Do you ever dread that email from the agency of the artist you’ve just presented? You know, the one that simply says: “Can you send me the settlement sheet?”
It’s a small request—but a crucial one. Settlement sheets aren’t just about wrapping up the finances of a show; they play a vital role in ensuring an artist stays in compliance with tax regulations, visas, and contractual agreements. For international artists, a well-prepared settlement sheet helps verify earnings for work visas and tax filings, preventing potential legal headaches. It also ensures managers and agencies get their proper commissions and guarantees transparency in financial dealings.
So, before you let that email sit in your inbox like an unopened bill, let’s talk about why providing a proper settlement sheet is essential, not just for your sanity but for the success and compliance of the artist you’ve hosted.
DOWNLOADABLE SETTLEMENT SHEET TEMPLATE
What Is a Settlement Sheet?
A settlement sheet is a financial document used to finalize payments after a concert or live performance. It includes:
- Gross revenue from ticket sales
- Net revenue (gross minus expenses)
- Deductions such as venue fees, production costs, and taxes
- Artist fees and commissions
- Additional expenses like hospitality, travel, and visas
- Tickets Sold outlining the number of tickets sold
- Merch sales outlining all artist merchandise sales (if sold by the presenter)
Why Presenters Need to Provide Settlement Sheets
Presenters must provide settlement sheets to artists and their agencies for several reasons:
- Visa and Tax Compliance – For international artists, settlement sheets help verify earnings for visa applications, tax filings, and CWA’s.
- Contractual Agreements – They ensure that all financial terms agreed upon in the contract are honored.
- Commission Calculations – Agencies and managers use them to determine their percentage of the artist’s earnings or to pass on to the IRS if they handle tax filings or CWA’s for their artists.
- Transparency and Accountability – They prevent disputes by clearly outlining financial details.
- Ticket Counts – Most artists / agencies track ticket sales in various markets for future gig bookings.
Download a Sample Settlement Sheet
For those looking to streamline their concert settlements, you can download a settlement sheet template HERE.
By using settlement sheets effectively, presenters and artists can ensure smooth financial transactions, fostering trust and professionalism in the live music industry.