---
title: Points: what it means and what it does to the money
publisher: RapCanon
canonical: https://rapcanon.com/glossary/points/
license: CC-BY-4.0
retrieved: 2026-08-12
---

> A point is one percentage point of the artist royalty on a recording, most often used to describe a producer's participation.

Glossary · Economics

 
# Points

 
also filed under: royalty points, producer points

 
 

 
 A point is one percentage point of the artist royalty on a recording, most often used to describe a producer's participation. 

 
## The mechanism

 
Producer points are usually carved out of the artist's royalty rather than added on top, so each point a producer receives reduces the artist's share by the same amount.

 
## A worked example

 An artist on 20 points who gives a producer 3 points retains 17. The label's share is unchanged. 

 
## What it is confused with

 - Publishing splits Points concern the master royalty. Publishing splits concern ownership of the composition, and the two are separate negotiations.
 

 
## Why it matters

 
Producer points are commonly agreed casually and paid for the life of the recording, and they come out of the artist rather than the label.

 
Sources: US Copyright Office
 This entry is part of an open dataset published under CC-BY 4.0. Reuse it, including commercially, with attribution.
 Related: Recoupment · Black box royalties · 360 deal

---

## How to cite this page

**APA**
RapCanon. (2026). Points: what it means and what it does to the money. Retrieved from https://rapcanon.com/glossary/points/

**BibTeX**
```bibtex
@misc{rapcanon-glossary-points,
  title  = {Points: what it means and what it does to the money},
  author = {{RapCanon}},
  year   = {2026},
  url    = {https://rapcanon.com/glossary/points/},
  note   = {Accessed: 2026-08-12}
}
```

**Wikipedia**
```
{{cite web |title=Points: what it means and what it does to the money |url=https://rapcanon.com/glossary/points/ |publisher=RapCanon |access-date=2026-08-12}}
```

Licensed CC-BY 4.0. Reuse it, including commercially, with attribution and a link back.
Canonical HTML: https://rapcanon.com/glossary/points/