The Ultimate Guide To Steemit Payouts

2 months ago
67 in steemit

A while back, I produced series of FAQ posts on Steemit. Lately, with the huge influx of users, I've been getting quite a few comments on these old posts. Much of the information is outdated, so I thoughts it's time I make some new ones. One of the more popular posts is "Payouts" so that's where I'll start.


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Payouts


When I make a blog post, there's a drop-down menu that says "rewards." The default is 50%/50%, what does this mean?


You can choose between three options for your post payout:

  • 50%/50% - Half of your payment will be in Steem Dollars and the other half in Steem Power.
  • Power Up 100% - Your entire payout will be in Steem Power.
  • Decline Payout - You won't receive a payout.


When will I receive my payout?

All payouts occur exactly 7 days after your post or comment is made.


Why does my future payout keep changing?

Upvotes will increase your payout and flags will decrease your payout. If you haven't received any new upvotes or flags, there are several other reasons why your payout may have changed:

There is a fixed amount of new STEEM created each week to be dispersed to users as rewards in a rolling 7 day period. At any given time, the system is making an estimate of how much you will be paid based on what percentage of Steem Power-adjusted votes your post possesses.

Let's pretend a piece of content is currently worth $5. But then, many other posts suddenly become highly-upvoted. The money to pay those popular posts needs to come from somewhere, so a portion of your post's value is reallocated to these newly-popular posts. Now your post may only be worth $4.50.

Another reason your payout may change is price movements in the 3.5-day moving average of STEEM. If the price of STEEM increases, the value of your post will increase, all else equal.


My post said I was going to get paid $10, why did I only make $7.80?

The dollar figure you see at the bottom of your post or comment is not the amount of your payout. You, as the author, are guaranteed at least 75% of the total. As much as 25% goes to the curators (users who upvoted your post).

In this instance, you received $7.80 and the curators received $2.20.


If I was supposed to receive $7.80, why did I only get paid 3.9 Steem Dollars and 2 Steem Power?

When posting, you chose the default 50/50 payout option, so you received half of your payout in Steem Dollars. Half of $7.80 is $3.90. That is where the 3.9 Steem Dollars came from.

Since you received 2 Steem Power, that means the average price of STEEM over the duration of your post was $1.95. 2 Steem Power * $1.95 = $3.90. That is where the other 50% of your payout went.


How do reward distributions work?

The Steem network separates payouts into two categories, the author reward, and the curation reward:
The author is guaranteed at least 75%. Curators get up to 25%.

Author reward is paid out:

  • 50% in Steem Power
  • 50% in Steem Dollars, STEEM, or a combination of the two

Curation rewards are paid out:

  • 100% in Steem Power

As mentioned above, at the time of posting, authors have the option to be paid 100% in Steem Power or to decline a payout altogether.


What determines how much of the curation reward goes to the author versus curators?

The payout split depends on how long after posting the vote was cast, using a linear function:

  • If a post is upvoted the moment of posting, 100% of the curation award goes to the author.
  • If a post is upvoted 30 min after posting, 100% of the curation award goes to the curator.
  • Between 0 and 30 minutes, each moment that passes, more of the reward goes to the curator.
  • At 15 minutes it's a 50/50 split.
  • At 3 minutes, 90% goes to the author and 10% to the curator.
  • At 27 minutes, 10% goes to the author and 90% to the curator.


I’m upvoting posts at the right time. Why am I not getting meaningful curation awards?

This is a complicated topic, but keeping things more understandable - To receive meaningful curation rewards, you need a combination of:

  • Steem Power
  • High voting power
  • High voting weight
  • You must also upvote posts before they become popular and after some time has passed since posting.

Upvoting posts that are already on the trending page isn't going to earn you much in curation rewards. Also, new users with very little Steem Power will be hard pressed to earn any curation rewards, even when voting optimally.

If you want to learn the complex math on the topic, I recommend reading @theoretical's post series on the topic.


