What advertisers pay per 1,000 ad impressions on your content
CPM = Cost Per Mille (per 1,000 ad impressions). What advertisers pay YouTube/TikTok/Meta. You as the creator receive a portion of this (RPM).
CPM is gross. RPM is what hits your pocket. YouTube keeps 45%, so $20 CPM ≈ $11 RPM (minus videos without ads).
CPM is set by what advertisers will pay to reach your specific audience, which is why the same view count earns wildly different amounts on different channels. Finance, insurance, software and legal topics carry high CPMs because the advertiser's customer is worth a lot. Entertainment and general lifestyle carry low ones.
Advertising budgets cluster at the end of the calendar year and empty out in January. The same video can earn very different amounts in December and February with identical views, which is why month-to-month comparisons mislead and year-over-year comparisons do not.
Where your viewers are matters as much as how many there are. Audiences in markets with higher advertising spend generate higher CPMs, so two channels with identical view counts and identical topics can earn very differently.
Cost Per Mille — the cost per one thousand ad impressions. It is what the advertiser pays. What the creator receives is RPM, which is lower because the platform takes a share.
CPM is gross, paid by the advertiser. RPM is revenue per thousand views after the platform takes its cut and after unmonetised views are included. RPM is the number that describes your actual earnings.
Usually topic and audience geography. Finance, software, insurance and legal content carry the highest CPMs because advertisers value those customers most. Season matters too — budgets peak at year end and collapse in January.
Tax rules, limits and pay data change. Check the current figures with the primary source before acting on them.