When releasing a game on itch.io, do you pay royalty based on the minimum price or what the user paid?
On the website itch.io you can set a minimum price to buy your game, going all the way down to nothing at all(free), however, the user buying the game can choose to pay any amount they want as long as it is above or equal to the minimum. In my specific case the minimum price will be free. Would I still have to pay the royalty in that case? And for future reference, on websites like that do you pay the royalty based on the price you set, or the price the user paid?
asked Jan 25 '16 at 10:01 PM in Legal & Licensing
Bariudol is correct - with one clarification. Your first $3,000 in revenue per calendar quarter per product is royalty free, so if your gross revenue is $20, you owe no royalties.
answered Jan 25 '16 at 10:47 PM
What you pay is based on the total income your game generates. So if you sell 3 copies, one for free, one at 5 USD and another for 15USD, you will pay royalties over the 20 bucks the game generated.
Short answer: you pay for the price the user paid.
answered Jan 25 '16 at 10:08 PM
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