Think of royalty like a special thank-you gift you get every time someone uses something you made. Imagine you drew a picture and someone wanted to use it for their book. Every time they sell that book, they give you a little thank-you gift called a royalty.
Another way to think about it is like when you share your toys with your friends. If they use your toys and have lots of fun, they might give you a little treat or a sticker as a way to say thank you. That treat is like a royalty.
It’s also like when you bake cookies with your family. If you share your cookie recipe with a friend and they sell cookies at a fair, each time they sell a cookie, they give you a small piece of candy as a thank-you. That piece of candy is your royalty. So, royalties are like little thank-yous you get for sharing something special you created.