Every time a song is played, it generates multiple “paychecks” or royalties. These are categorized into four main types: Performance, Mechanical, Sync, and Print. Most independent artists focus only on streaming, but to build a sustainable career, you must understand how to collect from all four streams.
Music royalties can feel like a maze of legal jargon. However, once you strip away the big words, it’s actually quite simple.
Think of a song like a piece of real estate. You can earn money by “renting” it out to streamers, “leasing” it to a movie, or “selling” a copy of the blueprint.
Here are the four distinct types of royalties every songwriter needs to know.
1. Performance Royalties
These are generated whenever a song is “performed” in public. This doesn’t just mean a live concert; it includes any time the music is broadcast to an audience.
- Trigger: Radio (FM/AM), TV broadcasts, music in restaurants/bars, and live venues.
- Who Collects It: Your PRO (ASCAP, BMI, PRS, IPRS).
- Deep Dive: To see the difference between your PRO and your Publisher, read our Distributor vs. PRO vs. Publisher guide.
2. Mechanical Royalties
This is the most misunderstood royalty. A “mechanical” is generated every time a song is reproduced—either physically (CDs/Vinyl) or digitally (On-demand streams like Spotify).
- Trigger: Every single time someone clicks “Play” on a streaming service.
- Who Collects It: A Publishing Administrator or the Mechanical Licensing Collective (The MLC).
- The Gap: Many artists think their distributor collects this. They don’t. Learn why in our post: Do You Need a Publisher if You Use DistroKid?
3. Sync (Synchronization) Royalties
Sync royalties occur when music is “synced” with moving images. This is typically the most lucrative type of royalty because it involves a negotiation.
- Trigger: Usage in a Movie, TV Show, Commercial, or Video Game.
- Who Pays It: The production company or the brand.
- How it works: You usually get a “Sync Fee” (upfront) and then “Performance Royalties” (backend) when the show airs.
- Learn More: Read our full breakdown of Publishing vs. Sync Licensing.
4. Print Royalties
This is the oldest type of royalty. It is generated through the sale of the physical or digital “notated” song—meaning the lyrics or the sheet music.
- Trigger: Sheet music sales, songbooks, and even digital lyric displays on platforms like Musixmatch or Instagram.
- Who Collects It: Usually handled by major print publishers or your digital administrator.
- Modern Context: Even if you don’t sell sheet music, you earn “Print” money when your lyrics are displayed on Spotify!
Comparison: Who Pays Which Royalty?
| Royalty Type | Trigger | Who Pays the Artist? |
| Performance | Radio, Live, TV | PRO (ASCAP/BMI) |
| Mechanical | Streaming, CD, Vinyl | Publisher / The MLC |
| Sync | Film, Ads, Games | Production Studio |
| Lyrics, Sheet Music | Print Publisher |
The “Master” vs. “Publishing” Distinction
Before you can collect any of these, you must remember that a song has two sides.
- The Master (The Recording): Collected by your Distributor.
- The Composition (The Song): Collected by your Publisher.
If you are only using a distributor, you are essentially ignoring the 4 royalty types listed above and only collecting the “Master” share of a stream.
FAQ: Common Royalty Questions
Which royalty pays the most?
For most indie artists, Mechanicals from streaming are the most consistent. However, a single Sync placement can earn you more than 10 million streams worth of royalties in a single day.
Do I get paid if I play my own songs live?
Yes! This is a Performance Royalty. You should report your “Setlists” to your PRO (ASCAP OnStage or BMI Live) to get paid for your own shows.
Is YouTube a Mechanical or Performance royalty?
YouTube is a “Hybrid.” It generates both performance royalties (from the video play) and mechanical royalties (from the audio stream). This is why YouTube “Content ID” is so complex and requires a professional publisher to manage.
Summary
Understanding these four royalties is like knowing the different currencies in a bank. You wouldn’t want to leave your Euros behind just because you already have Dollars.
Your Next Step: Are you sure you’re collecting all four? Use our Ultimate Music Royalty Checklist to audit your catalog and make sure no money is being left behind.