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0 pointsCGamesPlay5y ago0 comments

If you make $999k in revenue, you will receive almost $850k in profit. If you make $1000k in revenue, you will instead receive $700k in profit. You're strangely incentivized to completely shut down your app as you approach the 1000k mark, unless you're confident you'll make it past the 1200k mark, where it's worth it again. Silly system.

0 comments

shimfish5y ago

Not strictly true.

Your earnings after the first 1M in a calendar year will become subject to 30%. Your earnings before that aren't affected.

However, you are then kicked out of the program for the whole following year and can only reapply for the year after that if the next year's earnings are under 1M.

rabuse5y ago

That does seem terrible. It should be bracketed how our taxes are, honestly.

1 more reply

psaux5y ago

Thank you, great information. Those incentives then have to change. I wrote a few apps back in the day, and 30% seemed high, but I never hit over $100k in rev. I was hoping the little guy who scaled would have won here.

amelius5y ago

Wealth distribution is exponential, meaning almost nobody will fall in the small revenue gap you mentioned.

ronyfadel5y ago

Until you’re that somebody, and then you make a post about it and it blows up on HN.

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