What's the difference between a client's balance and their payable amount?

When viewing a client's accounts, you will see both a Balance and a Payable total.

A client's balance is the sum of all their label and contract accounts.

For example, if Lazy Rich has a balance of -$20.00 for the label account "Big Fish Recordings", and a balance of $30.00 for the contract account BFR001, his balance will be -$20.00 + $30.00 = $10.00.

A client's payable amount is the amount that we recommend be paid to the client in their next statement. This is the sum of all POSITIVE contract accounts, plus ALL label accounts.

For example, if Lazy Rich has a balance of -$20.00 for the label account "Big Fish Recordings", a balance of $30.00 for the contract account BFR001 and a balance of -$50.00 for the contract account BFR002, his payable amount will be -$20.00 + $30.00 = $10.00, as the negative contract account BFR002 is not payable.

Please note that this is only a SUGGESTED amount, you are free to choose whether to include or not include the balance of each of a client's accounts by ticking them when creating a statement.

Also note that if the payable amount is negative due to negative label accounts, it will be set to zero. The payable amount is also always rounded DOWN to 2 negative places.

Label accounts are deemed to be payable when negative so they can be used to apply advances that cover multiple releases. So, for example, if you wish to pay an advance to an artist for all their future releases, apply it to their label account. The advance will then only be recouped, and hence the artist will only be payable, if the sum of all royalties owed for all releases is greater than the advance amount.