Steem rewards users for commenting and upvoting. Why not for sharing?

You can gain curation rewards from resteeming. Not directly, but indirectly. The rewards that you earn will depend on how popular the post becomes after you upvote the post and share it with your followers.

If you find a post that you think will become popular, upvote it, then resteem it to your followers. The resteem will help the post become that much more popular. The result will be a higher curation reward for yourself.


Now that I earned some Steem Dollars, what can I do with them?

You have a few options:

  • Visit a Steem marketplace such as https://www.peerhub.com (created by @steemrollin)
  • Hang onto them
  • Cash them out
  • Buy STEEM
  • Power Up (Must convert to STEEM before powering up)



Do you need clarification on anything? What do you want to learn next? Let me know in the comments!



Follow me @shenanigator

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Sort Order:  trending
55
  ·  2 months ago

Very well written. Bookmarked for my newbie coworkers. I had difficulty explaing curation in correlation to popularity and timing. Some where I read it's better to upvote before there are thirty upvotes.

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67
  ·  2 months ago

Thank you. While it's true that voting before others will give you more curation rewards than the people who vote after you, don't listen to that "thirty upvotes" number you heard. It's a pretty useless number. Who voted before you is much more important.

The curation system is designed to reward you for discovering great posts before they become popular, and disincentive voting for posts just because you know they'll become popular.

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55
  ·  2 months ago

Good to know! It seemed like a weird number to check for.

51
  ·  2 months ago

Clear and concise. Many thanks. Looking forward to others in the series. There are going to be others right?

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67
  ·  2 months ago

Thanks for checking it out! Yes, there will be more.

51
  ·  2 months ago

BRILLIANT! Thank you for this, I have a friend who has also just joined and we were so confused about the 50/50 thing. We'll both be going 100% from now on, thank you again !

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67
  ·  2 months ago

Before choosing 100%, check this out...

For this example, let's assume STEEM is Trading at an average price of $2.00.

If you earn $10 on a post and you choose "Power Up 100%," you'll receive 5 Steem Power.

Now, instead of "Power Up 100%," you choose a 50/50 payout:

You'll receive 2.5 Steem Power and 5 Steem Dollars.

If you go to steemdollar.com, you'll see that a Steem Dollar is worth $1.71 (price changes all the time). This means you can sell your 5 Steem Dollars on an exchange for $8.55. With your $8.55, you could buy 4.275 Steem Power. By choosing 50/50 instead of 100% SP, you got 6.775 Steem Power instead of 5 Steem Power.

The lesson here is this: Any time Steem Dollars are trading above $1.00, choose 50/50 payout and sell your Steem Dollars on an exchange.

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54
  ·  2 months ago

Thank you! Until I read this, I thought I understood everything I needed to about payouts and the interplay of SP, STEEM and SBD. I was wrong:)

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67
  ·  2 months ago

You're welcome!

56
  ·  2 months ago

This is really good stuff. I appreciate you posting this. I try to post helpful things too, but you just out helped me. lol You picked up a new follower.

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67
  ·  2 months ago

Awesome, thanks for the follow!

62
  ·  2 months ago

Great guide to the post-HF19 world. But what I've never been clear on: are upvotes on posts more than 30 minutes old worthless to both author and curator?

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67
  ·  2 months ago

are upvotes on posts more than 30 minutes old worthless to both author and curator?

Regarding the author - Not at all worthless. Every upvote adds to the payout for the author.

For the curator - Depending on how many people voted before you and how many people vote after you, you could receive a small or a large curation reward.

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62
  ·  2 months ago

Aah! Brilliant, thanks for clarifying.

And again, great post.

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67
  ·  2 months ago

You're welcome. And thank you.

39
  ·  2 months ago

thx @shenanigator
super useful info! new follower, upvoted & resteemed

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67
  ·  2 months ago

Thanks for the support!

