How Much Do Artists Really Earn from Streaming, Vinyl, and CDs? A Fan’s Guide to Supporting Your Favorites

Hey music lovers! If you’re like most fans, you’ve probably wondered how your listening habits—whether streaming on Spotify, spinning a vinyl record, or popping in a CD—actually impact the artists you adore. With so many ways to enjoy music in 2025, it’s worth asking: what’s the best way to put money in your favorite artist’s pocket? Let’s break it down, from streaming payouts on platforms like Apple Music, Spotify, YouTube Music, and Tidal to the resurgence of physical formats like vinyl and CDs. Spoiler alert: the numbers might surprise you, and they’ll definitely give you some food for thought next time you hit play or head to the record store.

Streaming Revenue: Pennies Per Play

Streaming is king in today’s music world—it’s convenient, accessible, and packed with millions of songs at your fingertips. But how much does it really pay artists? The short answer: not a lot per stream, though it adds up with volume. Here’s a look at what artists earn on average from major platforms, based on the latest available data as of early 2025.

• Spotify: The giant of streaming pays artists between $0.003 and $0.005 per stream. For a million streams, that’s roughly $3,000 to $5,000. Sounds decent, right? But consider this: an artist needs about 11.3 million streams to hit $36,000—the median U.S. individual income. That’s a lot of spins, and after splits with labels, producers, and songwriters, the artist’s cut shrinks even more.

• Apple Music: A step up from Spotify, Apple Music shells out $0.006 to $0.008 per stream (some sources even suggest closer to $0.01 for individual paid plans in the U.S.). That translates to $6,000 to $8,000 for a million streams. It’s better, but still a grind—4.6 million streams to reach that $36,000 mark.

• YouTube Music: Here’s where it gets tough. YouTube pays a measly $0.001 to $0.003 per stream, meaning a million streams nets just $1,000 to $3,000. To hit $36,000, an artist needs a staggering 45 million streams. Ouch. Plus, YouTube’s payouts vary wildly by country and ad revenue, so it’s a bit of a lottery.

• Tidal: The artist-friendly underdog, Tidal boasts higher rates at $0.0125 to $0.015 per stream. For a million streams, that’s $12,500 to $15,000—by far the best of the bunch. Only 2.8 million streams get an artist to $36,000. Tidal’s smaller user base means fewer streams overall, but the payout per play is a win for artists.

These numbers are averages, and the reality is messier. Royalties get split between rights holders—labels, publishers, songwriters, and artists—and factors like listener location and subscription type (free vs. premium) tweak the rates. Still, streaming’s power lies in scale: megastars like Taylor Swift can rake in millions thanks to billions of streams, but smaller artists often struggle to make a living wage. In 2024, Spotify alone paid out over $10 billion to the music industry, yet songwriters and indie acts frequently see just a fraction of that.

Vinyl and CDs: The Physical Comeback

Now, let’s flip the record and talk physical sales—vinyl and CDs are back, baby! In the first half of 2024, U.S. vinyl sales hit $739.9 million (24.3 million units) and CDs brought in $259 million (17 million units), according to the RIAA. That’s a cool billion bucks from physical formats in just six months. But how much of that reaches artists?

• Vinyl: Priced around $20 to $40 retail, vinyl’s wholesale value (what labels get) is closer to $10 to $15 per unit. After manufacturing costs, distribution, and label cuts, artists might pocket $1 to $5 per record—sometimes more if they’re independent or negotiate a sweet deal. For a million sales, that’s $1 million to $5 million, though few artists move that volume. Vinyl’s 17% revenue growth in 2024 shows fans like you are driving this trend, and every purchase packs a bigger punch than a stream.

• CDs: At $10 to $15 retail, CDs have a lower wholesale value ($5 to $8). Artists typically earn $1 to $3 per disc after the middlemen take their share. A million CDs sold could mean $1 million to $3 million for the artist—again, a rare feat, but far more lucrative per unit than streaming. CD revenue grew a modest 0.3% in 2024, so they’re holding steady as a niche favorite.

Physical sales shine because they’re a one-time transaction with a higher per-unit payout. Unlike streaming’s trickle of pennies, buying a record or CD delivers a solid chunk of cash upfront. Plus, artists often sell these at shows or online, cutting out some intermediaries and boosting their take.

The Big Picture: Streaming vs. Physical

In 2023, U.S. recorded music revenue hit $17.1 billion, with streaming dominating at 84% ($14.4 billion). Physical sales—mostly vinyl and CDs—accounted for 11% ($1.9 billion). Fast forward to mid-2024, and streaming still rules with $7.3 billion (84.1% of revenue), while physical formats climbed to 11.4% ($998 million). The trend? Streaming’s growth is slowing (3.8% in 2024 vs. 7.4% in 2023), while vinyl’s surging ahead.

For artists, streaming offers longevity—consistent plays over time build revenue—but it’s a slow burn. Physical sales give an immediate boost, especially for dedicated fans buying directly. A single $30 vinyl sale might equal 6,000 Spotify streams or 3,000 Apple Music streams in artist earnings. That’s a game-changer for smaller acts.

How to Support Your Favorite Artists

So, what’s the best way to back your musical heroes financially? Here’s the fan playbook:

1. Buy Vinyl or CDs: If you’ve got the cash and a player, this is the gold standard. One purchase can outweigh thousands of streams, and you get a cool keepsake. Check out band websites or local record stores—direct sales often mean more money stays with the artist.

2. Stream on Tidal: If streaming’s your jam, Tidal’s higher payouts make it the most artist-friendly choice. Apple Music is a solid runner-up. Every play counts more than on Spotify or YouTube, so your fandom has extra impact.

3. Stream Smart on Spotify/YouTube: These platforms pay less per stream, but their massive audiences can still add up. Follow, playlist, and share your faves to boost their numbers—volume is key here.

4. Go to Shows and Buy Merch: Beyond streaming and physical sales, concert tickets and T-shirts are huge. Artists often earn more from a single gig than months of streams.

5. Spread the Word: Whether it’s streaming or spinning vinyl, amplifying your artist on social media or with friends drives more plays and sales. It’s free and powerful.

The Bottom Line

Streaming’s convenience keeps artists in your ears, but it’s a tough road to riches—think pennies piling up over time. Vinyl and CDs, though pricier for you, deliver dollars directly and feel like a real investment in their craft. As a fan, your choices shape their paycheck. Want to see your favorite band thrive? Grab that limited-edition LP, stream on Tidal, or do both. You’re not just a listener—you’re their lifeline.

So, next time you’re vibing to a new track, think about how you got it there. Your support, big or small, keeps the music alive. What’s your move?