stationless listener said:
Yep. Royalty fees and executive salaries make up the bulk of station expenses. On-air talent are minimum-wage workers these days.
Music license fees (ASCP, BMI ans SESAC) are a significant expense, and so are department heads ranging from PDs to Sales Managers, Business Managers, Promotions Managers, etc.
But if you start out at sales, seller commissions, agency and rep commissions, sales management, benefits costs, sales assistant salaries, draws and expenses, sales literature, phone and internet, sales related utilities, etc., can make up from around 20% of gross revenue to over 30%.
Related to sales is commercial production, traffic software and computers, traffic and billing staff, write-offs for bad debts, collection costs, etc.
Insurance, workers comp, employers' share of FICA, rent at studios and transmitters (or taxes on owned property), other property (asset) taxes, legal fees for business activities and FCC filings, licence renewals are other expenses. Utilities in general, equipment, replacement parts, repairs, computers, copiers, dues, subscriptions, shipping and postage, etc. Payroll for engineering, accounting, receptionist, promotion staff, etc. go beyond DJ and on air salaries. Advertiwsing and promotion, prizes and software to track them. Building maintenance and janatorial, jingles or production libraries. Software licences. Travel and entertainment, audience research, scheduling software fees. 401k contribution. Business licences and other government fees. Coffee for the coffee machine, etc., etc. Streaming costs, including music licences and royalties, webmaster or outside web designer, other new media expenses.
As I said, on air staff salaries are part of running a station, but overall are a fraction of total costs.