"My BMI royalty check arrived recently, reporting songwriting earnings from the first quarter of 2012, and I was glad to see that our music is being listened to via services including Pandora and Spotify. Galaxie 500’s ‘Tugboat’, for example, was played 7,800 times on Pandora that quarter, for which its three songwriters were paid a collective total of 21 cents, or seven cents each. Spotify pays better: For the 5,960 times ‘Tugboat’ was played there, Galaxie 500’s songwriters went collectively into triple digits: $1.05 (35 cents each). To put this into perspective: Since we own our own recordings, by my calculation it would take songwriting royalties for roughly 312,000 plays on Pandora to earn us the profit of one— one— LP sale."

— Damon Krukowski of Galaxie 500/Damon & Naomi breaks down just how little bands earn from streaming services— and details what the music business’ headlong quest for capital means for artists today— in our new feature, "Making Cents".