Do you know how to make money on Spotify? Spotify is one of the most famous ways to listen to music online. Millions of people use the premium service and pay for it. So, is it possible to make money on Spotify? There is, yes. Here, we’ll look at how to make money on Spotify.
The primary way for someone to make money on Spotify is to make money from their music through sales and royalties. This is like how a musician has always made money. If you make something people like, you get paid every time someone buys or listens to it.
In recent years, downloadable streaming platforms like Spotify, Apple Music, SoundCloud, and Pandora have become popular. Spotify has made a name as a vast streaming service. But what about musicians? Spotify is good for listeners in many ways, but when it comes to paying artists, they aren’t very generous. Also, they don’t clarify how much an artist can expect to make per stream.
How much you get paid per stream on Spotify depends on many things, like where your listeners live, if they have a Spotify premium account, and what kind of distribution deal you have.
1. How much does Spotify pay for each stream?
The Recording Industry Association of America says that paid subscriptions have replaced album sales. Even though physical sales were already bad, the pandemic caused a 23% drop in revenue from physical products, according to the RIAA.
With that part of their income going down and live events being shut down across the industry, artists need music streaming revenue even more.
But Insider found that Spotify has paid artists as little as $.0033 per stream, and other sites have said that it has spent as much as $.0054 per stream. In other words, you need about 250 streams to make a dollar.
Brandon Pain, a 27-year-old rap artist from New Jersey, told Insider that this is why rappers make money through merchandise, endorsements, and guest spots.
Spotify’s payout rates have changed over time, so this wasn’t always the case. In 2014, they paid an average of $.00521, dropping to $.00437 in 2016. Artist-rights site The Trichordist says that by 2017, the average pay rate had dropped again, to about $.00397.
2. How an Artist Can Make Money
As an artist, there are two main ways to make money on Spotify. The artist gets royalties because they own the master rights to the song or because they have the right to make copies of the music or perform it live.
The first is the amount the performer, like a singer, gets for each stream. If you are the one singing the song, the master royalties will go to the label for which you recorded it.
Of course, your record label will give you a share of the money. As a songwriter, composer, etc., you can get a mechanical royalty every time your music is streamed. First, this one is easy. You sign up for a company that sells music or a label. They will put your song on Spotify, and you will get a cut of the money people pay to listen to it.

The second one is a little tricky because you won’t get the money directly if you are an independent songwriter or composer.
It goes to a company that collects debts. It can be hard to get your money if you don’t have a publishing manager. A publishing administrator makes it easy to sign up. A lot of companies that sell music do the job of one.
So, now that we know how to make money on Spotify and how the math works, let’s look at how to get more streams since more streams mean more chances to earn royalties. Before we get into the numbers, it’s good to review how music has made money in the past and how it makes money now.
Even though the old models are still around, digital streaming has made things a lot more complicated. The Spotify stream payout system is very complex, so be warned.
No one is to blame for that. It has to do with the item that the complicated royalty system for music from before the digital age has messed up with the complex online services of today.
3. How Much Money Can I Make Per View on Spotify?
Spotify pays between $0.0033 and $0.0054 per stream, depending on how many people use Spotify and how much of that use is yours. On average, if 1,000 people look at your content, you’ll make between $3 and $5. An artist makes an average of a million streams between $3,300 and $3,500.
It’s also important to know that streams or views of your Spotify content won’t count toward a royalty payment unless the user keeps listening for at least 30 seconds.
4. How to Make Money on Spotify in Other paths
To earn money on Spotify, you don’t have to have music you wrote or made yourself. You can also make money by putting together playlists.
a person who creates Spotify playlists of songs by other artists so that customers may stream lengthy chunks of music at home, at work, or in their automobiles without having to search. You can do a few simple things to ensure you do well as a Spotify playlist curator.

Spotify is like any other social media site, and you should use it the same way. People go there to stream music. It is a social media site. So, the only way to grow on Spotify is to make good music fun and promote it like crazy. Check out some of the other social media sites.
If you want to get more views on YouTube, you need to make videos that are fun to watch. But you can’t stop there because millions of other YouTubers want to be seen. To get it to rank higher, you have to promote it on other social media sites and try to find keywords.
Spotify also needs the same kind of approach. Here are the three most important ways to get more streams on your Spotify account.
- You can limit the number of ads in your playlists.
- Make great playlists with top-rated songs or songs that are hard to find.
- Spread the word about your playlists on social media and other websites.
- Join the Spotify Community, and then use the Spotify Playlist Exchange to share your playlists.
- Like artists, musicians, and producers, people who put together playlists on Spotify can only make a lot of money by slowly growing their audiences.
In 2017, Digital Media Finland studied the pro-rata system that Finnish Spotify Premium subscribers use. This system pays the people who own the rights based on how their songs compare to popular songs over time.
More people stream an artist’s music means they make more money. So, artists need more streams if they want to make more money.
Conclusion
Now you may have an idea about how to make money on Spotify. More people stream an artist’s music means they make more money. So, artists need more streams if they want to make more money. Many artists have found that traditional music is often the best way to get more fans.