How Much Does DistroKid Cost?

For independent musicians and artists, choosing the right music distribution platform is key to a successful career. DistroKid is one of the popular choices in the industry, but understanding its cost structure and how it handles tax documentation, like the 1099 form, is essential. In this article, we’ll dive into the specifics of DistroKid's pricing and provide insights about the 1099 form for those using the service.

DistroKid Pricing Plans

DistroKid offers a few different pricing plans tailored to different needs and levels of distribution. Here’s a breakdown of each:

• Musician Plan: Priced at $19.99 per year, this plan allows a single artist name to upload unlimited songs.
• Musician Plus Plan: This plan is $35.99 per year and includes features such as daily sales stats, customizable label name, and customizable release date.
• Label Plan: Starting at $79.99 per year, this plan accommodates multiple artist names (between 5 and 100), making it ideal for record labels or management groups.

Each plan allows unlimited uploads of your music to various streaming platforms like Spotify, Apple Music, and more. It’s important to consider which plan aligns with where you are in your music career.

Additional Costs

While the base pricing for DistroKid is straightforward, additional features and services may incur extra charges. Some of these include:

• Store Maximizer: For $7.95 per year, your music will be automatically sent to any new stores DistroKid partners with in the future.
• Shazam & iPhone Siri: For $0.99 per song/year, DistroKid will register your songs with Shazam and Siri.
• Leave a Legacy: For a one-time fee of $29 per single or $49 per album, your music will be kept online even if you do not renew your subscription.

It’s important to factor these additional costs into your budget if you plan to take advantage of these optional services.

Understanding the 1099 Form

If you are an artist earning royalties through DistroKid, understanding the 1099 form is crucial for your tax reporting. Here are the basics:

The 1099-MISC form is an IRS form that reports income outside of a traditional employment setting. In the context of DistroKid, you'll receive a 1099 if your earnings meet the IRS threshold. It's essential to report this income accurately on your tax return to avoid any issues with the IRS.

When you sign up for DistroKid, you may be asked to fill out a W-9 form (for U.S. residents), which provides the necessary details DistroKid will use to issue your 1099 form. You should receive this form by the end of January following the tax year in which you earned royalties. If you did not earn enough to warrant a 1099, your income is still taxable, but you will not receive a 1099 form.

Getting Paid Through DistroKid

DistroKid pays out royalties to artists monthly, but the exact timing can depend on several factors, including the specific platforms on which your music is streamed. Payments are typically made via PayPal, direct deposit, or other available methods. Keeping track of your earnings throughout the year will help ensure that your records align with your 1099 form when tax season arrives.

Comparing DistroKid with Other Platforms

While DistroKid is a popular choice, it's important to explore other music distribution platforms like SoundOn to find the best fit for your needs. Each platform has different features, pricing, and benefits. As you compare, consider factors like pricing tiers, additional costs, customer support, and the specific distribution platforms they partner with.

Conclusion

In conclusion, DistroKid offers a range of pricing plans to suit various artists' needs, from solo musicians to large record labels. Understanding the costs and additional services is crucial to making an informed decision. Equally important is knowing how the 1099 form works and what it means for your tax responsibilities. Ensure you stay informed about the financial implications and make the right choice for your music distribution needs.

If you're looking to explore another robust platform for music distribution, consider registering as a SoundOn artist. With SoundOn, you can build a successful music career and reach new fans through our wide distribution network.