Hiring an Accountant for Musicians
When you need a music-savvy accountant and what to look for.
Music Accountants vs General CPAs
Not all accountants understand the music industry. A music-savvy accountant knows about mechanical royalties, performance rights, touring expenses, and the unique tax situations musicians face. General CPAs may miss deductions specific to artists or misunderstand revenue streams from streaming, sync licensing, and merchandise.
What They Handle
A music accountant typically manages:
- Tax preparation — federal, state, and sometimes international
- Royalty tracking — mechanical, performance, and sync royalties
- Touring accounting — per-diem calculations, expense tracking, crew payments
- Contract review — understanding payment terms in record deals and publishing agreements
- Entity structuring — choosing between sole proprietorship, LLC, or corporation for tax efficiency
- Bookkeeping — daily transaction recording and expense categorization
Costs
Music accountants range from $1,500–$5,000+ annually for basic tax prep, depending on your income level and complexity. Touring musicians or those with multiple income streams may pay $5,000–$15,000+. Some charge hourly rates ($150–$400/hour); others use flat fees for seasonal work.
Finding One
Ask other musicians for referrals — word-of-mouth is most reliable. Organizations like the Recording Industry Association of America and local music venues often have recommendations. Interview 2–3 candidates and ask about their experience with artists like you. Make sure they understand your specific revenue streams and any international income.