Actor R. Madhavan recently spoke about a critical issue in Bollywood — the lack of residual payments. He explained that unlike Hollywood, where actors continue to earn from their past films, Indian stars receive only a one-time payment and have no ongoing income from hit movies.
Madhavan said that if Bollywood had a system of residual earnings, just three of his successful films — 3 Idiots, Rang De Basanti, and Tanu Weds Manu — could generate enough revenue to support his descendants indefinitely. He added that this uncertainty forces many actors to play it safe with career choices, prioritizing assured income over creative risk.
Asked about Shah Rukh Khan’s early move into producing, Madhavan acknowledged that such a strategy works for top-tier stars who already command high pay. However, he noted that artists in lower levels of the industry lack the same financial cushion. He emphasized that absence of a pension, weak enforcement of contracts, and irregular payments push actors into a cycle of instability.
He also recalled a story from Hollywood: veteran actor Amrish Puri allegedly still receives residuals for a Spielberg film he appeared in. Madhavan argued that such models would allow actors in India to make bolder career choices, knowing their future income is secured.
