Commercial Residuals

Commercial pay cycles run for 13 weeks. Payments are sent directly to the actor or representation, NOT to SAGAFTRA. If the commercial is not a ‘buy out’, residuals for commercials are paid for each airing.
Payments for each airing are on a sliding scale, ie: the ‘cost per airing’ is much higher for airings #1 - #10 than for airings #50 - 60. This continues until the cycle maximum (3000 airings). IF the production company wishes to continue using the commercial after the 13 weeks, the payment scale resets and they must pay for each airing from the top of the payment structure. This is known as a ‘roll over’ as the commercial ‘rolls over’ into the next payment cycle, and a nice shiny new check arrives in the mail.

Cable TV
Payment for all intended airings within a cycle is due 15 days after the date the commercial first airs. This first air date is considered the beginning of the first 13 week cycle. The next payment is due 15 days after the beginning of the 2nd cycle, and so on for every cycle.

Network TV
Network TV residuals are based on a 7 day payment period, running from Monday to Sunday. Whatever airs within those 7 days is due 15 days after the first Sunday following the initial airing of the commercial. The next payment is due 7 days after the following Sunday for all usage within that week, and so on. Although payments are being made every week, the payment rate sheet still resets (rolls over) after each 13 week cycle.