YouTube offers endless opportunities for creators to monetize their content and make a living from their passions. Whether you’re starting a channel or want to maximize the potential of your existing one, 2024 brings new methods to monetize your content effectively.

In this comprehensive guide, we’ll explore all the ways you can make money on YouTube, from joining the YouTube Partner Program to leveraging affiliate marketing and sponsorships. By the end, you’ll have a roadmap to growing your income as a content creator.

1. Start Earning From Day One: Selling Products and Services

One of the most exciting opportunities in 2024 is that you can start making money on YouTube even if you have zero subscribers or views. If you have a product or service to sell, you can monetize your channel from day one by adding links to external websites in your video descriptions.

Whether you’re selling physical products through an eCommerce store, offering digital services, or even providing online courses, YouTube allows you to direct traffic to these platforms. This is a powerful way to make money while you build your audience, allowing you to generate revenue without relying on YouTube’s ad system.

However, for those focused on earning through YouTube’s built-in monetization features, the next step is joining the YouTube Partner Program.

2. The YouTube Partner Program: Unlocking Monetization

The YouTube Partner Program (YPP) is the most well-known way to earn money on YouTube. Once you join the YPP, you gain access to monetization features like ad revenue, channel memberships, and Super Chats.

In 2024, YouTube introduced two tiers of entry into the YPP, designed to make it easier for smaller creators to start earning money earlier.

First Tier: Fan Funding Monetization

• Requirements: 500 subscribers, 3,000 watch hours in the past 12 months, or 3 million Shorts views in the last 90 days.
• Earnings: Access to fan funding features like Super Chats, Super Thanks, and channel memberships.

Fan funding allows your audience to support you directly. Viewers can pay for highlighted messages during live streams, send money directly through Super Thanks, or subscribe to exclusive perks via channel memberships.

This tier does not include ad revenue, but it’s a great way to start making money while you grow your subscriber base.

Second Tier: Ad Revenue Monetization

• Requirements: 1,000 subscribers, 4,000 watch hours, or 10 million Shorts views in 90 days.
• Earnings: Ad revenue from long-form videos and Shorts, along with all fan funding options.

Once you hit this tier, you can start earning ad revenue from your videos. This includes both your long-form content and YouTube Shorts, expanding your opportunities for monetization.

3. Understanding Watch Hours vs. Shorts Views

To qualify for the YPP, YouTube looks at two key metrics: watch hours and Shorts views. Here’s how they work:

Watch Hours:

• Only watch time from public long-form videos and live streams count.
• Private, unlisted, or deleted videos do not contribute to your watch hour total.
• Watch hours must be accumulated over the past 12 months. However, this doesn’t mean you need 4,000 hours in your first year—any watch time in the last year counts toward your goal.

YouTube Shorts Views:

• For creators focused on YouTube Shorts, you’ll need 10 million views in 90 days to qualify for monetization.
• Shorts can help grow your channel quickly, and once you hit the view threshold, you can monetize both Shorts and long-form videos with ads.

If you’re just starting, building watch hours with long-form content may seem daunting, but YouTube’s analytics in Studio helps you track your progress.

4. Fan Funding: Connecting with Your Audience

Fan funding is an excellent way to monetize your channel before you qualify for ad revenue. It allows your most dedicated viewers to financially support you through:

• Super Chats: Viewers pay to have their messages featured prominently during live streams.
• Super Thanks: Fans can tip you directly on pre-recorded videos as a way of saying thanks.
• Channel Memberships: You can offer viewers monthly subscriptions for exclusive content, custom emojis, or badges.

YouTube takes a 30% cut from all fan funding, but it’s still a reliable income stream, particularly for creators who engage deeply with their audience. If you regularly interact with fans during live streams or have built a loyal subscriber base, fan funding can become a significant source of revenue.

5. Ad Revenue: The Core of YouTube Monetization

Once you’ve unlocked the second tier of YPP, ad revenue becomes the mainstay of your YouTube earnings. But how does it work, and how can you maximize it?

