YouTube Shorts Monetization: In early 2023, YouTube rolled out ad revenue sharing for Shorts as part of the YouTube Partner Program (YPP). This was a big deal, as previously short-form creators had fewer direct monetization options. Here’s how it works in simple terms: YouTube aggregates ad revenue from ads shown between Shorts in the feed, then puts a portion into a “Creator Pool.” From that pool, creators get paid out based on their share of total Shorts views (and after YouTube takes a cut and accounts for music licensing costs). Creators receive 45% of their allocated Shorts ad revenue (45% to the creator, 55% to YouTube, reversing the split of long-form). The actual earnings vary widely – some reports show it could be only a few dollars per million views in some cases, but others have made significant money if they accumulate hundreds of millions of views across Shorts. Importantly, to qualify for YPP via Shorts, you need to meet eligibility (as of 2025: 1,000 subscribers and either 10 million Shorts views in 90 days or the long-form criteria). If you’re already a YouTube partner from long videos, you automatically earn from Shorts too.
Beyond ads, YouTube offers other revenue streams: if you convert Short viewers to channel subscribers, they might turn on channel memberships (paid monthly) or donate in live streams, etc. Also, YouTube’s culture tends to attract more brand sponsorships for video. A YouTuber with a million subs might land lucrative brand deals on their channel. Shorts can help grow that audience to make such deals possible.
TikTok Monetization: TikTok’s direct pay to creators has been critiqued as modest. TikTok’s primary built-in program is the TikTok Creator Fund (recently evolving into a Creativity Program in some regions). The Creator Fund is a pool of money (TikTok pledged e.g. $300 million over a few years) from which it pays creators based on views and engagement, if they meet criteria (e.g. 10k followers, 100k views in last 30 days, etc.). Many creators have reported the payouts are low – often a few cents per thousand views. For example, someone might get only $20 from a video with a million views on TikTok (varies, but that ballpark). This is because the Creator Fund isn’t revenue sharing; it’s a static pool of money, so as more creators join, each slice gets thinner. TikTok has also introduced Tips and Gifts, where viewers can tip creators during lives or on profiles (processed via Stripe, creators get 100% minus small fees). But you need a minimum follower count (100k for tips) to enable that. There’s also TikTok LIVE gifting and its own ad-hoc brand deals marketplace.
However, brand deals and external monetization are where TikTokers often thrive. If you grow a big following on TikTok, brands might pay you for sponsored content. TikTok’s culture of virality can rapidly turn a small business’s sales on (if your video features a product, it can sell out overnight). Many TikTok creators monetize by launching merchandise or driving viewers to their own websites/patreons. But as far as platform payouts: YouTube’s model of sharing ad revenue generally has higher earning potential for creators, especially at scale.
One more angle: YouTube vs TikTok ad rates and audience value. YouTube’s ad system is very mature; advertisers pay more for certain niches (finance, tech, etc.) and creators get a cut. TikTok’s ads (and the Creator Fund) are less personalized to high CPM niches. So an educational creator in a lucrative niche might earn a lot on YouTube per view, whereas TikTok views pay the same fractions of a penny regardless. In essence, if making money from your content is a big goal, you eventually want to be big on YouTube. That said, if TikTok can get you famous, that fame can translate to money via sponsorships and then migrating to YouTube or other platforms for additional revenue.
Summary of Monetization: YouTube offers a more straightforward path to dollars from the platform itself (ad revenue share on Shorts and long videos). TikTok offers virality and brand attention, but you might need to hustle more with brand deals, and the in-app payouts are limited. As Riverside.fm bluntly put it, “YouTube offers far better in-app monetization… TikTok’s Creator Fund continues to be limited.”. Many creators choose to use TikTok as a stepping stone: explode in popularity there, then channel that audience to YouTube (and other income streams). Of course, you could also just focus on one depending on what content you love making.