Last Batch of Payments Allocated to Developers from the Small Developer Support Fund

Last Batch of Payments Allocated to Developers from the Small Developer Support Fund


# Grasping the Small Developer Assistance Fund: An In-Depth Exploration

Toward the end of 2022, the Small Developer Assistance Fund (SDAF) rolled out its inaugural round of payments, representing a noteworthy achievement for app developers in the U.S. This fund, formed through a settlement agreement with Apple, was intended to offer financial support to developers who had previously incurred commissions payable to Apple. The fund has advanced since its inception, conducting several rounds of dispersals aimed at assisting a diverse array of developers.

## History of the Small Developer Assistance Fund

The SDAF was established in 2021 as part of a resolution following legal conflicts concerning Apple’s App Store operations. The fund was created to compensate developers who had incurred commissions to Apple between June 4, 2015, and April 26, 2021. With a total settlement amount surpassing $100 million, the fund sought to assist over 99% of app developers in the U.S., especially those who might have encountered financial difficulties owing to the commission setup.

### Payout Tiers

The SDAF implemented a tiered payout framework based on annual earnings from the App Store. The tiers were organized as follows:

– **Under $100**: $250 minimum payout
– **$100 – $1,000**: $500 minimum payout
– **$1,000 – $5,000**: $1,000 minimum payout
– **$5,000 – $10,000**: $1,500 minimum payout
– **$10,000 – $50,000**: $2,000 minimum payout
– **$50,000 – $100,000**: $3,500 minimum payout
– **$100,000 – $250,000**: $5,000 minimum payout
– **$250,000 – $500,000**: $10,000 minimum payout
– **$500,000 – $1,000,000**: $20,000 minimum payout
– **Over $1,000,000**: $30,000 minimum payout

The first payout round in October 2022 saw developers receiving amounts considerably exceeding the expected minimums due to fewer claims than forecasted. For example, developers within the $100-$1,000 revenue tier obtained checks surpassing $2,000.

## Future Payouts

### Second Payout Round

At the end of 2023, a second payout round was launched, distributing unclaimed funds from developers who had failed to submit valid tax identification numbers. This round offered modest sums, such as $17 for those earning below $100 and $34 for those with earnings under $1,000. The maximum payout for this segment was around $2,040.

### Final Disbursement

As of this week, the third and final payment round has begun. Developers are receiving checks, E-MasterCards, and PayPal transactions. The amounts for this round are $20.19 for those with earnings under $100 and $40.39 for those making under $1,000. Developers with annual revenues exceeding $1,000,000 could see payouts of around $2,422.

Developers who were a part of this class action settlement should remain vigilant about their mailboxes, as these checks will expire after April 21, 2025.

## Summary

The Small Developer Assistance Fund has been instrumental in aiding U.S. app developers, especially those who struggled due to Apple’s commission model. Through various payout rounds, the fund has delivered significant financial support to a large number of developers. As the last payments are being finalized, it is vital for eligible developers to stay updated and ensure they secure their owed compensation.