Learn Something About Steemit #4: How to make profit on Steemit?

Besides the interactions with the community and growth another topic is important for everyone: Earnings.

Honestly, a lot of users are here to make money. But….. First, Steemit is not a get quick rich system. This is also reflected in the Steemit payout system. Payouts are not given out directly and not in the currency you might have thought.

Let’s go through one by one action and see how it is rewarded.

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Which User Actions Rewards You With Payout

In the previous post we talked about all the user actions, which you can do on Steemit. Some of these will reward you with Steemit assets (Steem, SBD or SP) and others not.

Posting

The holy grail of earning is posting a story on Steemit. This will give you the highest payouts compared with other activities. For sure, it is the most time-consuming work. On good posts, you will spend hours and hours in writing.

After 7 days you are rewarded in SBD and SP. You get 75% paid out of the amount shown on Steemit. The other 25% will go to the curators (see Upvoting below). The payout is called author rewards. Those reward is paid 50% in SBD and 50% in SP.
Here you see the strategy of Steemit. Half of the payout is liquid money (SBD) you can use to handle things on the platform. The other half is a long term investment on Steemit (SP). As you remember SP can only be paid out over a time of 13 weeks.
Surprisingly, no payout is in Steem. You can exchange SBD for Steem, but it is not paid out directly to you.

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Follow authors

No payout on following other authors. This is just a community aspect. You are not creating any value (content). Therefore no reward.

Comments

Comments are micro content and therefore rewarded by Steemit. You can post comments on other user's posts. If people like it and upvote you get the same payout as under “Posting”.

Concentrate on comments if you do not have time to create big posts. The reward is the same. Try to give meaningful comments, which help in a discussion. People will reward this.

Upvoting

With upvoting, you highlight good content (posts and comments) and help Steemit to identify what is good. This is rewarded with a payout of SP. This is a long term investment and no liquid money. You have to power down if you want to have it.

The process of upvoting is called curation. You find your payouts under curation rewards in your profile.

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Resteem posts

Most people think that you are rewarded by resteeming other people’s post. No, this is not correct. You add just a post to your blog page, which is not written by you.
If you upvoted the post you will benefit from the curation rewards.

Chatting

You can chat with other users on discord or steemit.chat. Those are not integrated tools of Steemit that therefore are not rewarded. Sorry, no payouts.

Conclusion

Only two activities are rewarded on Steemit with payouts: posting (comments and posts) and upvoting. Upvoting and posting (50%) are both paid in Steem Power (SP). SP is bound to your account and can only be paid out over 13 weeks completely if you power down. Steemit focuses on binding the users and their investment for a longer time. Therefore the payout of the liquid currency SBD is only partially done.

Do I miss something important?

A visual summary of our learnings today and of the previous posts:
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Full size picture

Previous posts in this series:

"#1 Steem Power"

"#2 Steem Dollar"

"#3 What users can do on Steemit"

Do you have questions?

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You like the post? Feel free to comment and upvote and resteem.

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