How to Register and Collect Music Royalties: Complete Guide for Independent Artists

How to Register and Collect Music Royalties

To collect all your music royalties as an independent artist, register with a PRO (ASCAP, BMI, or SESAC) for performance royalties, sign up with SoundExchange for digital radio royalties, and use a publishing administrator like Songtrust or CD Baby Pro to collect mechanical royalties from streaming. Most independent artists miss out on thousands of dollars in unclaimed royalties each year.

Key Takeaways

• Performance royalties (PROs): Register as both songwriter and publisher with ASCAP, BMI, or SESAC
• Mechanical royalties (streaming): Use Songtrust ($100/year), CD Baby Pro ($30 one-time), or DistroKid's royalty collection add-on
• Digital performance royalties (SoundExchange): Free signup for artists and labels
• Interactive streaming (Spotify, Apple Music): Paid automatically through your distributor
• Register for everything—most royalties don't collect automatically
• Cost to register everything: ~$50-$150 one-time + $50-$100/year ongoing

What are music royalties and why are there so many types?

Music royalties are payments owed to you when your music is used—streamed, performed live, played on radio, or used in sync placements. There are multiple types of royalties because copyright law separates the composition (songwriting) from the recording (master).

The two copyrights:

1. Composition copyright = the song itself (lyrics + melody)

   • Owned by: Songwriter(s) and publisher(s)

2. Master recording copyright = the specific recorded version

   • Owned by: Performing artist and record label (or you, if independent)

Each copyright generates different royalties from different sources.

Types of music royalties explained

Most independent artists only collect interactive streaming royalties automatically through their distributor. The rest require separate registrations.

Step 1: Register with a PRO (Performance Rights Organization)

PROs collect performance royalties when your music is played on radio, TV, in venues, or streamed. You must register as both a songwriter AND a publisher to collect 100% of your performance royalties.

Which PRO should I choose?

Recommendation: BMI for budget-conscious artists (free songwriter membership); ASCAP for standard choice with good support.

How to register:

Step 1: Register as a songwriter

1. Go to ASCAP.com or BMI.com
2. Select "Join as a Creator/Songwriter"
3. Provide personal info, tax details (W-9 for US citizens)
4. Pay $50 (ASCAP) or $0 (BMI)

Step 2: Register as a publisher

1. Create a publishing company name (e.g., "Your Name Publishing")
2. Search the PRO database to ensure the name isn't taken
3. Register your publishing company
4. Pay $50 (ASCAP) or $150 (BMI)

Step 3: Register your songs

1. Log in to your PRO account
2. Add each song with songwriting splits
3. List yourself as 100% songwriter AND 100% publisher (if you're the sole creator)
4. Submit ISRCs and release info

How long until I get paid? PROs pay quarterly, typically 6-9 months after the performance. Your first payment may take a year.

Payment examples:

• Spotify stream: ~$0.001 performance royalty
• Radio spin (small station): $5-$50
• Radio spin (major market): $50-$300
• Live venue performance (songwriter): $10-$100 per show

Step 2: Collect mechanical royalties from streaming

Mechanical royalties are owed to songwriters whenever their music is reproduced—including every stream on Spotify, Apple Music, or Amazon Music. Your distributor collects the master recording royalties, but someone needs to collect the songwriter/publishing share.

Mechanical royalty rates:

• Streaming services pay 10.5-12% of revenue to songwriters/publishers
• US physical sales pay $0.091 per copy (albums divided by tracks)
• Downloads pay $0.091 per download

How to collect mechanical royalties:

Option 1: Join The Mechanical Licensing Collective (MLC) — Free for US-based songwriters

1. Go to TheMLC.com
2. Create an account as a "Musical Works Owner"
3. Register your songs with ISRCs
4. The MLC will match streams and send payments

Important: The MLC only collects mechanical royalties from US streaming services. For worldwide collection, use option 2 or 3.

Option 2: Use a publishing administrator

A publishing administrator registers your songs worldwide and collects mechanicals globally.

Recommendation: Songtrust for serious independent artists with global reach; CD Baby Pro for occasional releasers on a budget.

How long until I get paid? Publishing admins pay quarterly, but mechanicals can take 6-12 months to process and pay out.

