Playwrights

Earnings for playwrights are difficult to assess. Some individuals never make a cent from their work while others make millions. Success comes from a combination of talent, skill, luck, and being at the right place at the right time.

While there are exceptions, such as resident playwrights for theatrical companies, playwrights generally are self-employed. They earn money in a number of ways. Some may sell their script outright for a specific sum. Others accept option payments, which allow a producer to “own” the script for a set period of time to attempt to raise financing for the production. If the producer does find financing, he or she will negotiate additional payments with the playwright or his or her representative for the use of the script. The playwright can then earn money by receiving a royalty each time his or her script is performed.

Some playwrights sell their script to playhouses or theatrical companies. These individuals may sell the play for a flat fee or a fee plus royalties. These royalties are calculated as a percentage of the total gross that the production company earns from the play. Royalties and fees may range depending on the size and prestige of the producer.

In some cases, a playwright can be commissioned to write a script. This generally happens only if an individual has built a reputation of producing plays which have been profitable.

According to the Economic Research Institute, the average annual salary of playwrights was $75,582 in May 2020. Salaries typically ranged from $53,977 to $93,423. While the Bureau of Labor Statistics (BLS) does not specifically report on salaries for playwrights, they report that writers and authors, a category that includes playwrights, earned median annual wages $63,200 as of May 2019. The lowest 10 percent earned less than $33,660 annually and the highest 10% earned more than $122,450.

Unless a playwright is hired as a resident playwright or commissioned to write a play, they earn nothing for their work until their play is sold or optioned.