Case Study: Background Vocalist


Posted on February 24th, 2014 by Chhaya Kapadia in Financial Case Studies, Participant Data. 2 Comments

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Appendix A
Residuals Income – Triggered by Exhibition Beyond What Your Initial Compensation Covers

In addition to negotiating the rates for initial compensation, SAG-AFTRA also negotiates and enforces residuals payments – or TV/film mailbox money – for television programs and theatrical pictures – when artists are paid for exhibition of the program or movie that is beyond what was covered by initial compensation. For example, after the initial broadcast of a scripted dramatic television program made for network primetime, additional compensation is triggered in the form of a residuals payment whenever the show is rerun on network television, syndicated, released to foreign television, or to other media such as DVD or internet. There are two types of residuals calculations. Residuals can be based on a percentage of Distributor’s gross receipts (referred to below as gross receipts based), or the artists’ initial compensation or percentage of union scale at the time of production (referred to as fixed or run based residuals). Below is a chart that shows an overview of the various kinds of SAG-AFTRA uses and type of residuals payments triggered by exhibition in different media.

Made for Theatrical
Made for Network, Syndication, Foreign TV, Pay TV, or Home Video Made for Basic Cable Original (high budget) made for Internet Original (low budget) made for Internet Derivative made for Internet
Theatrical Exhibition No Fixed Fixed Fixed Fixed Fixed
Network Exhibition, NBC, ABC, CBS, FOX Gross Receipts Fixed (Run Based) Fixed (Run Based) Fixed (Run Based) Fixed (Run Based) Fixed (Run Based)
Syndication Exhibition, local broadcast Gross Receipts Fixed (Run Based) Fixed (Run Based) Fixed (Run Based) Fixed (Run Based) Fixed (Run Based)
Foreign Free TV Exhibition, outside the US/Canada Gross Receipts Fixed and Gross Receipts Fixed and Gross Receipts Fixed and Gross Receipts Fixed and Gross Receipts Fixed and Gross Receipts
Home Video Exhibition, VHS, DVD, Blu Ray Gross Receipts Gross Receipts Gross Receipts Gross Receipts Gross Receipts Gross Receipts
Pay TV Exhibition, Showtime, HBO, VOD, etc. Gross Receipts Gross Receipts Gross Receipts Gross Receipts Gross Receipts Gross Receipts
Basic Cable Exhibition, TNT, F/X, Syfy, etc. Gross Receipts Gross Receipts Fixed (Run Based) Gross Receipts Gross Receipts Gross Receipts
Internet Streaming Exhibition, YouTube, Hulu, etc. Gross Receipts Fixed and Gross Receipts Fixed and Gross Receipts No residuals No residuals Fixed and Gross Receipts
Internet Rental Exhibition, Netflix, etc. Gross Receipts Gross Receipts Gross Receipts Gross Receipts No residuals (with some exceptions) Gross Receipts
Electronic Sell-Thru Exhibition, iTunes, etc. Gross Receipts Gross Receipts Gross Receipts Gross Receipts No residuals (with some exceptions) Gross Receipts
Made for Theatrical
Made for Network, Syndication, Foreign TV, Pay TV, or Home Video Made for Basic Cable Original (high budget) made for Internet Original (low budget) made for Internet Derivative made for Internet

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About the Case Studies

Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. For more details about this, read about our financial case study protocol.

Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles.

Case studies are one of three ways this project is looking at music creator income.




2 responses to “Case Study: Background Vocalist”

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