Learning the Ins and Outs of Residuals

Residuals are a critical source of income for performers, especially in times of financial need. Throughout the pandemic, SAG-AFTRA has endeavored to ensure that members receive their payments in a timely fashion; employees continue to go into the office during the pandemic to process residual checks, and residuals are being deposited via direct deposit to shorten delivery time to members. 

Still, there’s a lot to know about how payments work. 

To provide a better understanding of residuals and how payments are calculated and tracked, the President’s Task Force on Education, Outreach & Engagement hosted Understanding Residuals for SAG-AFTRA Performers on Dec. 10. Chief Contracts Officer Ray Rodriguez and Contract Enforcement & Strategy Executive Director Jennifer Gaudry presented.  

Gaudry’s presentation, which centered on residual payments stemming from television, theatrical and new media productions, explained there are two types of payments — fixed (or “run-based”) and revenue (or “gross receipts-based”) — their differences, as well as the factors that inform how they are calculated. 

“The key to knowing when you should expect residuals starts with understanding what your initial compensation covers,” said Gaudry. “You’re going to get residuals no matter what for exhibitions not covered by initial compensation. But if you have different quotes [compensation rates] for different types of shows, you should have those conversations and understand what it says in your contract.”
 
Members also had the opportunity to ask questions during a Q&A session. As Rodriguez and Gaudry answered questions, they strongly emphasized the importance of outreach to the union and its work in making sure members are fully compensated. 

“SAG-AFTRA does have the ability to see whether and how your product ran, but the key is we have to know to look. Oftentimes, our claims are prompted by someone [reaching out and making an inquiry directly],” Rodriguez said. “That’s why diligence on the members’ side is appreciated.”

To watch the full presentation, click here. For more questions about residuals, please contact the Residuals Department at (800) 205-7716 or (323) 549-6505 for Los Angeles-based members, or via email at residualsmail@sagaftra.org. 

Other PTEOE workshops and panels can be found on the SAG-AFTRA website.