Every dollar a music creator earns flows through one of two distinct copyrights — and lands as one of six royalty types. Master this map and every contract, statement, and split will start making sense.
U.S. copyright law (and most national laws under the Berne Convention) recognizes two separate copyrights in every released song. They are owned, licensed, and paid out independently — even though they describe the same piece of music.
The underlying song — melody, harmony, lyrics, structure. Owned initially by the songwriter(s) and typically administered by a music publisher. Generates performance, mechanical, sync, and print royalties.
The specific recorded performance of a composition — the master. Owned initially by the recording artist (or assigned to a label). Generates streaming, download, sync (master side), and neighbouring-rights royalties.
Every check a music creator receives belongs to one of these six streams. Know which ones apply to you, who collects them, and where your money is supposed to land.
Triggered when a composition is publicly performed — on radio, TV, in streaming services, venues, restaurants, and broadcasts. Collected by PROs (ASCAP, BMI, SESAC, GMR; SACEM, GEMA, PRS, etc. abroad) and paid to songwriters and publishers.
Reproduction royalty paid each time a composition is reproduced — physical sales (CDs, vinyl), permanent downloads, and on-demand interactive streams. In the U.S., administered by The MLC (post-MMA); Harry Fox Agency handles many catalogs.
Per-use fees negotiated when a composition is paired with visual media — film, TV, ads, video games, YouTube, TikTok. There is no statutory rate; every sync is a negotiated license.
Paid to performers and master-recording owners for broadcasts and public performances of recordings. Most countries pay both songwriter side AND performer/master side; in the U.S. terrestrial radio is an exception (no master pay).
U.S.-specific statutory royalty for non-interactive digital streams (Pandora radio, SiriusXM, internet radio). Collected by SoundExchange and distributed: 50% master owner, 45% featured artist, 5% non-featured AFM/SAG-AFTRA fund.
Per-copy royalty paid on the sale of printed sheet music, folios, hymnals, choral arrangements, and digital sheet music. Typically 10-15% of retail to the publisher who then splits with the songwriter.
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