Tag Archive | crb

Happy New Year Songwriters! You’ve Got New Royalties

Happy New Year Songwriters & Music Publishers!

Take note of the new mechanical royalty rates that are now in effect for the use of your songs in the United States:

As of January 1, 2023, royalty rates are as follows:

• Physical / Permeant Download: 12¢ per minute or 2.31¢ per minute or fraction thereof, whichever amount is greater

• Interactive Streaming / Limited Downloads / Locker Services / Other Digital Deliveries: 15.1% of Service Revenue or Total Content Cost Prong Calculation, whichever amount is greater by offering.

As a reminder, if you own the publishing in your songs, you may be eligible to join The Mechanical Licensing Collective to get paid directly 100% of your digital audio mechanical royalties. This is a separate royalty stream, which your PRO (ASCAP / BMI / SESAC) does not collect or pay out. You earn two songwriter royalties when your songs are streamed on Spotify, Apple Music, Tidal, and other digital music services. You earn a performance royalty (ASCAP, BMI, SESAC) and a mechanical royalty (The MLC).

Learn more about The MLC at http://www.themlc.com and join for free today!

About The MLC in 60 Seconds:

Understanding the New United States’ Mechanical Royalty Rates

🚨Attention Music Creators & Indie Music Publishers🚨

Understand the New United States’ Mechanical Royalty 💸 Rates

📱Streaming: 15.1% of DSP revenue
💿Physical: 12 cents per media (e.g. CD, Vinyl)
🎧Downloads: 12 cents per download

Previously, streaming was 10.5% of DSP revenue and physical media and downloads were 9.1 cents.

Looking ahead to 2023, songwriters will see a 32%-44% increase in mechanical royalty income.

It is more important than ever before to make sure that your songs are registered at The Mechanical Licensing Collective.

Check out this explainer video that I helped to create on how song metadata influences your money:
https://youtu.be/BprSCHUAIcw

(Side Note: Before you sign a recording contract, understand how a “controlled composition clause” may reduce your income as a songwriter and how your obligation to pay collaborators the full statutory royalty rates, while you’re being paid less than the full statutory rate, will impact your overall net income as an artist.)

%d bloggers like this: