RPG Evolution: RPGs Have a Health Problem

As the game industry ages, our iconic game designers are aging with it. Increasingly, they are turning to crowdfunding campaigns to fund their medical costs. Although gaming hasn't always been a lucrative field for designers, it's clear that even our most experienced designers aren't making enough to manage a medical crisis. Can we do anything about it?

The Scope of the Problem​

For some designers, yearly deductibles have crept up to the $10,000 range; with game designers often working as freelancers without insurance, costs are even higher. Incidental expenses, like wound care supplies, specialized diets, and transportation all add to these costs. To address these expenses, GoFundMe (and it is usually GoFundMe, which accounts for 1 in 3 crowdfunding campaigns for medical costs) has become the crowdfunding platform of choice, with over 250,000 medical campaigns raising over $650 million each year.

Is it possible to make a living working on games? We have some notable data points.

It's Not for Everyone​

Fred Hicks shares his perspective:

Through a combination of: Running Evil Hat (I made $0/month for several years; then we got a little success, enough to justify $450/month for a while; I’ve gotten to increase that since, but I am pretty sure I’m still not quite rating McDonald’s wages, and unless Evil Hat can improve its product output over the next few years, I’m not sure the increase can be sustained; behold part of my motive to grow the company! I should note I don’t charge the company anything else for any writing, development, or layout work I do beyond this monthly draw.) Running Jim Butcher’s online presence (the site has amazon referrals, other referral programs, the occasional ad revenue, cafe press gear, all of which funnels to me to pay the website costs and then pay myself the remainder for doing the work of creating & running all that over the past ten-plus years) Freelance layout work (which is bursty, unpredictable, and can sometimes wind up with late or very late or never-happened payment if you’re not careful)… I am just in the last year or two finally at the point where I’m making about what I made when I started in the internet industry back in 1996. Only without any benefits (save those that I get as a spouse), which is a lot like saying that I am making 30+% less than what I was making in 1996.

Louis Porter Jr. responded to Fred's post:

But there is another side to this. The side of what is "making a living"? I live is South Florida where I own a house, two cars, have a wife, one year old son and mother-in-law all living in the same house. My wife and I do well financially (She's a therapist and I am a graphic design / web designer) and LPJ Design gives me extra money to do a few fun things. But can I live off of it? No. But do I work it like a 40 hours a week job where I get full medical, weekly paycheck, 401k retirement planning, free use of internet, copier fax machine and roughly four and a half weeks off and 2 weeks of sick time? No. But I do know if I worked the LPJ Design business as well and hard as I work my "real" job the out come would be different.

Louis mentions the 1,000 fans theory, and given the success of crowdfunding in role-playing games it seems there's some merit.

The 1,000 Fans Theory​

The 1,000 Fans Theory espouses the belief that creators don't need to have a large number of fans, they just need a highly-engaged base that will support them:

Here’s how the math works. You need to meet two criteria. First, you have to create enough each year that you can earn, on average, $100 profit from each true fan. That is easier to do in some arts and businesses than others, but it is a good creative challenge in every area because it is always easier and better to give your existing customers more, than it is to find new fans. Second, you must have a direct relationship with your fans. That is, they must pay you directly. You get to keep all of their support, unlike the small percent of their fees you might get from a music label, publisher, studio, retailer, or other intermediate.

If each fan provided $100 per year, that would amount to a $100,000 year income. It's worth noting that a percentage of this number also covers things like insurance and medical bills. The total number of fans can be adjusted up or down according to the individual's needs and goals -- those creatives who live in areas where they can get by on $50,000 need only 500 fans, while those who have fans with less disposable income may need double that amount. Where do RPG fans fit in this model?

There are two constraints that working against game developers hoping to make a living using this model. For one, tabletop RPG fans are not nearly as large a market as video games or other creative outlets. For another, gamers are accustomed to lower price points than other entertainment, including the aforementioned video games.

As the market continues to expand, we're seeing movement on both of these factors that may give future designers hope. The market is growing -- Hasbro CEO Brian Goldner told Mad Money that "people are more into Dungeons & Dragons today than ever before. In fact it's enjoying its best year ever, it's been the last couple of years where it's grown. People are reengaged with that brand because it's a face-to-face game, it's immersive, and it's a game that people really enjoy playing with one another. We have more new users coming on board -- double digit, new user growth."

Along with that growth is a fan base willing to spend more, as Andrew addressed in his article, "How Expensive is Too Expensive?" This in turn means creatives can get paid more. Russ has written an excellent reference piece on EN World that every writer should read. It's worth noting that when it comes to paying fairly, Russ is a leader in the industry -- and I speak from personal experience working for him.

A third factor to consider is that the barrier to entry into role-playing games has dropped considerably. Thanks to digital platforms like DriveThruRPG and the DMs Guild, creators can make and sell games at very little cost. By keeping their expenses as low as possible, game designers can net more profit from their games. There are also more platforms to allow fans to directly contribute to creators, like Patreon.

Adding this all up, the 1,000 fan theory seems more achievable for game designers than ever before. But until the market expands enough to support more creatives in the field, economic conditions will continue to push everyone in the tabletop RPG field to test the 1,000 fan theory in the worst way...when they have a medical crisis.

 

[Xenonnonex]

I beg to differ - specifically to Australia.

