Many people look at it and instantly think that it's low.
![](https://steemitimages.com/DQmSrhw6CZgQuXt9pTE16LmmC87XR7rn4wufwfatBoWWaGb/image.png)
Here's why and how it works...
I'm going to warn you now that I HAVE to include a little bit of math here to fully explain how author rewards for posts are paid out. But please don't worry, this is all very short and basic, just bear with me.
![](https://steemitimages.com/640x0/http://i.imgur.com/Xs4cJOi.png)
Q: How are my posts rewards paid out to me? I looked in my author rewards and it seemed low.
We'll use the same example for this, where a post pays out to you showing $40.
50/50 Payout Rewards
![](https://steemitimages.com/DQmX1kL74jdJcwGkenrj9pafziYkqgbEwa3Fmxo4oi2pAQX/image.png)
The 50/50 payout means that you'll receive 50% of what you get as Steem Power and 50% as Steem Dollars. Now to figure how much of these you get we start by subtracting out the 25% for curators from the total.
The 25% curator cut is:
So what you get is:
Now to figure out how much Steem Power you get:
Now, Steem Power is based on the 3.5 day average price of Steem. For easy example, say this price is $5 per Steem. So in this example you would get:
Lastly, we just need to figure out how many Steem Dollars you get. It's important to note here that Steemit pays you Steem Dollars as if they were equal to $1 US...even when they are selling for more than that. (A bit over $5 US at the time of writing this.)
So the Steem Dollars you'll get in this example will be:
So what you'll see in your author rewards is:
Even though this example would really make you $75 for your Steem Dollars with them selling for $5 right now. So in reality you earned $75 (from SBD) and $15 (from SP) for a total of $90! This is why you make more by setting rewards to 50/50 instead of 100% Power Up!
100% Power Up Rewards
![](https://steemitimages.com/640x0/https://steemitimages.com/DQmQoL82hdTVFaygtxG2L9754bwaJhMFSYESM3qwvgPwFN9/image.png)
We'll again use the $40 payout example. We take of the 25% cut for curators:
The 25% curator cut is:
So what you get is:
Now to figure out how much Steem Power you get: But this time, all $30 will be going towards the Steem Power.
Steem Power is based on the 3.5 day average price of Steem. For easy example, say this price is $5 per Steem. So in this example you would get:
...and That's It!
So this same $40 post ended up giving you $90 (in SBD and SP) with the 50/50 rewards and $30 (in SP) with the 100% Power Up option. Choose Wisely!
![](https://steemitimages.com/640x0/http://i.imgur.com/Xs4cJOi.png)
A few final details to note...
- 25% is the Maximum percentage that can be given to curators. However, this percentage can be less.
- Simply using the current Steem price is only an estimate for the 3.5 day average price. So major price swings over the last few days can make your calculations come out a little high or low. Just so there's no surprises when things don't come out exact for you.
- To see the current price of Steem ---> CLICK HERE
- To see the current price of Steem Dollars ---> CLICK HERE
- There are many places you can check the prices. This is just one.
![](https://steemitimages.com/640x0/http://i.imgur.com/Xs4cJOi.png)
Please Follow, Upvote and Resteem if you found this Helpful.
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Nice math, saved this to read again the future, steemit should have a save post option...
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Thank you!
Just in case you didn't see it..I have a list of dozens of guides I've written HERE.
Yea, a save post option would def nice. My browser overflows with stuff I've bookmarked. However, I do believe that both @good-karma's esteem mobile app and busy.org have this feature available. :)
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Nice guides, saved the google doc, im still new at this, my account is 1 day old and those guides will definitely save me in the future
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It couldn't have been better explained. The mathematical breakdown and analysis is totally insightful. Your post are always spot on.. This is bookmarked straight up and will always refer every newbie to this. Infact, Im resteeming... Kudos!
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I was just wondering about this as Steem was getting more expensive then SBD. I switched my last two post to 100% power as I thought it would be more profitable. I guess not! Great, call on that one for me...lol ! :(
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You can't beat yourself up too much. It's definitely a sure fire way to find out. :)
But if the SBD drops under a dollar by payout time (not likely) you'll look like a genius!! Lol
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Yea now I know for sure! lol SBD flying right now, lol.
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Resteemed this post and you gained a new follower. I'm new to this space but plan on sharing everything I learn from the Crypto world!
Thanks for sharing!