Step 3: Sign up for SoundExchange

SoundExchange collects digital performance royalties from non-interactive streaming services like Pandora, SiriusXM, and internet radio. These royalties are NOT collected by your PRO or distributor.

Who gets paid:

• 45% to the featured artist
• 50% to the owner of the master recording (you, if independent)
• 5% to session musicians (via AFM/SAG-AFTRA funds)

Registration:

1. Go to SoundExchange.com
2. Click "Sign Up" and select "Artist" or "Rights Owner"
3. Enter your legal name, address, tax info
4. Register your releases with ISRCs
5. It's free—SoundExchange doesn't charge membership fees

Payment examples:

• 1,000 Pandora streams: ~$3-$5
• SiriusXM play: $0.05-$0.10 per listener

How long until I get paid? SoundExchange pays quarterly, typically 6-9 months after the play.

Step 4: Collect YouTube royalties

YouTube pays two types of royalties: ad revenue (through your distributor) and composition royalties (through your PRO or publishing admin).

How YouTube royalties work:

1. Your distributor uploads your music videos and collects ad revenue
2. YouTube pays composition royalties to your publishing administrator

To maximize YouTube earnings:

• Claim your YouTube channel via your distributor (DistroKid, TuneCore, CD Baby)
• Register songs with your PRO
• Use a publishing admin (Songtrust, CD Baby Pro) to collect composition royalties worldwide

Alternative: YouTube's Content ID system (provided by some distributors) automatically claims ad revenue on user-generated videos using your music.

Step 5: Collect neighboring rights (international)

Neighboring rights are performance royalties for the master recording owner (artist/label) when music is played on radio or TV outside the US. Unlike in the US, other countries pay both the composer (via PROs) and the performer (via neighboring rights orgs).

US-based artists can collect foreign neighboring rights by registering with organizations like:

• SoundExchange (handles some foreign collections)
• PPL (UK)
• Songtrust partners with neighboring rights orgs

Is it worth it? If you get significant radio play in Europe, Canada, or Australia, yes. Otherwise, the payout is minimal for most independent artists.

Royalty Collection Checklist

Use this checklist to ensure you're collecting everything:

• Joined a PRO (ASCAP, BMI, or SESAC) as songwriter AND publisher
• Registered all songs with your PRO, including ISRCs and splits
• Signed up for SoundExchange (free) to collect digital radio royalties
• Registered with The MLC (free) or a publishing admin (Songtrust, CD Baby Pro)
• Claimed YouTube channel through your distributor
• Enabled Content ID (if offered by your distributor)
• Confirmed streaming royalties are being paid through your distributor

How much money will I actually make?

Realistic expectations for an independent artist:

Royalties alone rarely sustain a career. Most independent artists earn more from live shows, merch, and direct fan support (Patreon, Bandcamp) than streaming royalties.

FAQ

Do I need to register with a PRO if I only release on Spotify?

Yes. Spotify pays two types of royalties: one to the master recording owner (through your distributor) and one to the songwriter/publisher (through your PRO). If you don't register with a PRO, you lose the songwriter share.

Can I switch PROs later?

Yes, but you can only be a member of one PRO at a time. You can switch after your current membership term ends, but past royalties stay with your old PRO.

What if I co-wrote a song with someone else?

Register the song with your PRO and specify the split percentages (e.g., 50/50). Each songwriter collects their own share from their own PRO.

How do I know if I'm owed unclaimed royalties?

Check the MLC's unclaimed royalties search at TheMLC.com and search your artist/songwriter name.

Do I need to register instrumental tracks with a PRO?

Yes. Instrumental music still generates performance royalties when played publicly or streamed.

What's the difference between ASCAP and BMI?

Functionally, they're very similar. ASCAP is a membership organization; BMI is a for-profit company. Both collect the same types of royalties and pay similar amounts. Choose based on cost (BMI is free for songwriters) or personal preference.

Related Guides

• How to Get Your Music on Spotify
• How to Contact Record Labels
• The Complete Anarxhy Discography

Made by an independent artist. This guide is created by Anarxhy, an alternative artist navigating music royalties independently. Stream Anarxhy's music on Spotify, Apple Music, and all platforms.