{"id":7042,"date":"2025-02-20T13:37:43","date_gmt":"2025-02-20T21:37:43","guid":{"rendered":"https:\/\/label-engine.com\/news\/?p=7042"},"modified":"2025-02-20T13:37:44","modified_gmt":"2025-02-20T21:37:44","slug":"accounting-system-update","status":"publish","type":"post","link":"https:\/\/label-engine.com\/news\/accounting-system-update\/","title":{"rendered":"New Features to Label Engine’s Accounting System"},"content":{"rendered":"\n

<\/p>\n\n\n\n

We\u2019re excited to announce an update to Label Engine\u2019s payment reporting, designed to bring greater flexibility and clarity to financial data. This change closes a reporting gap that previously excluded non-cross collateralized<\/strong> and unrecouped<\/strong> accounts from view when those amounts were not payable. With this update, your clients will have full visibility into all earnings, whether or not they\u2019re payable.<\/p>\n\n\n\n

\n\n\n\n

Key Terms to Know<\/strong><\/h4>\n\n\n\n
\n

Cross Collateralized: <\/strong>When balances from multiple contracts are linked<\/strong> and earnings across all deals contribute to recouping advances.<\/p>\n\n\n\n

  • Example:<\/strong> If your artist has several deals, a cross-collateralized setup combines all balances, so earnings from one deal can help pay back an advance from another.<\/li><\/ul>\n\n\n\n

    Non-Cross Collateralized: <\/strong>When balances from multiple contracts are separate<\/strong>, and each deal only recoups from its own earnings.<\/p>\n\n\n\n

    • Example:<\/strong> If your artist has several deals, non-cross collateralized accounts ensure that only the earnings from a specific deal are used to recoup its advance.<\/li><\/ul>\n\n\n\n

      Recoupment<\/strong>: When an artist or client pays back money that was advanced to them by their label or distributor. An artist is \u201cin recoupment\u201d or \u201cunrecouped\u201d\u00a0 when they are still paying back the advance.\u00a0<\/p>\n<\/div><\/div>\n\n\n\n

      \n\n\n\n

      What\u2019s New?<\/strong><\/h4>\n\n\n\n

      Note, these changes primarily impact you if you utilize the cross collateralization feature in Label Engine. <\/p>\n\n\n\n

      1. Default Reporting Behaviors<\/strong><\/p>\n\n\n\n

      Contract accounts now follow specific reporting rules based on their cross-collateralization status<\/strong>, whether they are marked as withheld<\/strong>, and whether their balance is positive or negative<\/strong>. Note, label accounts are always cross-collateralized.<\/p>\n\n\n\n

      <\/p>\n\n\n\n

      Default Behaviors:\u00a0<\/p>\n\n\n\n

      Cross Collateralized with Positive Balance
      <\/span>These will be both reported and payable, meaning you\u2019ll see the amount reflected in your reports as ready for payment.<\/p>\n\n\n\n

      Non-Cross Collateralized with Negative Balance
      <\/span>These amounts will be reported, but marked as not payable. This gives your clients visibility into their balance, even if it\u2019s not yet due for payout.<\/p>\n\n\n\n

      Marked as Withheld
      <\/span>Accounts marked as withheld will remain completely hidden from your reports, so they won\u2019t show up in any financial overview.<\/p>\n\n\n\n

      See how it\u2019s laid out in the chart below:<\/p>\n\n\n\n

      \"\"<\/figure>\n\n\n\n

      <\/p>\n\n\n\n

      2. Customizable Reporting Variables<\/strong><\/p>\n\n\n\n

      One of the best things about this update is the flexibility it provides. You now have the ability to update the reporting variables as needed, ensuring that reports reflect exactly what you want your artists to see. <\/p>\n\n\n\n

      If you want to change the default reporting state, here are your options: <\/p>\n\n\n\n

