The middling blockbuster typically has a steepprice tagthese days , with budget topping $ 200 million for many of the biggest box office hit . Have you ever wondered how Hollywood handle to expend that much money on a movie and exactly where all those one thousand thousand go ? When you hear about the gamy cost of make a picture show , you rarely hear about extravagant craft services or the key grip who earned millions for his work . or else , when it come to picture toll , what draw headlines is the gamy cost of gift – the multimillion - clam payroll check for the hotshot , the exorbitant music director ’s fee and of course , the producer ’s cold shoulder .
Curious as to what these people have in common ? In summation to their huge wealth , in most cases , these person play above - the - line expenses for the studio .
While just a handful of people ’s salaries fall above the line , the price of plug these someone for any given product often outmatch the cost of pay for every other person working on the film combined , include extras , crew and anyone whose name roll out in small photographic print somewhere near the end of the credit entry . Wondering just how movie budget bring ? show on to learn more about how Hollywood account for above- and below - the - line expenses .
Star Salaries and the Director’s Cut
Before computers and fancyaccountingsoftware , Hollywood studios presented budget on paper , with a boneheaded black short letter used to separate certain types of expense from others [ source : Medoff and Fink ] . While most budget are done on computers these daylight , the idea of grouping disbursement above and below the line of products has stuck . From the smallest cinema budget to the biggest megahit , producer continue to group expense in the same way , make it easier for controller and investor to sympathize how the costs colligate with a given motion-picture show stack up .
Above - the - ancestry cost typically let in just a few line particular , but they ’re big ones , and account for a significant part of the film ’s budget . So what typically falls above the illustrious business ? Cast salaries , for starters , including those $ 20 million paychecks earned by the most seek after A - listers , but also the price of hiring less know thespian to fill major roles . Also included above the personal credit line is money paid to producers and directors , which can be substantial , reckon on the picture . Finally , above - the - line costs normally include the monetary value of the account itself , let in payment for film writer and securing the rights to make the story into a film . All production costs not included in these category , such as gang salaries , light , travel , props , solidifying and foxiness services , flow below the strain .
Other than the nature of the expenses call for , above - the - line price share some other commons . Primarily , they set the tone for the moving picture ’s budget ; you ca n’t make a $ 20 million film if your gravid star want $ 10 million each just to show up . Above - the - line price also vary from pic to picture based on who ’s involved , while below - the - line costs are more stable – a inflammation rig is survive to be about the same on every set . These cost are likely to brood pre - production , while below - the - line costs typically overlay expenses receive once film in reality begins .
last , and most significantly , above - the - line costs are fixed . Once you signal a certain star or theatre director , you ’re stuck with the cost of that mortal for the duration of the picture . While below - the - line costs tend to be more compromising – you’re able to bring through money by interchange where you shoot a certain scene or cutting the scene entirely – above - the - line expenses are pretty much set in gemstone .
odd how Hollywood budgets sour in the genuine existence ? Read on to get wind some real - aliveness representative of above - the - line disbursal at study .
How Expenses Stack Up
On an average film , producer might fritter to keep above - the - line of descent expenses limited to one - third of the total budget , with the stay two - thirds function to below - the - production line costs , namely those designed to maximize production timber . Of course , as every moving-picture show is dissimilar , the split between these two category of expenses can vary tremendously from film to film . In cosmopolitan , the low the overall budget for a particular project , the greater the ratio of the budget commit to below - the - communication channel disbursement [ source : Goodell ] . On a Hollywood blockbuster with a budget of $ 200 million or more , however , you may find above - the - line expense far in excess of one - third of the budget , thanks to the high cost of gift .
As an example , countenance ’s search at the fourth film in the " Pirates of the Caribbean " enfranchisement , " On Stranger Tides . " Released in 2011 , the plastic film cost a staggering $ 410 million , ranking it among the most expensive films of all clip . While the exact budget is a closely guarded secret , Johnny Depp reportedly earned a solid $ 55 million for his purpose asCaptain Jack Sparrow . The 895 production stave ( who fell below the line ) earned somewhere around $ 18 million combine [ source : Sylt ] . When producers grew implicated with the high cost of filming and the rapidly ballooning budget , they decided to cut costs by going after below - the - line costs like filming positioning and special result , whole ignoring the above - the - communication channel , $ 55 million elephant in the room [ informant : Eller and Chmielewski ] .
The Smoking Gun also provide interesting insight into the split between the two types of expenses on a couple of M. Night Shyamalan motion-picture show , each of which had a budget of about $ 70 million . Out of the $ 73 million pass to make " Unbreakable " in 2000 , about half go to above - the - line expenses , include cast paychecks and author and theatre director Shyamalan ’s cut . In 2002 , a whopping $ 25 million of the $ 70 million budget for " Signs " went to star Mel Gibson . All in all , above - the - line disbursal for the plastic film accounted for about $ 45 million , while below - the - line product stave realize somewhere in the neighborhood of $ 1.2 million combined [ origin : The Smoking Gun ] .