Zazzle withholding a portion of cleared earnings every month

[OakAndPine]

Any idea why Zazzle withholds a good portion of our cleared earnings every month? So that we are never sure about how much money we will receive from them , inspite of cleared earnings. For example , this month I had about $165 in cleared royalty, but Zazzle paid me only $ 102 and withheld about $63. This is very frustrating.

[Baylee]

What are the sale dates on the cleared earnings you're looking at? For instance this month we are paid for any sales that occurred in September, so there may be earnings from Oct 1st or later that have cleared, but October sales won't be paid until next month.

[OakAndPine]

Does that mean that the payment for November , only includes the September royalties and not from October? Why is that?

[WBartworks]

From what I understand, royalties are not paid out until 45 days from purchase date have passed. Although it will take only 30 days for royalties to be cleared for payments, it will take an additional 45 days from purchase date for royalties to be paid out. Very frustrating, right?

[WBartworks]

Correction: It doesn't take an additional 45 days after 30 days.  45 days in total have to pass after the purchase day before royalties are paid out.

[DancingPelican]

Yes, September royalties get paid out the middle of November. October royalties get paid out the middle of December. It's always 45 days after the month the earnings occurred.

[Baylee · Accepted solution]

That's right @OakAndPine . We are paid monthly. Most companies pay in arrears, meaning they pay employees for work done in a prior period. If you started a few days before the end of the pay period, you would have to wait until the next full cycle to get paid. So we always get paid for one full month, but it's not the current month and you'll eventually get used to the schedule. For instance if you're trying to forecast how much your paycheck will be for December, don't add up cleared earnings, add up sales that occurred in the month of October. 🙂 

[WHS_Designs]

@OakAndPine 

I believe that there is a 30% withholding tax treaty between the US and India.

This would also be mentioned in the W8BEN form that international Zazzlers have to complete and submit every 3 years.

[James]

Hi @OakAndPine , I can see that there is an email case in with our customer care team. I have also noted on this for when they reply to suggest you update your W8 form which appears to now be out of date. This can potentially reduce the withholding tax you are paying. 

[OakAndPine]

I was not talking about the withholding tax James. It was about the total cleared earnings which are not being paid. I think Baylee understood me better