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Do Actors Get Paid Every Time a Commercial Airs?

Published in Commercial Actor Compensation 2 mins read

Yes, actors typically receive payments, known as residuals, each time a commercial airs after an initial payment for their time on set.

How Commercial Actors Earn Income

Commercial actors generally receive their compensation in two distinct ways: an initial payment for their work during the production phase and subsequent payments, known as residuals, that are directly tied to the commercial's airings.

Initial Payment

The initial payment is a foundational component of an actor's compensation. This payment is specifically designed to compensate the actor for their time and effort spent on the set during the filming or recording of the commercial. It covers the hours or days of work involved in the production itself, regardless of how many times the commercial might air in the future.

Residuals (Royalties)

Beyond the initial payment, actors earn residuals, which are also often referred to as royalties. Residuals are a form of secondary payment that an actor may receive each time the commercial airs publicly. This means that if a commercial becomes very popular and is broadcast frequently, the actor will continue to receive payments for its ongoing use. In some cases, the cumulative earnings from residuals can potentially exceed the amount of the initial payment received for the on-set work.

Here's a breakdown of the payment types:

Payment Type Description Payment Trigger Potential Earnings
Initial Payment Compensation for an actor's time and effort spent during the production. Completion of on-set work. Fixed or negotiated flat fee.
Residuals Secondary payments, also known as royalties, for the continued use of the commercial. Each time the commercial airs to the public. Can sometimes exceed initial payment.