Spotify Royalties Calculator

Note: This estimate is for the artist’s total amount before labels, management & distributors take their commission.

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Spotify Royalties Calculator

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How To Take Advantage Of The Spotify Royalties Calculator

Being a musician in the world of today where the music industry has become more competitive than ever before is not an easy feat.

Unlike back in the old days, and thanks to the many inventions of technology – particularly digital tech – music has become a part of literally every country’s culture.

This is why we provide little pockets of hints and tips here and there so that we can help upcoming artists have their chance at fame.

Here we will answer certain questions about the Spotify royalties calculator that will help you to take advantage of this great feature.

With so much competition, it truly pays to gain some knowledge and insights on how tools work so that you can make effective use of them.

As they say, after all, knowledge is power!

What is a royalty calculator?

First, let’s explain what a royalty calculator is so that we can all be on the same page.

A royalty calculator or earnings calculator, which all music streaming platforms have, allows you to calculate how much you can earn from a stream.

Unfortunately, however, not all of these platforms willingly reveal their secret on how much they pay artists for streamed songs.

This is why some music promotion websites have their own royalty calculator for the public to use freely.

When going to these websites, though, you just need to make sure that the royalty calculator you are using calculates for the specific music streaming platform you upload your songs on.

Each royalty calculator works the same in principle. The only difference is how much it calculates and for what platform it calculates the royalties for.

All music streaming platforms offer artists royalty payments. This means that whenever your songs are heard, you will receive a payment.

This feature is certainly a great incentive for both platforms and artists because it allows platforms to invite listeners to listen to songs on the platform and allows artists to share their songs with others.

So, this feature is definitely a win-win situation for both parties and one that upcoming artists should take advantage of.

How are Spotify royalties calculated?

Royalty calculators are calculated based on a few major factors. These are:

  • The type of music streaming platform – There are two types of music streaming platforms, and these are on-demand and non-interactive. On-demand is what’s more popular nowadays because these are platforms that allow listeners to listen to whatever songs they like and whenever they like. On the other hand, non-interactive platforms are like radio channels or podcasts where the music being played is random and listeners don’t get to choose what to hear.

 

  • The music streaming platform – Every music streaming platform has its own version of the payout calculator. This is because the platform can include other factors that tie into how much you get paid per stream, such as how popular you are, if you are a paid subscriber, or if the fans listening to your songs are also paid subscribers or not. These are some of the other factors that can determine how much revenue you get from streaming your songs on a platform. In addition, each platform pays differently or has different fees. So, keep in mind that the royalty calculator of a platform, including the Spotify royalties calculator, may calculate a different total than another music streaming platform.

 

  • How much of the song was streamed – The last major factor when figuring out your total streaming revenue calculator is how long listeners listened to your song. For example, if listeners only listened to half of your song, then your payout will only be half the amount.

How much does Spotify pay per stream?

As mentioned, each platform pays differently and has different factors that come into play to determine your stream’s total payout.

As for how much Spotify pays per stream, they pay roughly $0.04 per 10 streams.

So, 1000 streams would be around $4, and 100,000 streams would be $400.

Remember, this result may be lower based on certain factors such as if only half of your song was listened to.

Therefore, in order for you to receive a decent wage from streaming on Spotify, your songs will need to have over 300,000 streams per month.

Who receives Spotify royalties?

These royalty payments are directly paid to the artist who created the song.

In some cases, the songwriter gets the payment, but a portion of the payment does go to the publisher if the songwriter hired someone to publish their song.

And, for some platforms, they too receive a certain percentage of your total royalty revenue from using their platform.

So, in the end, you may not receive the full payment from your stream of over 300,000.

This is why it is vital to be dedicated to your music if you ever wish to make it in the music industry.

Otherwise, you will be one of the millions of unfortunate artists that are left in the shadows, going unheard of.

Final Thoughts

As a musician in today’s day and age, you cannot afford to go easy on your music career.

Having learned this from my own experience, I can confidently say to fellow artists out there that you cannot give up if you hope to succeed in this difficult industry.

Knowing a thing or two about the Spotify royalties calculator is just one step in helping you to make the most of your songs and the platforms you are working with.

This is exactly what we do a SoundCampaign – helping artists and musicians alike to make it to stardom.

So, utilize these royalty calculators to begin your plans for your music campaigns and to apply this unique insight to how you can take advantage of this feature in your marketing strategies.

About the author

Nadav Peleg

Nadav Peleg

Founder & CEO at SoundCampaign

Hi! I'm Nadav, a former music producer with a passion for marketing and music tech.
I have a love for data and all the analytics behind their numbers. When I founded SoundCampaign, I invested a lot of effort and time in order to bring to life this advertising platform that focuses on helping artists get the real exposure they deserve.

Spotify Royalties Calculator

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