What are the typical income streams from a song?
I’ll give you the major ones. First of all, you have the mechanical income. That’s the income that is due the songwriter and music publisher for the sale of audio recordings whether they are CDs, cassettes, vinyl, etc. The current rate in the United States is 7.55, which is paid by the record company to the music publisher on every song that is sold on an audio recording. This is known as the statutory rate. Then that money is split between the publisher and the writer according to the terms of the songwriter agreement (for example: “50/50,” “75/25,” etc.). That 7.55 will be increased to 8 January 1, 2002. So that income is going to increase. Just a quick example: a million selling single at 7.55 would be worth $75,500 to the music publisher and songwriter in 2000 and 2001. If that same record sells a million copies in 2002, it’s going to be worth $80,000. Now if you’re on an album, the same types of calculations apply, unless you are a recording artist or producer who is subject to a
