Are American Idol stars paid during the competition? Details explored

Season 23 of American Idol premiered on March 9, 2025, driving continued interest in how the competition works behind the scenes— including contestant earnings. A common question raised each season is whether participants are paid during their time on the show.

According to a TV Insider report dated March 12, 2025, contestants are not paid for audition rounds, but are paid once they advance to the televised stages. At that point, they are required to join a performers’ union and begin receiving payments per episode. Additional compensation is available for finalists and the eventual winner through allowances, tour participation, and a recording contract.

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Breakdown on how American Idol contestants are paid throughout the show

Payment starts after auditions

Contestants who fail to make it beyond the audition stage are not paid for their appearance. They must bear the cost of travel, accommodation, and time off work.

Some of the contestants are said to drop out of the process because of these financial limitations, as stated in American Idol: The Untold Story by Richard Rushfield. Contestants begin receiving payments, however, once they reach the television-staged rounds.

To begin receiving compensation, contestants must join AFTRA, which costs $3,000. Once they have joined, they are paid according to union rates. According to Taste of Country in March 2025, as of 2016, the compensation structure includes $1,571 for two-hour episodes, $1,303 for one-hour episodes, and $910 for half-hour episodes.

These payments are issued for the contestants' appearances in televised episodes throughout the competition.

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Wardrobe allowance and tour earnings

In addition to per-episode payments, contestants are given a wardrobe allowance. The Hollywood Reporter states that every contestant is given $400 per episode for their wardrobe. The clothing provided remains the property of the contestants after the show. This wardrobe allowance helps cover the costs of outfits required for their performances on the show.

The top 12 contestants are qualified to join the summer tour, which runs for four to five months. According to a PureWow.com report of July 2024, tour participants can earn up to $150,000. This is aside from the pay they get for their appearances on television and is calculated based on the live shows while on tour.

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Winner compensation and recording contract

Reports from PureWow.com state that the American Idol winner gets a $125,000 prize for being crowned the champion of the competition. Along with this monetary reward, the winner will be signed to a recording deal by a record label.

The contract for this deal comes with a $300,000 advance, which goes toward producing a debut album, as per AmericanSongwriter in May 2024. The advance is recouped from album sales in the future, so the winner will not see extra income until the advance has been returned. Once the album is finished, the winner is paid an extra $100,000.

After the $300,000 advance is paid back, the winner receives 15% of royalties from subsequent music sales. This model gives the level of compensation for the show's winner, although the value of the prize has varied over the years.

For instance, when Carrie Underwood won in 2005, she allegedly received a recording deal of $1 million, a Ford Mustang, and access to a private aircraft, as per People reports of May 2005.

Underwood later returned to American Idol as a judge. Her salary for the judging role is reported to be between $10 million and $12.5 million, according to Taste of Country. Fellow judges Luke Bryan and Lionel Richie earn $12 million and $10 million, respectively. Ryan Seacrest, the host of the show, is said to earn $12 million annually based on a 2017 contract.

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Catch American Idol on Sundays and Mondays at 8 pm ET on ABC.