Royalties, Basketing and Money 101

October 11, 2006
Check out Joe Konrath's blog today for his discussion of royalties and earning money as a writer. It's pretty good. But make sure you then read the comments section, especially the first comment by PJ Parrish about basketed accounting.

Basketed accounting is when you have multiple books and you essentially don't start receiving royalties on any of the books until the advances for all the books in the contract have paid for. I essentially agree with PJ, although it's not always possible to get this eliminated. Contracts can be tricky and everything's up for grabs, but agents, authors and publishers don't always have the same priorities.

I liked this comment from Joe:

"Building up an author's fanbase with modest print runs and a solid backlist is a safer way to make money. Slow and steady wins the race. And it stands to reason that if your backlist is earning money, there will be more money available to promote your recently released title. Once you're in a royalty situation, you're no longer a gamble--you're a sure thing."

Or, as PJ has said on her own blog, it's a marathon, not a sprint.

So anyway, check out what Joe has to say. It's an education.

best,
Mark Terry

p.s. Cherye, The Serpent's Kiss is scheduled for July 2007.