In just eight years, TikTok has become one of the most popular and addictive social media platforms in the world. While it hasn’t quite surpassed the likes of Facebook or Instagram, TikTok has made (and continues to make) waves in the social media ecosystem thanks to its impactful algorithm and plethora of successful influencers.
How, though, has TikTok encouraged so many people to create and publish content on its platform regularly? While the average user posts simple videos for fun, a growing network of up-and-coming content creators is able to turn a profit thanks to the TikTok Creator Fund, which compensates eligible users for the videos they create.
With that in mind, if you’re looking to become a big-name content creator on TikTok, the Creator Fund could be your ticket to success, both socially and financially. Here’s everything you need to know about the program and more.
What Is the TikTok Creator Fund?
The TikTok Creator Fund is TikTok’s user monetization program, designed to reward the app’s creator community for their contributions to the platform. Unlike traditional ad-sharing models, the Creator Fund allocates a pool of money to qualifying TikTok creators based on the performance of their content. It was launched in July 2020 with an initial commitment of about $200 million.
TikTok Creator Fund pay is distributed from regional funds, which vary by region. When announcing major revisions to the Creator Fund terms and conditions in 2024 (discussed in more detail below), TikTok also pledged to contribute approximately $1 billion over three years to the US fund, in particular.
This seems like a lot (and it is), but there are over 1 billion users on TikTok. Only a small portion of those users are eligible for the fund, but there are enough that each creator’s split is relatively small, especially compared to YouTube’s ad monetization program.
Additionally, back in 2023, TikTok announced a beta version of its upcoming Creativity Program, a revamped program aimed at encouraging even more user-generated content while increasing the earning potential for eligible creators.
How Does the TikTok Creator Fund Work?
To determine how much users can earn from its Creator Fund, TikTok claims that it analyzes a variety of factors, including the following:
- Authentic Views: Only views verified as legitimate (not from bots or spam accounts) are counted
- Engagement Metrics: High likes, shares, comments, and watch time can increase one’s earnings
- Region: Payouts may differ based on a user’s location and that of their audience
- Video Quality: Consistently high-quality, original content performs better and earns more
- Guideline Compliance: Posted content must adhere to rules and regulations set by the app
TikTok will analyze each of these aspects over the prior monthly reporting period to determine your compensation value. Once you earn enough to meet the minimum threshold, you’ll be able to receive payment via PayPal or direct deposit.
How Has the TikTok Creator Fund Expanded?
Even though the TikTok Creator Fund is generally less profitable than YouTube ad monetization, it’s still a relatively competitive monetization model. It has helped TikTok attract some of the best and brightest talent, encourage them to create engaging content, and motivate even more people to download the app.
When TikTok launched the Creator Fund, registration was very simple. However, new rules have since been introduced to help compensate creators who produce the best content. In early 2024, the brand announced some major changes to its revenue-sharing program and Creator Fund, including stricter account performance metrics and higher follower/view thresholds.
Fewer creators are eligible for the program but the payout per creator is now significantly higher. The changes managed to increase creator revenue by over 250% in just six months and also saw the minimum payment threshold decrease from $50 to $10. Additional changes to the Creativity Program hope to address complaints about low payouts and vague payment calculations that lack transparency.
How to Join the Creator Fund
Joining the Creator Fund is still relatively easy, so long as you meet the basic requirements. The following must apply to you:
- Be based in the US, UK, Spain, Italy, Germany, or France
- Be at least 18 years of age
- Have 10,000 followers or more
- Achieve 100,000 video views in the previous 30 days
TikTok will also review your account to ensure it meets the terms of service and Community Guidelines.
Once you meet the requirements, you’re ready to apply through the following steps:
Switch to a Pro Account
Start by tapping the three-line menu at the top right of your profile page. Head to the “Settings and Privacy” tab and switch your account to a Creator or Business Pro Account.
There aren’t any costs associated with having a Pro Account, and there are plenty of perks to upgrading. You’ll have access to all sorts of awesome creator tools in addition to advanced analytics. You can use these to gain insight and identify which of your videos perform best with your audience, empowering you to become a better creator in the process.
Access Creator Tools
After you’ve upgraded your TikTok account, you’ll see a new “Creator tools” tab within the profile menu. Head there and look for the “TikTok Creator Fund” option. If you qualify, it’ll appear there. If you don’t see it, review your account statistics again to ensure you meet all of the eligibility criteria.
Submit Your Application
Click on the “TikTok Creator Fund” option, follow the prompts, and provide TikTok with the necessary details. You’ll also have to accept the terms of the program.
That’s all there is to it. The only thing left to do is wait for approval, which could take a few days to a few weeks.
Why Applications Get Rejected
Sometimes, applications don’t make it through, and that’s okay. Some common reasons why your application might get rejected include the following:
- Your follower or view count doesn’t meet the minimum requirements
- You have received recent content violations or guideline issues
- There’s information missing from your application
Still, if you’re rejected, don’t stress! You can reapply after fixing any issues. Double-check your eligibility, polish up your content, and give it another shot. TikTok loves consistency, so keep creating in the meantime. If you are on the cusp of eligibility, you probably wouldn’t be making much money from the program, so your top priority should be growing your account and presence on the platform anyway.
Understanding the Payment Structure
The Creator Fund’s payment structure is complex and influenced by several different factors, as outlined earlier. You might wonder, then, just how much you can actually make by using the TikTok Creator Fund. With a few lucky breaks and some incredible TikTok videos, the sky really is the limit. Dozens of creators have earned millions through TikTok alone.