40
  ·  2 months ago

I'm new just got approved today, thank you for this guide for newb like me!

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67
  ·  2 months ago

Welcome to Steemit! You're going to have a lot of questions; feel free to ask me anytime.

26
  ·  2 months ago

Wow, great post! This is very helpful info to a Steemit newbie like myself.

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67
  ·  2 months ago

Glad it helped. Welcome to Steemit, I think you'll like it here!

58
  ·  2 months ago

This is a must read for everybody. Clearly written and nice examples. Got my upvote!!

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67
  ·  2 months ago

I appreciate the support!

39
  ·  2 months ago

alrighty its starting to make some sense lol

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67
  ·  2 months ago

Haha, I'm glad it helped you out.

69
  ·  2 months ago

This is going to be a good guide for members, helping them fully understand how things are done in the platform, particularly with rewards. Thumps up.

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67
  ·  2 months ago

Thanks for checking it out!

54
  ·  2 months ago

Thank you! This was very helpful and cleared up a few questions for me. The curation rewards and resteeming info helped me the most. Also, I've added this article to the front page of the WelcomeToSteemit.com website, here. Thanks again!

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67
  ·  2 months ago

I'm glad it answered some questions for you. Thanks for adding it there, I didn't know about that site.

59
  ·  2 months ago

Thank you for this in depth write up! Appreciated!

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67
  ·  2 months ago

You're welcome! Thanks for reading.

47
  ·  2 months ago

@theluke This is a great run down of things around here!

72
  ·  2 months ago

Great job - I'll see if I can get this added to the "Quick Start Guide".

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67
  ·  2 months ago

That's great, thanks!

54
  ·  2 months ago


This Post is Manually Read, Curated and Upvoted✔
🆕💯🆙

ALBERTVHONS™ aims to give 300x upvotes to awesome post!💲💰
this post is chosen as great content📃📝📍
You may choose to reject this 🚮 and I will no longer Read, Curate And Upvote your future Post
this i reserved my rights🔛

55
  ·  2 months ago

Thanks for this summary. The thing I could never understand is this 30 minute rule on giving part of the curator award to the author. If people want to make money on steemit (and i know some really just love blogging) why would they upvote as soon as a post is published and give all or most if the curator award away. 🤔

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67
  ·  2 months ago

Thanks for your comment. I don't think it's a bad thing to vote early (when most of the curation rewards go to the author). Sure, it probably means you'll get less of a reward. But it might also result in a more successful platform due to the best content being upvoted. It's not always about how much Steem you're going to earn as a curator.

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55
  ·  2 months ago

Thanks, and i dont have an issue with improving the quality of the blogging space because thats the whole purpose of blogging. Its just that ive seen quite a lot of bloggers talk about how to increase or maximise their earnings so always think this 30 minute go against what they want to achieve ...just curious thats all, not that it would make any difference to when i upvote a post, if i see something i like, it gets my upvote regardless of if it was posted 10 seconds or 10 days ago

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67
  ·  2 months ago

I understand. I appreciate the questions!

43
  ·  2 months ago

Thanks for demystifying some of the concepts. I see that rewards are given in pieces( 2 or 3 times a day). Is that because blog post rewards and curation rewards are handled seperately?

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67
  ·  2 months ago

Rewards can be given many times each day. Let's say you make a comment at 9am, then another comment at 9:03am. If both of those comments get upvoted, 7 days later you're going to receive 2 separate payouts 3 minutes apart. Does that make sense?

Is that because blog post rewards and curation rewards are handled seperately?

Blog post rewards and the curation rewards associated with that blog post will pay out at exactly the same time.

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43
  ·  2 months ago

That explains. Thank you!

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67
  ·  2 months ago

Anytime

56
  ·  2 months ago

This is very helpful. I will admit that a lot of this sounds like Charlie Brown's teacher when people tell this to me, but if I read this a few times, I might figure it out. Lol! Thanks for being so informative!