      • Payable<\/strong>: An amount that is eligible to be paid out to the client or artist. These balances are included in financial reports and marked as ready for disbursement.<\/li>
      • Not Payable<\/strong>: An amount that is reported for visibility but is not eligible for payout. These balances might exist due to unrecouped advances or other financial constraints.<\/li>
      • Hidden<\/strong>: An account or balance that is completely excluded from financial reports. These amounts are intentionally withheld and do not appear in any client-facing views.<\/li><\/ul>\n\n\n\n

        <\/p>\n\n\n\n

        \n\n\n\n

        Frequently Asked Questions (FAQs)<\/strong><\/h4>\n\n\n\n

        1. Will these changes affect current payouts?<\/strong>
        <\/strong>No, the changes are only for reporting purposes and do not impact actual payout calculations or schedules.<\/p>\n\n\n\n

        2. Can I update the default behaviors for my accounts?<\/strong>
        <\/strong>Yes, you can customize reporting variables to override default behaviors for any contract account.<\/p>\n\n\n\n

        3. Will reporting change for past payments?<\/strong>
        <\/strong>No, <\/strong>only new payments created or edited after this release will have contract accounts that are reported but not payable.<\/p>\n","protected":false},"excerpt":{"rendered":"

        We\u2019re excited to share a major improvement to our payment reporting system\u2014a change that addresses a key reporting gap and gives artists a clearer picture of their earnings. Learn more in this blog.<\/p>\n","protected":false},"author":4,"featured_media":7048,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"twitterCardType":"","cardImageID":0,"cardImage":"","cardTitle":"","cardDesc":"","cardImageAlt":"","cardPlayer":"","cardPlayerWidth":0,"cardPlayerHeight":0,"cardPlayerStream":"","cardPlayerCodec":""},"categories":[16,70,41,25,6],"tags":[17,74,165,191,106],"yoast_head":"\nNew Features to Label Engine's Accounting System - Label Engine News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/label-engine.com\/news\/accounting-system-update\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"New Features to Label Engine's Accounting System - Label Engine News\" \/>\n<meta property=\"og:description\" content=\"We\u2019re excited to share a major improvement to our payment reporting system\u2014a change that addresses a key reporting gap and gives artists a clearer picture of their earnings. Learn more in this blog.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/label-engine.com\/news\/accounting-system-update\/\" \/>\n<meta property=\"og:site_name\" content=\"Label Engine News\" \/>\n<meta property=\"article:publisher\" content=\"http:\/\/facebook.com\/labelengine\/\" \/>\n<meta property=\"article:published_time\" content=\"2025-02-20T21:37:43+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-02-20T21:37:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/label-engine.com\/news\/wp-content\/uploads\/2025\/02\/3New-Feature-Blog@2x.png\" \/>\n\t<meta property=\"og:image:width\" content=\"2161\" \/>\n\t<meta property=\"og:image:height\" content=\"1189\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Label Engine\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Label_Engine\" \/>\n<meta name=\"twitter:site\" content=\"@Label_Engine\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Label Engine\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/label-engine.com\/news\/accounting-system-update\/\",\"url\":\"https:\/\/label-engine.com\/news\/accounting-system-update\/\",\"name\":\"New Features to Label Engine's Accounting System - Label Engine News\",\"isPartOf\":{\"@id\":\"https:\/\/label-engine.com\/news\/#website\"},\"datePublished\":\"2025-02-20T21:37:43+00:00\",\"dateModified\":\"2025-02-20T21:37:44+00:00\",\"author\":{\"@id\":\"https:\/\/label-engine.com\/news\/#\/schema\/person\/ba21b381112a8293e5a3bbcb6cd019ae\"},\"breadcrumb\":{\"@id\":\"https:\/\/label-engine.com\/news\/accounting-system-update\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/label-engine.com\/news\/accounting-system-update\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/label-engine.com\/news\/accounting-system-update\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/label-engine.com\/news\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"New Features to Label Engine’s Accounting System\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/label-engine.com\/news\/#website\",\"url\":\"https:\/\/label-engine.com\/news\/\",\"name\":\"Label Engine News\",\"description\":\"Your essential guide to running a record label\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/label-engine.com\/news\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/label-engine.com\/news\/#\/schema\/person\/ba21b381112a8293e5a3bbcb6cd019ae\",\"name\":\"Label Engine\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/label-engine.com\/news\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/93f3bd08537e2e6c8f5f2fe130555399?