Streaming

How Spotify pays royalties.

Spotify pays from a pro-rata revenue pool: your share of total platform streams determines your share of the payout. Every stream generates three separate royalties — a master recording royalty (paid via your distributor), plus BOTH a mechanical and a performance royalty on the composition, which most artists never separately register to collect.

Payment model: Pro-rata: total revenue pool divided by each artist's share of total streams.
Estimated rate: Estimated $0.003–$0.005 per stream — varies by listener country, Free vs. Premium tier, and your distribution deal.
Royalty types generated: Master recording royaltiesMechanical royaltiesPerformance royalties

How to collect it

Master royalties: paid automatically by your distributor (DistroKid, TuneCore, CD Baby, etc.) — no separate action needed.
Mechanical royalties: register your composition with a mechanical rights body (The MLC in the US, or your local equivalent) or a publisher/publishing administrator.
Performance royalties: register as a member of a PRO (ASCAP/BMI/SESAC in the US, or your local society) — Spotify streams count as a public performance.

Related royalty types

Mechanical Royalties →Public Performance Royalties →

Rates verified 2026-08-28 from cross-industry research; treat all per-stream figures as estimates — they vary by territory, subscription tier, and your own distribution deal. Rekon is independent of Spotify and not affiliated with it.

Find out if you're actually collecting every royalty Spotify owes you.