AUTOMATED ROYALTY SPLITS
Automated Royalty Splits That Run Themselves
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, then generates artist statements and records the payouts you make. No spreadsheets, no manual math. Splits are included from the Basic plan up.
Set up a split in three steps:
- Open a release or track and add each collaborator.
- Enter each person’s share. LabelGrid checks that the shares total 100%.
- Save once. Every royalty period, each share is calculated automatically and added to that collaborator’s balance for the monthly payout.

SPLIT CONFIGURATION
How do automated royalty splits work?
You define each contributor’s percentage once, per release or per track. 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.


MULTI-PARTY PAYOUTS
What does each contributor see on a statement?
Every statement breaks earnings down by DSP, then by 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. Export a statement as a PDF to send to the contributor, or pull transactions as CSV for your books. Splits feed directly into full royalty accounting, putting expense ledgers and invoicing in the same place as monthly payouts. See the artist payouts guide for setting up statements and the payment workflow.
HOW IT WORKS
How to set up a royalty split in three steps
1. Configure
Choose the contributors and their percentages, per release or per track. Add your distribution fee, producer points, and any recoupment terms. Percentages are checked so each split totals 100%.
2. Process
When DSP royalties arrive, LabelGrid computes every contributor’s share automatically across Spotify, Apple Music, and the rest, per release and per track. Committed expenses then reduce those balances until they are recouped.
3. Pay
Generate statements each cycle, approve them, then record each payment as you send it. LabelGrid tracks the whole payment lifecycle, so every party gets a clear record of what they earned.
Stop Calculating Splits by Hand
Every price is published, there are no per-release fees, and you can start with a free 7-day trial.
EXPENSE RECOUPMENT
How does recoupment affect a split?
Log studio costs (recording, mixing, mastering) and marketing spend against the specific release it belongs to. Earnings are credited to each artist by their split, then those costs reduce the artist’s balance, and recoupment runs every payment cycle until it 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. Splits come in on the Basic plan, and every price is published on the pricing page.


SPLITS AT SCALE
Do splits work across distribution models?
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. You keep 100% when you deliver under your own direct or Merlin deals via SOBO. There is no minimum payout threshold today. Payouts run monthly, and earnings update per DSP, per release and per 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.
MORE FEATURES
Discover All LabelGrid Services
Distribution
Distribute music to all major platforms with advanced metadata and batch operations.
Catalog Management
Manage releases and tracks, with their artwork and metadata, across your entire catalog from one dashboard.
Royalty Accounting
Automated royalty processing for your whole roster, with expense ledgers and invoicing alongside transparent statements.
White Label & API
Run your own branded distribution platform with LabelGrid’s white-label infrastructure and REST API.
COMMON QUESTIONS
Frequently Asked Questions
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Automated royalty splits with recoupment and contributor statements, all in one dashboard with published pricing and no per-release fees.