000 per hour.
How much money does the average Twitch streamer make?
This question does not have a clear cut answer because the amount you make depends on several factors, such as the number of subscribers, if viewers buy your Bits, the sponsorship deals you get, and many more. Let’s use an example to shed some light on this.
Suppose you are an average affiliated streamer who only has revenue through Twitch. You have seven tier 1 subscribers and 3500 bits per month. Here is the breakdown of your revenue
Subscription: 7*4.99 = 34.93
Divide this by two as Twitch takes a 50% cut from affiliates. This leaves you with $17.465.
Bit donations: I bit =1c
So, from your 3500 bits, you will earn 3500/2 = 1750c (The platform takes a 50% cut from affiliates here as well), which is the same as $17.50.
That means that in a month, you will earn approximately $35.
Top streamers, on the other hand, earn way more than this. In October 2018, Disguised Toast revealed his income to be as follows:
- Donations: $2.5k
- Advertisements: $10k
- Subscriptions: $14k per month - he had 4,000 subscribers at the time
- Sponsorships: $1k to $10 k for 10,000 viewers, $5k per 30 second YouTube video, $5-10k for every live appearance
Who makes the most money on Twitch?
Although he left Twitch for Mixer in 2019, Fortnite phenom Tyler “Ninja” Blevins is still listed as the highest-earning player on the platform. In November 2018, his channel was listed as the channel with the most followers.
That year, his revenue was estimated at $5,417, 447. The breakdown of his income sources is as follows:
- Subscriptions: $3,955,571
- Advertisements: $509,521
- Bit donations: $316,354.92
- Average sponsorship: $600,000
- Average YouTube compensations: $36,000
In January 2020, his earnings were estimated to be $17 million.
Do Twitch streamers pay taxes?
Yes, if you earned any money from Twitch, Mixer, or another platform, you are required to pay taxes on your earnings. This includes revenue from ads, donations/tips, sponsorships, and any other method of payment.
Please note that tax laws vary in all countries.
Hopefully, you now have an answer to the ‘how much do Twitch streamers make’ question. Seeing the insane amounts these people take home each month, you might be tempted to quit your day job, but don't do that yet, as it takes a lot of dedication, hard work, and time to earn as much as the likes of Ninja.