What does Residuals (Usage) mean?
Residuals are payments made to actors, writers, directors, and other talent for the repeated use or airing of a project after its initial release. Residuals are commonly paid when a film or TV show is re-aired on television, sold to streaming services, or distributed in home video formats like DVDs. These payments are based on contracts and union agreements, with different rates depending on the type of media and distribution. Residuals help ensure that talent continues to receive compensation as the project generates revenue over time.
Example:An actor receives residuals for a TV show that is re-aired in syndication, earning additional income each time the episode is broadcast.
Example: A screenwriter is paid residuals when a movie they wrote is sold to a streaming platform and made available to a new audience.
Did You Know?
Residual payments can continue for years after a project’s initial release, making them an important source of income for actors and creatives!
