If you are a blogger or a website owner, you have likely heard that you can make money by showing ads on your pages. One of the most popular ways to do this is through a program called Google AdSense. But how exactly does the money get from the advertiser to your bank account?
In this post, we will break down the steps and explain the process in simple terms.
The Basic Idea
Think of your website like a digital billboard. Companies want to show their products to the people who visit your site. Google acts as the middleman. They find the advertisers, handle the technology, and make sure you get paid your share of the revenue.
How Earnings Are Tracked
When you put ad code on your site, Google starts tracking how people interact with those ads. You typically earn money in two ways:
- Impressions: You get paid based on how many times an ad is seen by your visitors. This is often measured per 1,000 views.
- Interactions: You also earn when a visitor takes an action, such as clicking on an ad to learn more about a product.
Google takes a small portion of what the advertiser pays for the service they provide, and you keep the rest. For most ads shown on content pages, publishers receive 68% of the revenue.
Reaching the Payment Threshold
You do not get paid the moment someone clicks an ad. Instead, your earnings build up in your account. To receive a payout, you must reach a certain amount of money known as a payment threshold.
In the United States, this threshold is usually $100. If you earn $40 in January and $70 in February, you will have $110 total. Since that is over $100, you will be eligible for a payment. If you don’t reach the limit in one month, the money simply carries over to the next month until you hit the goal.
The Steps to Getting Paid
Before Google sends your first payment, there are a few chores you need to complete to prove who you are:
- Tax Information: You must provide your tax details so Google knows how to report the income to the government.
- Identity and Address Verification: Once you reach a small initial amount (often $10), Google will mail a physical postcard with a PIN code to your home address. You must enter this code into your account to prove your address is real.
- Payment Method: You need to tell Google how you want to receive the money. Options usually include a direct bank transfer, a wire transfer, or a check.
The Payment Schedule
Google follows a monthly cycle. Here is what a typical month looks like:
- The 3rd of the month: Google looks at your earnings from the previous month and finalizes the total.
- The 20th of the month: This is your last chance to change your bank details or put a “hold” on your payment if you want to save it for later.
- The 21st to the 26th: If you are over the threshold and have no issues with your account, Google sends the money.
Depending on your bank, it might take a few extra days for the funds to actually show up in your balance.
Summary
Making money through your website is easy, and it takes effort to build an audience. Once you have visitors, the payment process is mostly automatic. By keeping your content high-quality and following the rules, you can create a steady stream of income that shows up in your bank account every month.
