There are professions in which a person receives a stable regular salary. Others, such as business, are associated with risks and unpredictability. Where on this scale of risk and stability is the profession of an actor located? He can’t act in movies as often as a teacher visits the kids in class, or go on stage as often as a taxi driver gets behind the wheel.
Do Actors Get Paid for Their Reruns?
As in any other profession, among the actors, there are both more successful and recognized, and little-known personalities. Therefore, their probability to get paid later when a movie or show is released varies.
- The stars involved in the film are very important for the producers. A film released without stars is unlikely to collect large revenues. Therefore, in order to attract famous actors to play in their films, producers offer lucrative contracts. They involve not only high fees but also residuals and royalties for reruns.
- Ordinary actors, not stars, even if they receive pay afterward, cannot count on a wealthy life. The amount of residuals is not so large that they can replace any other income.
- The actors of the second plan either have no residuals at all, or they are minuscule.
- As for the actors involved in the episodes, they are generally not taken into account when paying royalties or residuals.
This is a good incentive for professional growth. The more demanded and popular an actor becomes, the stronger his financial position.
Royalty and Residuals — What’s the Difference?
- Residuals suggest that when a movie or show is rerun, the actor is paid a percentage of his original fee. Sometimes this amount can even reach 100%, but usually, that amount is not so high.
- Royalty is a percentage of the sale of film products with the participation of the actor. For example, when a film is sold for distribution abroad or for broadcast on a channel.
How Long Do Actors Get Paid for Reruns?
When drawing up contracts with actors, producers stipulate what percentage of the balance and for how long they will pay the actor. There are also standard formulas used in most cases. They are defended by the unions of the Screen Actors Guild. To determine the size of the residuals, many variables are entered into the formula, for example, what contract the actor had initially, what market the film enters when it is rerun, and so on. According to these formulas, at the first rerun, the residuals are the largest, but over time they decrease. Having reached the threshold limit, for example, 5%, they will be paid exactly in this volume when rerunning a movie or TV show.
How Much Money Do Actors Receive for Reruns?
The payout range for reruns is very wide. A little-known supporting actor may receive a $0.50 check as the residual. And the actors of the popular TV film “Friends” receive 20 million dollars annually. To earn good money, the actor will have to work hard. But if he is lucky and becomes successful, Fortune will smile at him and most likely make him wealthy.
The work of an actor is exciting, but the financial side of his life contains certain risks. The key to financial stability is fame and a good producer who can negotiate large balances upon signing the contract.