How are the royalties calculated?
For each song used on a licensed website, in a podcast or in other ways online, we use the same method of allocating points as for background and other general use, that is we allocate 1 point per 15 seconds of duration up to 1 minute, a standard 12 points where the duration is between 1 and 6 minutes, and 4 points per minute where the duration is greater than 6 minutes.
Once the points have been calculated, the total licence fee collected from the licensee is divided by the total sum of all points, resulting in a $ rate per point. This rate is then multiplied by the number of points, resulting in the royalty amount payable for that song for a single performance. If the song has received multiple performances/streams, then the royalty payable for that song rate is multiplied by the number of performances.
Once we have calculated the amount payable for a song, we can pay that amount to the copyright owner of the work. If the copyright owner is a member of an affiliated overseas society, we pay the royalties to that society.
How often are royalties paid?
Distributions are calculated and paid quarterly.
What about songs that cannot be identified or are the subject of a dispute?
View our information guide on Unidentified Songs and Disputes for more information.