The US military gave $46,000 (£29,000) for each person killed, and $10,000 (£6,300) for each person injured, Afghan officials and tribal elders say.
US staff sergeant Robert Bales was charged on Friday with 17 counts of premeditated murder.
Family members attended a private meeting with personnel from the US military and the Nato-led ISAF forces at the offices of Kandahar’s governor, the BBC has learnt.
The families were told that some witnesses would be flown to the US to give evidence – and others would be able to participate by videolink – when Staff Sgt Bales stands trial over the deadly night-time rampage in Panjwai district on 11 March.
The US army said on Friday that Sgt Bales had been formally charged with 17 counts of premeditated murder – nine Afghan children and eight adults.
Afghan officials and villagers say 16 died – 12 in Balandi and four in Alkozai – and the US military has not explained the discrepancy.
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