Music Management: How does An Artist Manager Get Paid?

The most crucial aspect of a music management contract is how much income you get as an artist manager for bands. It usually takes from your gross income, not your net income. This means that music managers get paid before any deduction or expenses are subtracted from their earnings. 

If you are not aware of how much you should get paid, then you might end up signing away more of your earnings than you expected. However, before signing any, the contract takes time to learn about your manager’s pay. Besides that, you should be aware that there is no particular definition of what it means to be a music manager. The managerial role can be varied and depends on the requirement of the band and the structure of your team. 

For instance, you can have a manager that works entirely on your behalfs, such as booking concerts or private gigs, working with a recording manager, and managing promotions. Depending on the responsibilities, the pay of a music or artist manager could vary.

Compensation as Band Manager 

Sometimes the manager accepts only a fixed salary, but most management deals are on the basis of commission. It means that it takes a percentage of the amount from the income you generated. The amount of rate they receive can be negotiable, but you need to understand what the standard payment for managers is. 

However, the rule is around 15%, but some artists want 20% if the artist is new and there is a lot of work to be done. The new artist requires more work upfront before any amount is seen. Remember, the percentage of your gross income is your total income before any other deduction. 

Management Fees

An ideal management fee is 15 to 20% of your earnings as mentioned earlier. Your manager takes a cut and proceeds from album sales, any label advance, and from the earnings he negotiates. Some do not get any money from your merchandise sales, songwriting royalties, or deals he does not negotiate. 

Music Manager for Intermediate Bands 

If you reach a certain level of success, you may need an experienced management team. Rather than just working with a music manager, you require expertise way ahead of your promotional work. This additional role can typically be managed by artists managers along with their everyday work. 

Hence, it depends on the structure of your music management team. The salary of this distinctive position comes out of the percentage that your manager earns. Significantly, they are paying out of their earnings to enhance their support and delegate tasks. You can expect that manager can take up to 25% of your earnings, but additional help is included in this amount. 

Music Manager for Established Bands

If your music band is already successful or popular with a large fan base, then the structure of your music management team may change. In an intermediate band, you may also have a booking agent. However, it may have been separate from the music manager position. When you have a different person as booking agent and manager, then their earnings are distributed separately. 

Final Thought about Paying Your Music Manager 

While the method may seem greedy at first instance, your manager should be rewarded for their work. The artist manager for bands manages your work as you focus on the job you love the most. They also manage your recording time, schedule concerts, events, and many other things. They should be adequately compensated. Before signing any deal, it is significantly essential that you review your manager’s pay.

You need to pay travel and pocket expenses as well, in case you are traveling for shows. To make a contract, you need to consult a lawyer or music distribution companies like Deliver My Tune, who are experienced in the music industry. A contract is a legally binding document, whose rules and regulations you have to follow after both parties have signed it.  

Your manager can charge up to 15 to 25% of your earnings, on an average rate. Other things that require consideration are the term period of your contract, and the continuation of your payment after the contract ends because the manager can continue to earn after the contract period is over. 

He or she can earn from the deals that the manager negotiates when he is in the length of the contract period. The only rule of thumb to work with the manager is that you decide everything before the work begins, to avoid any confusion.

Contact us if you’re looking for an artist manager for your new release1