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67
  ·  2 months ago

"Wah wah steemit wah wah"

It's a very complex system - there's still a ton I don't know. Luckily, you don't have to understand much of it in order to use it.

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56
  ·  2 months ago

Haha, exactly! 😊

26
  ·  2 months ago

Wow, great post! This is very helpful info to a Steemit newbie like myself, thanks for sharing.

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67
  ·  2 months ago

Glad it helped you out!

47
  ·  2 months ago

The tabs located on the wallet page to redeem rewards or buy Steem have vanished for me, have been missing for a few days now and logging in and out did not resolve the issue. Anybody else having the same issue? has there been a change?

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67
  ·  2 months ago

The "Redeem Rewards" button only shows up on the wallet page when there are rewards you haven't redeemed. I'm not sure about the "Buy Steem" concern. If you click the three horizontal lines in the top-right corner of the page, you'll see another button to purchase steem.

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47
  ·  2 months ago

Thanks It is very odd, I am active most days commenting and there was always at least claim rewards: 0.001 STEEM POWER to collect showing each day and suddenly nothing for 4-5 days. Will wait and see, actually wondering if it is possible to be hacked and your rewards diverted to another account!

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67
  ·  2 months ago

It's possible that your voting power was higher then. Now, you may have used more of your voting power, which could result in your curation rewards not meeting the minimum .001 Steem Power. If it's not at least .001, you earn nothing.

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47
  ·  2 months ago

Okay thanks, good to know, appreciate the feedback.

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67
  ·  2 months ago

I looks like you went 6 days without commenting on any posts. 2 days from now, you'll get a payout from a comment of yours. I just upvoted it, so you'll get a bit of a payout for it. If you don't get that payout, then there's something to look into. But, I suspect there's nothing out of the ordinary here.

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47
  ·  2 months ago

Thanks appreciate it!, guess there had to be a logical explanation and you found it!, not sure what I was doing for those six days - HA HA!

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47
  ·  2 months ago

You were correct, thanks again for helping me out!

32
  ·  2 months ago

worthy of a Resteem ;-)

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67
  ·  2 months ago

Thanks for that!

44
  ·  2 months ago

Great explanation @shenanigator! This is very helpful to understand better this platform, specially for people like me who is relative new here. Thanks a lot for sharing 👍 Resteemed 😃

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67
  ·  2 months ago

Glad it helped, thanks for the resteem!

49
  ·  2 months ago

The ultimate guide to payouts, should be added to FAQ.

55
  ·  2 months ago

I really appreciate you breaking it down Barney style. Upvoted and resteemed, thanks!

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67
  ·  2 months ago

Thanks for the support!

56
  ·  2 months ago

Thanks a lot man, this is super useful information. I was googling for it yesterday and couldn't come up with anythiung, then boom, this! Beautiful!

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67
  ·  2 months ago

Glad it helped!

34
  ·  2 months ago

This is a well written article! Thank you for your help!

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67
  ·  2 months ago

Happy to help, thanks for the resteem!

36
  ·  2 months ago

This is awesome thank you so much, you answered some very confusing topics and questions in a very specific and thorough write up, well done!

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67
  ·  2 months ago

Appreciate the kind words. Thanks for the resteem!

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36
  ·  2 months ago

no problem :)

47
  ·  2 months ago

Thank you for putting this information in an easy to understand manner. As a not so techy person I found this very easy to undersand and is the best explanation I have read yet.

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67
  ·  2 months ago

Thanks, that means a lot. I tried to keep it as simple as possible.

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47
  ·  2 months ago

no thank you and I would say you accomplished you goal

50
  ·  2 months ago

Which market place does not want fees?

48
  ·  2 months ago

How do I cash out? I'm so confused.

58
  ·  2 months ago

loved ur article shenanigator, u might like mine similar area https://steemit.com/steem/@danlupi/how-does-curation-work

48
  ·  2 months ago

Hi, @shenanigator, do you mind if I translate this into spanish for the Hispanic community here?