CPM (Cost Per Mille):

CPM refers to the amount advertisers pay per 1,000 views of your videos. However, CPM varies significantly depending on several factors:

• Niche: Topics like finance or technology tend to have higher CPMs than entertainment or vlogging.
• Viewer Demographics: Viewers from wealthier countries (such as the U.S., U.K., or Australia) tend to generate higher ad rates.
• Seasonality: Advertiser demand typically rises during holiday seasons or events, increasing CPMs.

RPM (Revenue Per Mille):

While CPM measures how much advertisers pay, RPM measures how much you actually earn after YouTube takes its 45% cut. RPM also includes earnings from Super Chats, memberships, and other revenue streams, giving a more accurate picture of your earnings.

Maximizing your RPM depends on balancing high-CPM topics with consistent content production. Some niches will naturally earn more per 1,000 views, so consider this when planning your channel’s direction.

6. Affiliate Marketing: More Revenue Beyond YouTube Ads

Ad revenue is just one piece of the puzzle. To increase your income, many successful YouTubers rely on affiliate marketing, which allows you to earn commissions by promoting products or services in your videos.

How Affiliate Marketing Works:

• Sign up for affiliate programs related to your niche (e.g., Amazon Associates, ClickBank).
• Mention or review relevant products in your videos.
• Include affiliate links in your video descriptions. Each time a viewer clicks through and makes a purchase, you earn a commission.

Affiliate marketing can often be more profitable than ad revenue, especially for smaller channels. If you’re reviewing products, offering tutorials, or even creating lifestyle content, affiliate links can provide a steady stream of income.

7. Sponsorships: Partnering with Brands

As your channel grows, sponsorships become a significant opportunity to earn money. Brands will pay you to promote their products in your videos, either as a direct shoutout or through product placement.

How to Get Sponsorships:

• Brands typically look for creators with a dedicated and engaged audience. This means even smaller channels can secure sponsorships if they have a specific, niche audience.
• Start by reaching out to smaller brands or companies that align with your niche. Over time, as your channel grows, larger brands may approach you for collaborations.

Sponsorship Revenue:

Sponsorships can be highly lucrative, and the amount you earn will depend on the size of your channel and the value you offer to the brand. Many creators find that sponsored content becomes their largest income stream, surpassing even ad revenue.

8. Mid-Roll Ads: Optimizing Ad Placements

Once your videos reach 8 minutes in length, you can place mid-roll ads. Mid-roll ads are inserted during the video, as opposed to pre-roll (before the video starts) or post-roll (after the video ends). Creators can either let YouTube automatically place these ads or manually insert them at strategic points.

While overloading your videos with ads can frustrate viewers, thoughtfully placed mid-roll ads can increase your earnings without harming the viewing experience.

9. Copyright and Repetitious Content: Avoiding Pitfalls

YouTube is strict about content duplication, and many creators are rejected from the YPP for reused or repetitious content. Channels that repeatedly post the same type of content without adding value, or copy other creators’ work, are at risk of being demonetized.

To avoid these issues:

• Ensure your content is unique and adds value to your audience.
• If you’re reusing clips or stock footage, make sure to transform the content and add commentary or analysis.

Violating these guidelines can lead to copyright strikes, and multiple strikes can result in your channel being terminated. Always strive for originality and compliance with YouTube’s rules.

10. Setting Up AdSense and Managing Taxes

Once you qualify for ad revenue, you’ll need to set up an AdSense account to get paid. Payments are issued monthly, usually between the 21st and 26th of the following month. Make sure your bank details are up-to-date to avoid any payment delays.

Taxes:

You’re responsible for paying taxes on your YouTube earnings. YouTube doesn’t withhold taxes for you, so it’s crucial to understand the tax regulations in your country. Consulting a tax professional is recommended, especially as your income grows.

Conclusion

Making money on YouTube is more accessible than ever, thanks to expanded monetization options like fan funding, ad revenue, affiliate marketing, and sponsorships. By combining these income streams, you can create a sustainable business from your content.

While the path to success requires dedication, patience, and strategic planning, the rewards are well worth the effort. Whether you’re creating long-form tutorials, viral Shorts, or sponsored content, YouTube offers endless possibilities for creators to grow their influence and their income.