Roger,
I bet Universal claims that Rockford Files is still in the red and that the gold Firebird is still in a collision shop getting repaired for more than what a new one would cost.
Though I’m not going to cry about the sad plight of screenwriters. I understand the going rate for a screenplay that won’t get produced is about $100K.
Like most negotiated labor benefits, residual payments exist to give the average worker some economic leverage. Jack Nicholson has the leverage to get gross points on the Batman series, but an actor in a Cheerios commercial doesn’t have that kind of power.
As you pointed out, the residuals can be a significant source of income. Susan Calloway, a Detroit area singer songwriter, was able to buy a home from the residuals on commercials with her singing a Sears jingle. Peter Himmelman, who has put out about a dozen critically acclaimed albums, started working on movie and tv scores. He was the music director for Judging Amy which was on the air for at least 5 years and is now in syndication. He’s indicated that the residual income from the reruns gives him considerable economic freedom. Not considerable enough to stop working, he’s doing Fox’s series Bones now, but still a nice chunk of change.
