Patreon and how it works. Patreon is a great concept and many online creators wouldn’t be able to do what they do without this platform. So, thanks to the creators!
What is Patreon and how does it work?
Patreon is a platform where creators and fans meet. Fans have the possibility to support creators they like by donating from like $1 a month. This way the money that is donated goes directly to the creator. Depending on the creator there are different incentives that you can get for donating. From getting access to private content, to personal meet-ups, to behind the scenes videos.
Why should I support a creator on Patreon?
How it works is, a lot of great creators are not able to pursue content creation full-time because they don’t make any money with their creations or maybe because they have just very little revenue on YouTube with ads. Or maybe they would like to produce more quality content and they don’t have the budget for it.
I follow a lot of creators that wouldn’t be able to do what they do without people supporting them on Patreon.
For example, I would like to focus more on pure content creation where people can learn from it! Currently, I am combining it with promoting products through affiliate marketing, so I get a commission here and there. But if I would have supporters on Patreon I could dully focus on great content creation.
How much does Patreon take?
If someone donates on Patreon of course, not the full amount goes to the creator and the platform will take a cut. But how much does Patreon take? Roughly it’s 5%. So, if someone donates $100, $5 go to Patreon. That’s a fair amount I believe.
Does Patreon withhold taxes?
Well, taxes are always a big topic that you have to be careful about. If you want to be an online creator for real, then you should find someone that can consult you locally. Depending on where you live the donations you get from Patreon might be considered as taxable income or not, so inform yourself!
(as long as the amount is small it’s not a big issue, but once the amount gets significant, get a tax consultant)
Patreon was so nice to also explain this on their website: Taxes 101 for creators
What payment methods does Patreon accept?
You can donate on Patreon with following payment methods:
- Master Card
- Diners Club
Patreon how it works in a nutshell
I hope you understand now better what Patreon is and why it was created. I think it’s a great way to enable more creative people.
Should you for some reason want to support me: Sirio on Patreon