Do Netflix Actors Get Residuals?

By Webmaster

  • Do Netflix Actors Get Residuals?

    (By Ray Reese)

    (Photo: Cottonbro Studio | Pexels)

    As the world of television and film continues to evolve, streaming platforms such as Netflix have reshaped how audiences consume content. With an ever-expanding catalog of original series and films, Netflix has become a dominant force in the entertainment industry. However, this new era of streaming has raised several questions about compensation for actors, particularly when it comes to residuals—payments that performers receive whenever a show or film is rebroadcast or repurposed.

  • For actors who appear in Netflix originals, the issue of residuals is a complicated one. Unlike traditional television networks, which have well-established systems for reruns and syndication, Netflix operates under a different financial model. This article will explore whether Netflix actors receive residuals, how Netflix’s business model affects residual payments, and provide examples of how residuals are handled for actors in the streaming age.

    What Are Residuals?

    Before delving into how residuals work for Netflix actors, it’s important to understand what residuals are and how they have traditionally functioned in the entertainment industry. Residuals are payments made to actors, writers, directors, and other creatives whenever a show, film, or commercial is reused. These payments are made every time a production is rebroadcast, syndicated, or made available on different platforms. The purpose of residuals is to compensate performers for the continued commercial success of their work beyond the initial airing or release.

    For example, an actor might receive residuals each time a television show they starred in is rerun on a network, or when a movie is released on DVD or available for streaming. The amount of the residual is typically based on the number of times the work is shown and the platform or medium through which it is distributed. In traditional television, residuals are paid for reruns on other networks, syndication, and DVD sales, but with the rise of streaming services, the landscape has shifted.

  • How Does Netflix Work?

    Netflix has completely disrupted the entertainment industry with its subscription-based model. Unlike traditional TV networks, which rely on advertising revenue and syndication, Netflix charges users a monthly fee to access a vast library of content. Subscribers can watch original series, films, and documentaries whenever they choose, with no need to wait for a specific time slot or for reruns. Because Netflix content is released in its entirety all at once, binge-watching has become the norm.

    Netflix has produced thousands of original titles, including award-winning shows like Stranger Things, The Crown, and House of Cards. As the platform continues to grow, many actors find themselves cast in Netflix originals. However, one of the key differences between Netflix and traditional television networks is how the company handles residual payments.

  • Do Netflix Actors Get Residuals?

    The short answer is that Netflix actors do not receive residuals in the traditional sense. Unlike actors working on traditional TV shows, who often get paid residuals for each rerun or rebroadcast of a show, Netflix has a different structure for compensating its actors.

    While Netflix has a commitment to paying its actors well upfront, there is little or no residual payment for actors in most cases. The company’s model is built around paying actors a lump sum for their work, which is negotiated as part of the actor’s contract for a given series or film. This flat fee typically covers the entire production, and actors are not paid additional residuals as the show or movie continues to generate revenue through views or distribution.

    This is a stark contrast to the model used in traditional television, where actors receive payments based on the number of times a show is rerun or syndicated. Netflix’s approach to compensation reflects the company’s unique distribution strategy, where content is released in full and available for streaming worldwide, potentially without the traditional reruns or syndication that would trigger residual payments.

  • The Union Perspective

    The issue of residuals for Netflix actors is a point of contention for unions representing actors, such as the Screen Actors Guild‐American Federation of Television and Radio Artists (SAG-AFTRA). These unions advocate for fair compensation for actors, particularly when it comes to the use of their work over time. They argue that actors should be entitled to residuals in recognition of their contributions to a work’s success, especially when the content continues to generate revenue.

    However, Netflix has been resistant to this model. In the early years of Netflix’s rise, it often operated outside of the traditional entertainment industry’s established residual structures. The company’s business model, which focuses on subscription-based streaming rather than advertising revenue or reruns, means that residuals are not a part of its financial ecosystem. While the platform may pay actors well upfront, it does not offer the same ongoing compensation that actors might receive from traditional broadcast networks.

    In 2017, SAG-AFTRA and Netflix entered into a new contract that addressed some of the concerns regarding residuals, but it still did not include traditional residuals as seen in network television. Instead, the agreement included a flat fee system for actors working on Netflix original productions, with payments based on the length of the actor’s involvement in the production, the production budget, and other negotiated factors.

