KDP Royalties Update 2025: What Authors Should Know

- May 27, 2025 - 4 min. read

KDP Royalties Update 2025: What Authors Should Know

KDP royalties are about to change—Amazon KDP recently announced two important updates that will affect self-published authors worldwide, both coming into effect in 2025.

These updates relate to Kindle formatting and royalty payments for print books, and if you’re not prepared, they could directly impact both the appearance of your books and your earnings.

Whether you’re just starting out or you already have a series of books on Amazon, now is the time to review your publishing strategy and make the necessary adjustments.


1. Lower KDP Royalties for Print Books Below Minimum Price

Effective: June 10, 2025

KDP is reducing the royalty rate from 60% to 50% for paperbacks and hardcovers that are priced below newly defined minimum list prices (e.g., under $9.99 USD in the U.S. marketplace).

This means that if your book is priced below the threshold, you’ll automatically earn 10% less in KDP royalties — regardless of your print cost.

Here’s what to do:

Review and update your book pricing to stay above the minimum threshold.

Use the KDP Royalty Calculator to simulate earnings and print cost breakdowns.

Remember that royalties are calculated after deducting the printing cost, not from the full list price.


2. Enhanced Typesetting (ETS) Becomes Mandatory for Kindle eBooks

Effective: August 1, 2025

Enhanced Typesetting (ETS) will be automatically enabled for all new and updated Kindle eBooks, and it will no longer be possible to disable it.

Why it matters:

ETS improves the reading experience on all Kindle devices and apps. It includes features like better font rendering, kerning, ligatures, dynamic image placement, and proper alignment of footnotes and tables. In short, it makes eBooks look more like professionally typeset print books.

However, for ETS to work properly, your Kindle file must be formatted cleanly and correctly — especially if you’re uploading your own EPUB files.

What you should do:

Use the latest version of Kindle Previewer to test your file.

Avoid using outdated .mobi formats or EPUBs generated with unsupported tools.

Work with a professional formatter or designer if you’re unsure about compatibility.

For visually complex layouts (nonfiction, textbooks, illustrated books), consider Fixed Layout EPUBs as an alternative.


Bonus: Color Printing Gets Slightly Cheaper

As part of their annual print cost review, KDP is also lowering the cost of color printing for paperbacks in some marketplaces. While the reduction is modest, it’s a step in the right direction — especially for authors of children’s books, cookbooks, or nonfiction titles with images and charts.

If you’re planning to publish a color interior book, this could be the right time to reconsider your layout and make color a viable option.


Tips from a Professional Book Cover Designer

As someone who works closely with authors every day, here are a few final suggestions:

Don’t undervalue your book! Pricing below $9.99 might seem attractive, but it can hurt your royalties and perceived value — unless you’re using it as a strategic lead magnet.

Design matters more than ever! With readers expecting professional-quality layouts on both Kindle and print, make sure your cover and interior layout reflect the value of your content.

Stay proactive! These KDP changes are not optional. If you wait too long, your books might be automatically adjusted without your input.

If you’re thinking about updating your cover design to stay competitive—I’d be happy to help.

These changes may feel like a hassle, but they’re also an opportunity to level up your publishing game.

By reviewing your pricing, updating your Kindle files, and polishing your book’s presentation, you’ll be ready for everything KDP has planned in 2025.

Read the full official KDP announcement here!


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Alexander is a book cover designer with almost thirty years of professional experience in graphic design, including over a decade as an art director in a branding agency. His website Nessgraphica is among the top trusted sites for book cover design services overall. His Self-Publishing and Book Marketing Blog has been selected as one of the Top 100 Self-Publishing Blogs on the web.