Legal Contracts

Health and Retirement Contribution Conditions for SAG-AFTRA Producers

Last revised 8 October 2020

General Information

Audible currently has an agreement in place with the Screen Actors Guild-American Federation of Television and Radio Artists (“SAG-AFTRA”) that allows Producers who are SAG-AFTRA members or who opt to participate in SAG-AFTRA Health and Retirement and who will personally perform narration services for an eligible audiobook production project on ACX to accept an Offer for the project subject to contributions to the Producer’s AFTRA Health and Retirement account (“SAG-AFTRA H&R”). In these cases, a portion of the Producer’s payments under the applicable ACX Audiobook Production Agreement will be sent directly to SAG-AFTRA to fund the Producer’s AFTRA H&R, as discussed below.

These Health and Retirement Contribution Conditions for SAG-AFTRA Producers (“SAG-AFTRA Contribution Conditions”) set forth (a) the types of deals on ACX that are eligible for contributions to a Producer’s AFTRA H&R and therefore qualify as “SAG-AFTRA Eligible Deals” (as defined below), (b) the amount of a Producer’s earnings that are eligible for contribution to the Producer’s AFTRA H&R under an SAG-AFTRA Eligible Deal, (c) the terms Producers must comply with in order for a Rights Holder or Audible to be required to direct contributions to a Producer’s AFTRA H&R, and (d) how Audible or a Rights Holder must direct contributions to a Producer’s AFTRA H&R.

All Rights Holders and Producers who enter into an ACX Audiobook Production Agreement for a SAG-AFTRA Eligible Deal that the Producer has accepted subject to AFTRA H&R contributions agree to abide by these SAG-AFTRA Contribution Conditions. Capitalized terms used in these SAG-AFTRA Contribution Conditions, but not defined herein, will have the meanings given to such terms in the ACX Glossary of Terms

SAG-AFTRA Eligible Deals

Only certain ACX deals are eligible for contributions to a Producer’s AFTRA H&R, as follows (“SAG-AFTRA Eligible Deals”):

  • Eligible Royalty Share Plus Deals. For Royalty Share Deals to be eligible for contributions to the Producer’s AFTRA H&R, the Rights Holder must pay a one-time fee of $100 or more per finished hour No AFTRA H&R contribution will be made if the per finished hour rate of the one-time fee is lower than $100.
  • Eligible Pay for Production Deals. For a Producer’s earnings under a Pay for Production Deal to be eligible for contributions to the Producer’s AFTRA H&R, the Producer’s hourly rate must be $250 or more (inclusive of AFTRA H&R). No AFTRA H&R contribution will be made if the per finished hour rate is lower than $250.

How SAG-AFTRA H&R Contributions are Paid to SAG-AFTRA

For SAG-AFTRA Eligible Deals, the appropriate contributions to the Producer’s AFTRA H&R will be made as follows:

  • ELIGIBLE ROYALTY SHARE PLUS DEALS: Payments by Rights Holder and Audible
  • If a Producer accepts a Royalty Share PlusDeal that is an SAG-AFTRA Eligible Deal by clicking the “Accept with AFTRA H&R” button, then the Rights Holder and Audible will send the appropriate contribution to the Producer’s AFTRA H&R as follows: :

    1. Payments by Audible Audible will deduct the applicable percentage from the Producer’s ongoing Royalties under the ACX Audiobook Production Agreement and send such amount directly to SAG-AFTRA to fund the Producer’s AFTRA H&R, with the remaining amount of ongoing Royalties, less applicable tax withholdings, being sent directly to the Producer.
    2. Payments by Rights Holder The Rights Holder will direct the full amount of the Producer’s one-time fee to a paymaster designated by the Producer (the “Paymaster”).
  • ELIGIBLE PAY FOR PRODUCTION DEALS: Payments by Audible or by Rights Holder
    • Payment Allocation

    Because the Producer’s responsibilities under an ACX Audiobook Production Agreement encompass activities beyond narration services covered by SAG-AFTRA, in an SAG-AFTRA Eligible Pay for Production Deal, for rates above $250 per finished hour, AFTRA H&R will only be deducted with respect to the portion of the Producer’s rate per finished hour that applies to the Producer’s narration services. This portion of the Producer’s hourly rate is the “AFTRA H&R Calculation Rate” and is set forth below in the following table.

    Per Finished Hourly Rate AFTRA H&R Calculation Rate
    $250.00 $250.00
    $275.00 $250.00
    $300.00 $250.00
    $325.00 $250.00
    $350.00 $275.00
    $375.00 $300.00
    $400.00 $325.00
    $425.00 $350.00
    $425.01+ Rate - $75.00
    (i.e., $350.01+)

    Acceptance of SAG-AFTRA Eligible Deals by Producers

    In order for a Producer to accept an Offer for an SAG-AFTRA Eligible Deal subject to contributions to the Producer’s AFTRA H&R, the Producer must (a) be a member of SAG-AFTRA or opt to participate in AFTRA Health and Retirement, (b) plan to personally perform narration services for the audiobook (instead of subcontracting a narrator), and (c) accept the Offer by clicking the “Accept with AFTRA H&R” button on the Production Offer Page.

    Conditions for Contributions to a Producer’s AFTRA H&R

    Once a Producer has properly accepted a SAG-AFTRA Eligible Deal, in order for a Producer to receive AFTRA H&R contributions: (a) the Producer must personally perform the narration services for the audiobook; (b) the Rights Holder or Audible, as applicable, must approve the finished audiobook; (c) the Producer must comply with these SAG-AFTRA Contribution Conditions, as determined by Audible; (d) the Producer must not be found by Audible to have engaged in any fraudulent activity with respect to any SAG-AFTRA Eligible Deal, these SAG-AFTRA Contribution Conditions, or any other offer or service made available through ACX; and (e) the ACX Audiobook Production Agreement between the Producer and the Rights Holder must not be terminated.

    In any case, if the required conditions are not met for any SAG-AFTRA Eligible Deal, the Producer will not be entitled to SAG-AFTRA H&R contributions, even though the applicable deal is a SAG-AFTRA Eligible Deal, and neither Audible nor a Rights Holder will be obligated to make contributions to the Producer’s AFTRA H&R.

    In any case, if the required conditions are not met for any SAG-AFTRA Eligible Deal, the Producer will not be entitled to SAG-AFTRA H&R contributions, even though the applicable deal is a SAG-AFTRA Eligible Deal, and neither Audible nor a Rights Holder will be obligated to make contributions to the Producer’s AFTRA H&R.

    Other Terms

    Audible reserves the right to modify these SAG-AFTRA Contribution Conditions at any time, including the terms and threshold payment amounts that are required for a Pay for Production Deal or Royalty Share Deal to qualify as a SAG-AFTRA Eligible Deal. Changes to these SAG-AFTRA Contribution Conditions will not affect any SAG-AFTRA Eligible Deal a Rights Holder or Producer entered into prior to the effective date of such changes and, in such case, the version of these SAG-AFTRA Contribution Conditions in effect at the time the Rights Holder or Producer entered into the applicable SAG-AFTRA Eligible Deal will apply.

    Audible may discontinue the applicability of AFTRA H&R payments to qualifying ACX deals at any time. In this case, Audible will provide a notice on the site. The discontinuance of AFTRA H&R payments through ACX will not affect any SAG-AFTRA Eligible Deal a Rights Holder or Producer has entered into prior to the effective date of the discontinuance.