  • Examples of Netflix Compensation

    While Netflix does not provide traditional residuals, actors involved in Netflix original productions do receive a large upfront payment. This payment is typically negotiated as part of the actor’s contract, and it can vary widely depending on the project. For major stars in high-budget series, the upfront payment can be substantial. However, once the production is completed, there is little or no additional payment, even if the series continues to perform well and generate significant revenue for Netflix.

    1. Stranger Things

    One of the most popular Netflix original series is Stranger Things. The show, which has become a cultural phenomenon, has turned its young cast members into household names. The actors, including Millie Bobby Brown (Eleven), Finn Wolfhard (Mike), and Gaten Matarazzo (Dustin), reportedly earn impressive upfront fees for their roles on the show. However, despite the show’s massive success and global popularity, these actors do not receive residuals for the numerous views and continued interest in the show.

    Instead, the cast of Stranger Things is paid an upfront fee for each season. For example, it was reported that Millie Bobby Brown earned between $250,000 and $350,000 per episode in the later seasons of the show. While this upfront payment is substantial, it contrasts with the residuals structure seen in traditional TV, where actors continue to receive payments over time as a show is rerun.

    2. The Crown

    Another hit Netflix original, The Crown, has featured a high-profile cast including Claire Foy, Olivia Colman, and Helena Bonham Carter. The actors in The Crown also receive significant upfront payments for their roles in the historical drama, but, like other Netflix productions, they do not receive residuals based on the number of views the show receives.

    Despite the show’s critical acclaim and its extensive catalog of viewers, the stars of The Crown are compensated through negotiated upfront fees, rather than through any ongoing payments. While the high upfront pay compensates the actors for their work, it does not offer the long-term benefits that residuals from reruns or syndication would offer on traditional networks.

    3. House of Cards

    House of Cards was one of Netflix’s earliest original successes. Kevin Spacey and Robin Wright, both leading the cast, were reportedly paid significant sums for their roles on the series. While these actors earned substantial upfront fees, they did not receive the same kind of residual payments that would be typical for actors in a network series.

    In fact, Netflix has often emphasized the upfront nature of its contracts to its stars. Unlike traditional TV, where residuals are tied to repeated broadcasts, Netflix’s all-at-once release model removes the need for these types of payments. Instead, the success of the series is often rewarded in the form of large initial paychecks for the actors involved.

  • The Future of Residuals for Netflix Actors

    As Netflix continues to grow and reshape the entertainment landscape, the issue of residuals for actors may evolve. Some have argued that as streaming services become the dominant form of content distribution, the compensation model for actors will have to adjust to ensure fair payment for work that continues to generate revenue over time.

    There has been some movement in this direction, as Netflix and other streaming platforms have begun negotiating with unions like SAG-AFTRA to ensure that performers are fairly compensated. However, the current structure remains different from traditional television networks, and it is unclear how the landscape will change in the future.

    Do Netflix actors get residuals? The answer is no, not in the traditional sense. While Netflix compensates its actors well upfront, there are no ongoing residuals for most performers involved in Netflix originals. Instead, actors are paid a lump sum for their work, with little or no additional payment if the show or movie continues to perform well on the platform. While this model is different from traditional television, it reflects the unique nature of streaming services like Netflix. The issue of residuals for actors in the streaming age remains a complex and evolving issue, one that will likely continue to be debated as the entertainment industry continues to shift.

    Recommended Posts

  • Ad

  • How Mark Hamill Got Into Acting

    How Mark Hamill Got Into Acting The journey of a small-town actor who became a pop culture icon. (By Carmichael Phillip) (Mark Hamill in Star Wars) Early Life and the Spark of Acting…

    What is the Senior Age for Cinema?

    What is the Senior Age for Cinema? Exploring the opportunities and challenges for older actors in the world of cinema. (By Carmichael Phillip) (Photo: Andrea Piacquadio | Pexels) The Evolving Landscape of Cinema…

    What is the Highest Position in Filmmaking?

    What is the Highest Position in Filmmaking? An exploration of the top roles in the filmmaking industry and the responsibilities that come with them. (By Carmichael Phillip) Understanding the Filmmaking Hierarchy Filmmaking is…

    How Long Do Actors Get Royalties?

    How Long Do Actors Get Royalties? Exploring the timelines and conditions behind royalty payments for actors in the entertainment industry. (By Carmichael Phillip) (Photo: Monstera | Pexels) Understanding Royalties in the Entertainment Industry…

    Why Doesn’t Netflix Pay Residuals?