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/93f3bd08537e2e6c8f5f2fe130555399?s=96&d=mm&r=g\",\"caption\":\"Label Engine\"},\"sameAs\":[\"http:\/\/www.label-engine.com\"],\"url\":\"https:\/\/label-engine.com\/news\/author\/labelengine\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"New Features to Label Engine's Accounting System - Label Engine News","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/label-engine.com\/news\/accounting-system-update\/","og_locale":"en_US","og_type":"article","og_title":"New Features to Label Engine's Accounting System - Label Engine News","og_description":"We\u2019re excited to share a major improvement to our payment reporting system\u2014a change that addresses a key reporting gap and gives artists a clearer picture of their earnings. Learn more in this blog.","og_url":"https:\/\/label-engine.com\/news\/accounting-system-update\/","og_site_name":"Label Engine News","article_publisher":"http:\/\/facebook.com\/labelengine\/","article_published_time":"2025-02-20T21:37:43+00:00","article_modified_time":"2025-02-20T21:37:44+00:00","og_image":[{"width":2161,"height":1189,"url":"https:\/\/label-engine.com\/news\/wp-content\/uploads\/2025\/02\/3New-Feature-Blog@2x.png","type":"image\/png"}],"author":"Label Engine","twitter_card":"summary_large_image","twitter_creator":"@Label_Engine","twitter_site":"@Label_Engine","twitter_misc":{"Written by":"Label Engine","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/label-engine.com\/news\/accounting-system-update\/","url":"https:\/\/label-engine.com\/news\/accounting-system-update\/","name":"New Features to Label Engine's Accounting System - Label Engine News","isPartOf":{"@id":"https:\/\/label-engine.com\/news\/#website"},"datePublished":"2025-02-20T21:37:43+00:00","dateModified":"2025-02-20T21:37:44+00:00","author":{"@id":"https:\/\/label-engine.com\/news\/#\/schema\/person\/ba21b381112a8293e5a3bbcb6cd019ae"},"breadcrumb":{"@id":"https:\/\/label-engine.com\/news\/accounting-system-update\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/label-engine.com\/news\/accounting-system-update\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/label-engine.com\/news\/accounting-system-update\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/label-engine.com\/news\/"},{"@type":"ListItem","position":2,"name":"New Features to Label Engine’s Accounting System"}]},{"@type":"WebSite","@id":"https:\/\/label-engine.com\/news\/#website","url":"https:\/\/label-engine.com\/news\/","name":"Label Engine News","description":"Your essential guide to running a record label","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/label-engine.com\/news\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/label-engine.com\/news\/#\/schema\/person\/ba21b381112a8293e5a3bbcb6cd019ae","name":"Label Engine","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/label-engine.com\/news\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/93f3bd08537e2e6c8f5f2fe130555399?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/93f3bd08537e2e6c8f5f2fe130555399?s=96&d=mm&r=g","caption":"Label Engine"},"sameAs":["http:\/\/www.label-engine.com"],"url":"https:\/\/label-engine.com\/news\/author\/labelengine\/"}]}},"_links":{"self":[{"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/posts\/7042"}],"collection":[{"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/comments?post=7042"}],"version-history":[{"count":12,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/posts\/7042\/revisions"}],"predecessor-version":[{"id":7056,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/posts\/7042\/revisions\/7056"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/media\/7048"}],"wp:attachment":[{"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/media?parent=7042"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/categories?post=7042"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/label-engine.com\/news\/wp-json\/wp\/v2\/tags?post=7042"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}