Take Bella Poarch, for instance, who went from posting simple lip-syncing videos to maintaining a $16 million music career. There’s also Alix Earle, who took a different approach and used her knack for marketing to help brands get noticed. She now has an estimated net worth of about $6 million and her very own podcast.
However, it’s important to understand that these individuals are the exception, not the rule. Most eligible creators can earn anywhere from a few hundred dollars to several thousand, depending on how consistent and popular they are. The Creator Fund is complicated, and it’s tough to determine an exact payout amount. Still, most reports estimate that TikTok pays creators about two to four cents per 1,000 views.
If you want to estimate your potential earnings before going through the hassle of signing up for the program, check out our TikTok calculator.
With all of that in mind, the bottom line is simple: The more views you get, the more you’ll earn.
Is The TikTok Creator Fund Worth It?
There are pros and cons to joining the TikTok Creator Fund. Here’s a closer look at both to help you determine whether signing up is worth your effort:
Advantages
By joining the Creator Fund, you can unlock benefits such as:
- Passive Income: Earn money for the content you’re already creating
- No Content Restrictions: Unlike brand partnerships, the Creator Fund allows you to stay authentic to your niche/personal interests
- Brand Credibility: Being part of the program can boost your perceived professionalism, which can lead to sponsorships
Of course, the platform isn’t the Wild Wild West of content creation. You still have to play by the TikTok Community Guidelines. You also have to rack up a ton of views to earn a meaningful amount of money.
Disadvantages
The biggest drawbacks to investing time and creativity into TikTok include things such as:
- Low Payment Rates: Even if one of your videos goes viral, it probably won’t earn you a whole lot of money
- Inconsistent Earnings: Payments fluctuate based on engagement and TikTok’s fund allocation
- Lack of Transparency: TikTok doesn’t fully disclose how it calculates your earnings
Ultimately, the Creator Fund can, given enough time and effort, become a lucrative source of supplemental income. However, if you are going to venture out as a content creator, it’s a good idea to diversify with other platforms (namely YouTube, Instagram, X, and Facebook).
Alternative Monetization Methods
There are plenty of ways to make money on TikTok outside of the Creator Fund, and many of them can be much more profitable (especially if you have a large enough following).
Join the Creator Marketplace
TikTok’s Creator Marketplace can connect you with brands for sponsored content opportunities. These partnerships can yield higher payouts than the Creator Fund, especially if your audience falls within certain commercial niches (like athletic wear, investing, and so on). However, it’s important to choose brands that you are genuinely interested in to ensure your channel feels authentic.
Deal With Brands Directly
If you’ve built up a strong following, you can reach out to brands directly to negotiate sponsorships or endorsements. It’s an approach that cuts out the middleman and may put more money in your pocket as a result. The downside, however, is that it can be tough to connect with a decision-maker at a major company, especially if you are just starting out.
Ask for Gifts and Tips
TikTok’s live streaming feature allows your followers to send virtual gifts and tips to their favorite creators, which can then be converted into real money. The more you engage with your audience in real-time, the more chances you’ll have to earn and promote loyalty. Check out our full guide on how to go live on TikTok and monetize your livestreams for a detailed breakdown.
Create Your Own Merch
If you have a strong personal brand, consider selling your own merchandise, such as T-shirts, hats, or any other items that align with the interests of your target audience. Top creators can make massive profit margins on their merch, though it’s very hard for smaller creators to sell enough units to turn a profit.
Use TikTok to Grow Your Other Pages
Lastly, understand that TikTok can be a great place to build a following that drives traffic to other platforms. For example, you could post snippets of long-form content on TikTok to generate buzz about your YouTube channel.
Best Practices for Success
Here are some tips to set yourself up for success as you prepare to join the Creator Fund:
Come Up With a Content Strategy
As a regular TikTok user, you just create videos for fun. And though it’s important to continue having fun as a creator, you also need a game plan. Identify topics that interest you, and post regularly to maintain audience engagement.
Leverage Tricks of the Trade
The best TikTokers use hooks, catchy video titles, and calls-to-action to maximize interaction with their videos. You should try to do the same. Watch some of your favorite TikTokers in action (especially those within your niche) and take notes to learn more about the tricks they use to amass followers.
Use Analytics Tools to Understand Your Audience
Use TikTok’s creator tools to determine which of your videos resonate(s) strongest with your target audience, as well as which content you need to tweak. Over time, you’ll get a good understanding of the kind of content your audience loves.
Should You Be Worried About TikTok Controversies?
TikTok has been involved in many controversies over the past few years. A leak earlier in 2024 revealed that the app was intentionally designed to be addictive for children. In response to these occurrences, there have also been legislative attempts to ban or for the sale of TikTok. Even Apple has considered banning the TikTok app from the App Store altogether.
Admittedly, it can be tough to tell the difference between clickbait article titles and genuine issues that could threaten TikTok. If the brand keeps finding itself at the center of controversies, all of the negative media attention will eventually lead to some real consequences. For now, everything seems to be business as usual.
You should keep an eye on the controversies that pop up in (and regarding) the app, but you shouldn’t be too worried about any of them impacting your ability to make money via the TikTok Creator Fund for the time being.
Should You Become a TikTok Creator?
The TikTok Creator Fund offers an exciting entry point into monetization, but it’s not without its limitations. By exploring additional income streams and following best practices, you can maximize your earnings and have a lot of fun in the process. If your account is eligible, there aren’t really any downsides to signing up.