How Musicians and Composers Make Money

by DISC MAKERS on APRIL 4, 2012

 

 

The Future of Music Coalition just released the results of a research project they conducted where over 5,000 US-based musicians were surveyed about how they earned money. Below is the list with their findings.

Songwriter and Composer Revenue
1. Publisher advance. Bulk payment to songwriter/composer as part of a publishing deal.

2. Mechanical Royalties. Royalties generated through the licensed reproduction of recordings of your songs — either physical or digital.

3. Commissions. Typically a request from an ensemble, presenter, orchestra or other entity for a composer to create an original work for them.

4 Public Performance (PRO) Royalties. Revenue generated when your songs are played on radio, TV, in clubs and restaurants. Paid to songwriter/composer/publisher by ASCAP/BMI/SESAC

5. Composing Original Works for Broadcast. Typically a commercial request to compose an original jingle, soundtrack, score, or other musical work for a film, TV or cable show, or an ad agency.

6. Synch Licenses. Typically involves licensing an existing work for use in a movie, documentary, TV, video games, internet, or a commercial. Paid to songwriters/composers either via publisher or record label, or via a direct licensing deal with the licensee (movie studio, ad agency, etc) if you are self-published.

7. Sheet Music Sales. Revenue generated by the sale of songs/compositions as sheet music. Paid to songwriter/composer by publisher, or directly from purchasers if you are selling it on your website or at performances.

8. Ringtones Revenue. Generated from licensing your songs/compositions for use as ringtones. Paid to songwriter/composer via your publisher, your label or Harry Fox.

9. ASCAPLUS Awards Program. Awarded by ASCAP to writer members of any genre whose performances are primarily in venues outside of broadcast media.

10. Publisher Settlement. Payment from publishers to writers for litigation settlements.

Performer and Recording Artist Revenue
11. Salary as Member of Orchestra or Ensemble. Income earned as a salaried member of an orchestra or ensemble.

12. Shows/Performance Fees. Revenue generated from playing in a live setting (for non-salaried players).

13. Record Label Advance. Paid to artist as part of signing a deal.

14. Record Label Support. Money from label for recording or tour support.

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