Quick Answer: How to Split Royalties
The fastest way to destroy a musical friendship is to release a song without discussing royalties first. Always agree on royalty splits (both Master and Publishing) before the song is released, and document it using a 'Split Sheet'. In Nashville, the standard is equal splits (e.g., 4 writers = 25% each), while in pop and hip-hop, splits are often negotiated based on exact contributions.
Master vs Publishing Royalties
- Master Royalties: Money earned from the actual sound recording (e.g., Spotify streams, Apple Music). Usually goes to the artist, label, and producer.
- Publishing Royalties: Money earned from the underlying composition (lyrics and melody). Goes to the songwriters and publishers.
Use a Split Sheet
A split sheet is a simple document detailing who owns what percentage of the song. It must include everyone's legal name, PRO affiliation (e.g., ASCAP, BMI), IPI/CAE number, and agreed percentage. Sign it on the day you write the song.
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