I've of my co-workers had a medical emergency while over there. Not immediately life-threatening, but required surgery within a few days or it would become life-threatening. First (public) hospital turned him away because of too many people waiting. The 2nd (public) hospital temporarily fixed him, gave him medical supplies and told him to fix it himself - there was a 3month waiting list if he wanted them to operate on him to fix permanently. Third (private) hospital told him they could operate, but it would cost several thousand $$ unless he had private Australian health insurance.

In the US, it would have taken a few hours at any ER and then they would have had him follow up with his GP who would refer him to a specialist. He would have been in surgery within 2 weeks.

Is he an Australian citizen? The governmental structures are designed to cater to citizens as a priority.

And then in the US he would be hammered with the medical bill.

 

[3catcircus]

I don't think the lack of healthcare access is quite the epidemic it's often thought to be. It's certainly bad, but it's not that bad.

It's not that bad at all. Are you gonna wait in an ER unless you have life-threatening conditions? Yep. Is it gonna cost you a few clams to pay for convenience of any urgent care center? Yep. Do many insurance companies require you to see your GP and obtain a referral to see a specialist? Yep. Is a homeless person or illegal alien gonna be turned away from the ER to die in the streets? Not likely.

 

[Xenonnonex]

That's kind of a weird response, but, okay. We also have laws to protect workers as well. But that discussion is likely beyond the scope of this thread.

As in we have structures to protect a worker's pay. We have structures for universal healthcare. We have structures for retirement. Certainly many employers abuse this and try to treat people like shite. But we have laws to try to prevent this.

 

[Xenonnonex]

I'm sure, as a healthcare professional, you don't have any personal bias.

I am sure that your claim was based on evidence.

 

[Xenonnonex]

It's not that bad at all. Are you gonna wait in an ER unless you have life-threatening conditions? Yep. Is it gonna cost you a few clams to pay for convenience of any urgent care center? Yep. Do many insurance companies require you to see your GP and obtain a referral to see a specialist? Yep. Is a homeless person or illegal alien gonna be turned away from the ER to die in the streets? Not likely.

And then they will all get slugged with a massive healthcare bill. Good on them all I guess.

 

[JacktheRabbit]

No there is nothing we can do. It is called market economy.

There are lots of people in the world who wish they could live off their hobbies. Wanting to live off bring a game designer sounds like fun. A vast majority find it doesn't work, there is nothing inherently wrong with that truth.

 

[3catcircus]

Is he an Australian citizen? The governmental structures are designed to cater to citizens as a priority.

And then in the US he would be hammered with the medical bill.

Hammered with the bill? Nope. He had to use a credit card to pay for surgery in Australia. $6500.

Had it happened at home, he'd have had to pay a $150 co-pay at the ER, a $30 co-pay for the followup with his GP and a $50 copay to see the referred specialist before scheduling surgery - and a deductible of up to $2500 minus whatever he had already paid for the year for the surgery.

I've had to take my kids to the ER multiple times this year (sports/pkayground injuries primarily). $150 each visit, and I get a bill from the insurance co for the deductible which averaged $125 each time. Had to see orthopaedics for them as a follow- up. $50/visit. That's it. I also pay premiums each month, but those are pre-tax dollars, so it is essentially the same as taxes.

The difference is your Australian healthcare costs are baked into your taxes already. And you still have to pay for private insurance to get the same access as people in the US get to our healthcare system.

 

[JacktheRabbit]

I honestly dont think you can discuss this issue without talking about the healthcare system in America, and you can't do that without talking about politics in America. They are all fundamentally tied together.

This topic is not about either of them.

You try to make a career out of something that pays very poorly and this is what happens. You become unable to handle financial hardship when it happens.

Trying to blame politics and the current medical system because it does not allow you to follow your dreams no matter how poorly funded those dreams are does not mean the system is broken.

 

[Xenonnonex]

Hammered with the bill? Nope. He had to use a credit card to pay for surgery in Australia. $6500.

Had it happened at home, he'd have had to pay a $150 co-pay at the ER, a $30 co-pay for the followup with his GP and a $50 copay to see the referred specialist before scheduling surgery - and a deductible of up to $2500 minus whatever he had already paid for the year for the surgery.

I've had to take my kids to the ER multiple times this year (sports/pkayground injuries primarily). $150 each visit, and I get a bill from the insurance co for the deductible which averaged $125 each time. Had to see orthopaedics for them as a follow- up. $50/visit. That's it. I also pay premiums each month, but those are pre-tax dollars, so it is essentially the same as taxes.

The difference is your Australian healthcare costs are baked into your taxes already. And you still have to pay for private insurance to get the same access as people in the US get to our healthcare system.

If he was an Australian citizen and underwent emergency surgery he would have had to pay nothing. Zilch. In a public hospital.
Our health insurance is for other things not for fundamental healthcare. That is the fundamental difference.

 

[3catcircus]

If he was an Australian citizen and underwent emergency surgery he would have had to pay nothing. Zilch. In a public hospital.
Our health insurance is for other things not for fundamental healthcare. That is the fundamental difference.

That isn't true. Your taxes pay for Medicare, which is funded by general revenue and a 2% mandatory levy unless you are poor. And you pay an additional levy if you are a high-income earner and don't buy private insurance. Your costs are all upfront but you are still paying.