
For aspiring authors, securing a literary agent is often seen as a crucial step toward landing a book deal. However, understanding how literary agents get paid and when you as an author will see those payments can be confusing. In this post, we’ll break down the essential aspects of literary agent fees, royalties, and the typical timelines you can expect during your publishing journey.
What Do Literary Agents Do?
Before diving into fees and payments, it's essential to understand the role of a literary agent. Literary agents are professionals who help authors secure book deals by pitching manuscripts to publishers, negotiating contracts, and ensuring that the author's rights are protected. They also often guide authors through revisions and provide strategic advice to ensure a manuscript’s commercial success.
In exchange for their services, literary agents earn a commission on the deals they broker—this is typically a percentage of what the author earns.
Standard Literary Agent Fees
Most literary agents work on a commission-only basis, which means they don’t get paid until you do. The industry standard commission for a literary agent is 15% of the author’s earnings from book sales, advances, and royalties for domestic deals. If the agent negotiates foreign rights or other subsidiary deals (like film rights), the commission may be higher, usually around 20-25% for these types of sales.
This fee structure is advantageous to both the author and the agent, as it aligns the agent’s incentives with your success—if you don’t earn money, neither does your agent.
Understanding Advances and Royalties Advances
When a publisher buys the rights to publish your book, they typically offer an advance. This advance is essentially a pre-payment of future royalties, and it is often the first major payday an author sees. Advances can vary widely depending on factors like the book's genre, market potential, and the author's profile.
Here’s how the payment timeline for an advance generally works:
Upon signing the contract: Authors usually receive a portion of their advance (anywhere from 25% to 50%) when they sign the publishing contract.
On manuscript delivery and acceptance: Another portion is paid after the author submits the final, polished manuscript, and it has been accepted by the publisher.
Upon publication: The final installment of the advance is paid when the book is released.
Each of these payments is subject to the agent’s commission. So, if your total advance is $20,000, your agent would receive 15% of each payment installment, and you would receive the rest.
Royalties
Once the book has been published and sold enough copies to cover the advance (this is called “earning out”), the author begins to earn royalties. Royalties are typically a percentage of the book’s sales revenue—often between 8-15% for print books and 25% for ebooks.
After earning out the advance, royalty payments follow at regular intervals, usually every six months. Your agent will continue to take their 15% commission from these royalty payments.
Payment Timelines: What to Expect
Publishing is often a slow process, so it’s important to manage expectations when it comes to payments. The typical timeline may look something like this:
Securing a Book Deal: It can take several months (or even longer) for a literary agent to sell a book to a publisher.
Advance Payments: Once the deal is made, you will usually receive the first part of your advance within a few weeks of signing the contract. The other portions will follow as the manuscript is delivered and the book is published.
Royalties: If your book earns out its advance, you may not start seeing royalty checks until 12-18 months after publication, depending on how long it takes to recoup the advance and the publisher’s payment cycle.
Remember that payments aren’t immediate, and there can be delays along the way. It’s essential to be financially prepared for these long timelines.
Deductions and Other Costs to Consider
In addition to the agent’s commission, authors may need to account for other deductions such as:
Foreign agent fees: If your book is sold internationally, a co-agent may handle the sale, taking a cut in addition to your main agent’s commission.
Legal fees: If you hire an attorney to review contracts, this cost will come out of your earnings.
Tax deductions: Be aware of taxes on your income. Some agents may withhold a portion of your earnings for tax purposes, depending on the country of publication.

Red Flags: What to Avoid
Legitimate literary agents only earn money when you do. Be cautious of agents who charge upfront fees for reading manuscripts, editing, or offering "representation packages." These are known as "reading fees" or "submission fees," and they are typically a sign of a scam. Always research an agent’s reputation and ensure they are reputable within the industry.

Understanding literary agent fees and payment timelines is crucial to navigating the business side of publishing. While the journey to publication can be long and sometimes unpredictable, knowing what to expect can help you plan your finances and make informed decisions as you work toward seeing your book on the shelves.
Working with a trustworthy literary agent ensures that you have a partner invested in your success, and understanding how they get paid allows you to maintain transparency and clarity throughout your publishing journey.