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48
  ·  last month

I translated it. I usually wait for the author's permission before translating, but I really liked this article and couldn't resist, I credited you, at the beggining and at the end of the post.

43
  ·  2 months ago

Thanks! I think this is one of the biggest things people have a hard time understanding on Steemit, and this is a hugely helpful article. The format is easy to understand. Better than Steemit itself explains. Nice job on this.

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55
  ·  2 months ago

Wow! Very helpful! Thanks so much!

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67
  ·  2 months ago

You're very welcome!

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67
  ·  2 months ago

Thanks, I'm happy it helped you.

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59
  ·  2 months ago

WAY better than their explanation!

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67
  ·  2 months ago

Well, aren't you kind :)

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59
  ·  2 months ago

I've been called worse ;)

56
  ·  2 months ago

@shenanigator I have been wondering about post payout. When we upvote a post when it has already picked up some steem. Let's say $100 will my vote count more?

If the post payout is way too much already let's say $1000 then my vote counts for nothing?

This is still confusing to me...

Please shed some light on this or direct me to the right place where I might see the math behind it. Thanks

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67
  ·  2 months ago

I have been wondering about post payout. When we upvote a post when it has already picked up some steem. Let's say $100 will my vote count more?

That used to be the case, but no, your vote should be worth about the same no matter how much the post is worth. I say "about the same" because it depends on the strength of your vote, your voting power, other users' voting habits, and the price of STEEM. But all else equal, your vote will be worth the same whether the post is at $1,000 or $0.

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56
  ·  2 months ago

Perfect. Exactly what I was looking for. Thanks you soooo much!

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67
  ·  2 months ago

You're welcome!

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56
  ·  2 months ago

Hmmm... I am still not 100% convinced of this. After some testing. Giving a few posts a 5% vote. (Carefully checking that there are no votes in between) the vote amount fluctuates. From 0.01 all the way up to 0.05

Any advice or thoughts on this. The reason I am asking is @randowhale recommend we vote after post has already got a decent amount of votes. This will give the post a bigger boost... Still the numbers don't make sense to me.

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67
  ·  2 months ago

There are other factors contributing to changes in post valuation. For example, changes in price of STEEM, and the amount that other people are voting on the network as a whole).

High-dollar-value posts are very susceptible to these changes. If you go to a post that's worth $1,000, and refresh the post a few seconds later, the post value will probably change even if it doesn't have any new votes. Voting on a post also acts as a "refreshing."

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56
  ·  2 months ago

Now it is clear! Thank you for your time to help me out with this. Really appreciate it. Tested the refresh of a high payout post. Did as you said.

39
  ·  2 months ago

@shenanigator saved my life dude. Awesome post. Followed you. Keep up the great work.

49
  ·  2 months ago

great article

25
  ·  2 months ago

Thanks for the guide! Us newbies are a bit lost here in steemland. Oh, following you too...

43
  ·  27 days ago

Now i know, thanks for the help

25
  ·  25 days ago

Thanks for sharing..!

52
  ·  24 days ago

ooh glad I found this. I'm completely new to all this and trying to get my head around it all. This is very clear and concise - thank you!

44
  ·  22 days ago

Extremely knowlegable post. Many thanks.

34
  ·  20 days ago

So does a comment need to be upvoted to receive a payout - essentially, does the comment have to be curated to receive a payout?

And are the rewards for comments from the 25% taken from the total for the whole thread? And do comments increase the rewards for the whole thread?

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67
  ·  19 days ago

So does a comment need to be upvoted to receive a payout

Yes

And are the rewards for comments from the 25% taken from the total for the whole thread?

No, they are taken from the reward pool as a whole

And do comments increase the rewards for the whole thread?

They don't directly affect the rewards of blog writer. Although if comments are highly-upvoted, the post might appear higher on the trending page, which could result in more earnings for the blogger.