AUTOMATED ROYALTY SPLITS

Automated royalty splits are rules that divide music earnings among contributors by preset percentages every payment cycle. LabelGrid calculates each share automatically when DSP royalties arrive, applying recoupment and logged expenses first, then generates statements and triggers payouts. No spreadsheets, no manual math. Splits are included on every LabelGrid plan.

SPLIT CONFIGURATION

You define each contributor’s percentage once, per release or per artist. The same configuration holds your label’s distribution fee and any recoupment terms. From then on, every payout cycle applies those rules automatically. A remixer who earns 15% on one single and an in-house producer on standing points are both handled the same way. Change a percentage and it takes effect from the next cycle, so a one-off collaboration and a long-term roster deal can live side by side. For labels running splits across a whole roster, the same engine scales without extra per-release work.

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MULTI-PARTY PAYOUTS

Every statement breaks earnings down by DSP, release, and track: which platform paid, how many streams, the rate, and the contributor’s exact share. Payments arrive from each platform in their native currency and are tracked per DSP, so multi-currency earnings stay accurate instead of being flattened into one number. Branded statements go out by automated email, or export to CSV and PDF. Splits feed directly into full royalty accounting, putting expense ledgers, invoicing, and monthly payouts in the same place. See the artist payouts guide for setting up statements and the payment workflow.

EXPENSE RECOUPMENT

Recoupment runs before any share is paid out. Recording, mixing, mastering, and marketing costs logged in a release’s expense ledger are deducted first, then recoupment applies itself each payment cycle until the balance clears. An artist on an advance starts earning their full share automatically the cycle after costs are recovered. Contributors see the running balance: what was spent, what was earned, and what they’re still owed. There are no per-release or per-split fees. Royalty splits are part of LabelGrid’s accounting tools, and plans start at $99 per year with every price published up front.

SPLITS AT SCALE

Yes. The same split engine runs across LabelGrid distribution deals, direct deals delivered on your own behalf (SOBO), and hybrid catalogs that mix both, with each model tracked separately so revenue is never blended. Retention follows your plan: 85% on Solo and Basic, 90% on Pro, and up to 100% on Custom or via Merlin and direct deals. Payouts run monthly when thresholds are met, and earnings update by DSP, release, and track as statements process. Pro plans and above add advanced analytics plus white-label reports carrying your own label’s identity. For distributors building on top of LabelGrid, the same accounting runs through the white-label REST API.