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Holy crap, I was just wondering this yesterday and thought “I’m sure @sykochica has a post on this!” Nice! Thanks again
It’s that sbd is calculated as if it always equals $1 usd that confused me.
The display of our payout beforenits paid out is calculated by the current price of Steem?
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An excellent breakdown of how the payouts work. Couldn't be simpler.
I will use this post to refer my friends when they need this question answered!
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Hi. This is very education for newbies like me. I've bookmark this page as addition to my 'steemit notes'. :) Thank you for taking time to share.
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More than happy to help out! :D
Just in case you didn't see it..I have a list of dozens of guides I've written HERE.
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Thank you for taking time to share the link to your guide. You made things easier for me to understand things in Steem. Really really appreciate it.
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Thanks for this explanation. I always wondered about this.
50/50 all the way then.
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Thank for information...
Please upvote my post...
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I have a question... does it make sense to power up to 100% and power down to 50/50 depending on price of Steem?
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Those are rather independent things. The 100% power up and 50/50 options are how the rewards are to be paid out to you from a post or comment. Anytime that 1 Steem Dollar is worth more that $1 USD on markets, you'll make more by using 50/50 reward payouts.
Powering down solely 'unlocks' Steem Power into Steem where 1 SP will always equal 1 Steem...so you'll always be 'breaking even' on this part.
This post got a little more in depth on why 50/50 reward payout pays more (when SBD is worth more than $1 USD): https://steemit.com/steemit-help/@sykochica/don-t-loose-money-by-setting-posts-to-100-steem-power
I hope that provided some clarification for you.
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really helpful post...thanks to you new guys like us are having a sigh of relief....keep it going...:)
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Thank you for the helpful breakdown! Definitely going to upvote and resteem
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Thank you for the information, very useful @sykochica
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thanks for information
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Great ur post ,,, good luck my dear friend @sykochica👍
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Great post! Come with me!
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It's a little clearer to me, but I obviously have alot to learn!
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Hey I learned something. Awesome!
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Yes and it also changes of course whit the prices. Two weeks ago you could do quick and dirty estimate calculation, what you saw under the post you got, you could multiply by 3 and got close enough $ amount.
Two days ago, when prices dropped the most you had to multiply by 2.
I made me a spread sheet to check this using steps you posted here.
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Helpful post here...
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$40 post, pffftt hahaha! I've never even had a $0.40 post!!
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cool now i easily know how it works simple maths you simplified it way more :) cool thanks a lot
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Wow, I always thought that rewards would always go through currency conversion(15$ payout = 1.5SBD + 1.5SP) and that it's always the best to choose straight into SP!
Thanks for elightening me!
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So I'll have a look at my post from 8 days ago. The payout was $19.
I received in practice 7.353 SBD, and 1.769 STEEM POWER
By your calculation it means that I got: 75% of $19 = 14.25.
Half of it as STEEM = 7.125, meaning STEEM was worth 4.0 about 15 hours ago. Bittrex agrees.
Now for the remainder 7.125 I should be getting 7.125 SBD, but I got more?
I assume the reason is because someone upvoted me before 30 minutes.
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interesting looks like 50/50 option is good to use
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the prices keep on changing otherwise would do the maths daily :) but thanks for sharing this among us
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I hope this gives people perspective. I've tried to explain it to people, especially when SBD was on its massive run. Back then, when everything was low, the 100% power up option was more viable. But, with the imbalance the 50/50 option has since overtaken it. Great work providing calculations here! I hope this would make more sense to people.
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time to choose wisely got the point thanks a lot
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And I jut made my best paying post so far 100% power up, oh well lesson learned, thank you.
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Thanks for the useful information, I am still trying to figure some things out on here and so far your posts have helped me understand that more for sure!
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Thank you very much for this examples and the detailed but simple mathematics provided. It is a lot clearer now the value of what I have in my wallet. Thanks a million.
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The calculations are really great. Looks like you are an expert in math. Thank you for sharing this very useful knowledge and information @sykochica.
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One major point if people are searching for this topic:
It's easy to look at this and conclude that STEEM's price going up is a bad thing. But in fact, it is the opposite: STEEM's price going up means that the payout value to begin with will show a higher number. After all, what's shown is simply the value of your post in STEEM multiplied by the STEEM market price.
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Thanks for sharing..
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Very informative! thank you
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thank you. A extremely helpful and informative post.
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keep sharing, more power!
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Thanks for sharing
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