Music Royalty Calculator

Music royalties are calculated based on various factors and revenue streams. For songwriters and publishers, mechanical royalties, which are earned from physical or digital music sales and streams, are often based on a statutory rate per copy or stream. Performance royalties, generated from public performances of songs, are typically calculated using complex formulas that consider factors like radio airplay, venue capacity for live performances, and the audience size for TV or radio broadcasts. Check out our blog to find out more about how music royalties work.

Streaming royalties are payments made to rights holders when their music is played on digital streaming platforms like Spotify, Apple Music, or YouTube. These royalties are divided into two main types: mechanical royalties, for the reproduction of the song, and performance royalties, for the public playing of the song. The calculation of streaming royalties is complex, involving factors like the platform's total revenue, the number of streams, the specific country where the stream occurred, and the terms of the licensing agreements between the platform and rights holders.

To increase streaming earnings, artists can focus on multiple strategies: expanding their audience through marketing and social media engagement, consistently releasing new music to maintain listener interest, and collaborating with other artists to reach new fan bases. Optimizing your presence on streaming platforms by creating engaging playlists, leveraging data analytics to understand listener behavior, and using features like pre-saves and exclusive releases can help boost streams. 

Spotify pays artists between $0.003 and $0.005 per stream, on average. This means that for every million streams, an artist might earn between $3,000 and $5,000, though this amount is typically split between the artist, their record label, producers, and other copyrights holders. Check out our blog for a detailed overview of how much Spotify pays per stream.