    Why Doesn’t Netflix Pay Residuals? Exploring the controversy behind Netflix’s approach to compensation and residuals for creators. (By Carmichael Phillip) (Photo: Cottonbro Studio | Pexels) The Rise of Streaming Services and the Shift…

  • Ad

  • Actor Profile: Mark Hamill

    Actor Profile: Mark Hamill Exploring the Life and Legacy of the Legendary Luke Skywalker (By Carmichael Phillip) (Mark Hamill in Star Wars) Mark Hamill is an actor who became a household name due…

    How Long Do Previews Last Before a Movie?

    How Long Do Previews Last Before a Movie? An Exploration of Pre-Movie Previews and Their Impact on the Theater Experience (By Carmichael Phillip) (Photo: Tima Miroshnickenko | Pexels) Previews, or trailers, have become…

    How Much Does Netflix Pay for Each Show?

    How Much Does Netflix Pay for Each Show? An Inside Look at the Financials Behind Netflix’s Original Programming (By Carmichael Phillip) (Photo: Freestocks/Unsplash) Netflix is renowned for its vast library of original content,…

  • Ad

  • Who is the Highest Paid Actor on Netflix?

    Who is the Highest Paid Actor on Netflix? Exploring the Top Earning Stars and Their Netflix Deals (By Carmichael Phillip) (Photo: Cottonbro Studio | Pexels) Netflix has transformed the entertainment landscape, providing actors…

    Do Suits Actors Get Royalties on Netflix?

    Do Suits Actors Get Royalties on Netflix? Exploring the Financial Structure of Streaming Rights and Actor Royalties (By Carmichael Phillip) (Photo: Freestocks/Unsplash) Streaming platforms like Netflix have revolutionized how we consume television shows….

    What is a Typical Day for a Broadway Actor?

    What is a Typical Day for a Broadway Actor? An inside look into the demanding schedule and vibrant life on Broadway (By Carmichael Phillip) (Photo: Cottonbro | Pexels) Morning Preparations: Early Wake-Up and…

    How do Broadway actors do 8 shows a week?

    How do Broadway actors do 8 shows a week? The physical and mental endurance behind the curtain (By Carmichael Phillip) (Photo: Pitt Rom | Pexels) A Demanding Schedule Like No Other Broadway actors…

    How Macaulay Culkin Got Into Acting

    How Macaulay Culkin Got Into Acting From church plays to global stardom: The unexpected rise of Hollywood’s most iconic child actor (By Carmichael Phillip)   A Child of the Stage and City Long…

  • Ad

  • How much does Macaulay Culkin make from Home Alone royalties?

    How much does Macaulay Culkin make from Home Alone royalties? A closer look at residual income, Christmas traditions, and one actor’s holiday legacy (By Carmichael Phillip) (Photo: Sharon McCutcheon/Unsplash) The Holiday Classic That…

    What is a green room?

    What is a green room? The backstage haven that performers, politicians, and guests all rely on (By Tonya Tannenbaum) (Photo: Kampus Production | Pexels) The Origins of the Green Room The term “green…

    Do Broadway actors work 7 days a week?

    Do Broadway actors work 7 days a week? A deep dive into the demanding, exhilarating, and grueling schedule of life on the Broadway stage (By Carmichael Phillip) (Photo: Cottonbro | Pexels) Broadway’s Demanding…

  • Ad

  • Do actors smell on set?

    Do actors smell on set? Behind the scenes, do stars always smell like roses—or is the truth a little funkier? (By Carmichael Phillip) The Unspoken Question: Do Celebrities Smell Bad on Set? It’s…

    Actor Profile: Macaulay Culkin

    Actor Profile: Macaulay Culkin From Child Star to Cult Icon: The Life and Legacy of Macaulay Culkin (By Carmichael Phillip) Early Life and Rise to Stardom Macaulay Carson Culkin was born on August…

    Do actors need to be able to sing?

    Do actors need to be able to sing? Exploring the importance of vocal talent in modern acting careers (By Ray Reese) (Photo: Tima Miroshnichenko | Pexels) The Evolution of the Actor’s Skill Set…

    Do Actors’ Trailers Have Showers?

    Do Actors’ Trailers Have Showers?Exploring the luxury and practicality of actor trailers on set (By Ray Reese) (Photo: Andrea Piacquadio | Pexels) When you think of an actor’s trailer, you might imagine a…

    Do Actors Collect Royalties?

    Do Actors Collect Royalties?Exploring how actors earn beyond their initial paycheck(By Ray Reese) (Photo: Maitree Rimthong | Pexels) Introduction to Royalties and Actors Royalties are a form of ongoing payment made to individuals…

  • Ad