Receiving Amazon KDP payments may not be an issue for US and UK-based authors, as they have the option to get paid via direct deposit.
But if you live elsewhere?
You will need to resort to using a paper check as a payment option.
It’s already bad enough that you need to wait around three months to get paid. And now you have to reach the minimum threshold of $100 to get paid in a paper check.
That may not be an issue if you’re raking in more than $100 per month in sales.
But if you’re just starting, it can feel like forever. And it’s even more so when you have to forfeit 30% of your book sales to the IRS.
Okay, I can’t help but throw the IRS into the conversation here since 30% of your book sales is a lot.
There’s no doubt it’s going to take you even longer to meet the minimum threshold just to get paid.
Even if you’re swimming in money ala Scrooge McDuck right now, it’s still a hassle to deposit the check since it’s an international check.
You can’t deposit the check using a check deposit machine and call it a day.
The alternative way to receive your Amazon KDP payments
Just open a US bank account if you want to receive your book royalties through direct deposit.
That should solve the problem, right?
Well, you’re not wrong since the reason why most international authors can’t opt for the direct deposit is that they don’t have a US bank account.
But the thing about opening a US bank account is that it’s hard to do when you don’t live in the US.
Even if it’s possible, you will still have to go through so many legal hoops, which isn’t worth your time and money just to receive payments from Amazon.
The good news is you don’t need to go through the hassle of opening a US bank account since these platforms make it easy for you to receive your payments with ease.
And the best part of all? They’re also the approved Amazon Payment Service Provider Program.
If you want to receive your payments through direct deposit instead of checks, consider using any of these platforms.
In case you’re wondering, I do have personal experience with using these platforms, with one of them being the one I used in the past.
Payoneer
Think of Payoneer like PayPal, where you can receive your book royalties and affiliate commissions in multiple currencies.
But the difference is you’ll get a dedicated bank account with the account number, the bank’s name, and the routing number used for the direct deposit instead.
Just use this information when you set up the payment on your KDP dashboard, and you’re good to go.
Payoneer will then notify you through email whenever Amazon deposits your Amazon KDP payments to your Payoneer account.
You can then transfer the funds to your local bank account if you’d like.
Keep in mind that there will be a small fee when you transfer the money to your local bank account. And there’s a minimum threshold for the withdrawal, too.
Feels like a hassle to you?
Well, your Payoneer account also comes with a debit card that is linked to your Payoneer account.
And the debit card you’ll receive is a physical one too, not a digital card.
They even send you a new debit card too, if your card is almost close to the expiry date.
You can pretty much use the card anywhere, including Amazon, since it works like your typical debit card.
The downside? Payoneer will charge you $29.95 annual fee if the amount you receive is below $2000 or your account remains dormant for months.
And if you have an active debit card, that will cost you another $29.95 per year.
Imagine when you have to pay close to $60 when you have the Payoneer debit card and your book sales are below $2000.
It’s for this reason that I no longer use and recommend Payoneer anymore.
Thankfully, there’s another player in town. And that’s the one I’m currently using.
Wise
Just like Payoneer, you can also use Wise to accept your book royalties and affiliate commissions in multiple currencies.
But the best part of all? It has no annual fees whatsoever.
Heck, it doesn’t even have fees when you receive money, too.
The only exception is that you will have to pay a fixed fee of $6.11 per payment when you receive your payment through wire transfer and SWIFT.
And if you want a debit card like the one you can get in Payoneer?
Well, you can get one with Wise, too. They even give you a digital debit card while you wait for your physical card to arrive.
Just like the account, the debit card also doesn’t have a subscription fee.
You’ll get the card for free too when your card is about to expire.
But you will have to pay if you want to replace your card, though. Even with that, it will only cost you a small fee, which they will charge in your local currency.
Depending on where you live, you can sign up for the Wise business account for more features, such as connecting your account to the accounting software and earning interest from your balance.
I can’t say much about the Wise business account since it’s not available in my country yet.
But I may consider converting my account to a business account once it’s available in my country.
Payoneer vs. Wise: Which one should you use
It’s obvious that Wise is a clear winner here simply because it’s perfect for those who are just getting started.
No annual fee for the account and also the debit card.
Heck, you don’t even have to pay fees when you receive money into your Wise account, too, saves for the wire transfer and the swift payment.
Who doesn’t want that?
If Wise has these kinds of offerings, I would have signed up with them ages ago instead of Payoneer.
Imagine how much money I save by using Wise.
Another amazing thing about Wise is that you can top up your Wise account with money from your bank account.
While this feature is beneficial when you’re traveling to foreign countries, you can do the same for paying your business expenses.
Of course, it’s best that you sign up for the business account if it’s available in your country for more features.
But you can do plenty of stuff even with the personal account alone, if you ask me.
Want to start receiving your book royalties and affiliate commission through direct deposit instead of checks?
You can sign up for Wise right here: