Producers argue about day rates. Budgets are decided by day counts. This is a piece about why, and about the specific 2026 numbers that make the last hours of a long day cost several times what the first hours did.
What proportion of a budget is actually below-the-line?
Between 40% and 50% — crew, equipment, locations and construction taken together. Crew alone typically runs 30–40% of the total budget, and that holds on independent films as well as studio ones.
That single fact reframes the whole exercise. Above-the-line negotiations are visible, discrete and finite: a handful of deals, closed once. Below-the-line is a rate multiplied by a headcount multiplied by a number of days, and only one of those three multiplies cleanly against everything else.
How many days is a feature, really?
| Tier | Typical shoot days |
|---|
|---|---|
| Microbudget feature | 10–15 |
| Low-budget feature | 18–25 |
Every additional day compounds across crew, equipment rental, locations, catering, transport and insurance simultaneously. There is no line item that a shoot day does not touch. That is why the day count is the budget lever and the day rate is a negotiation.
It is also why the number gets set much earlier than most first-time producers expect. The day count comes out of the breakdown and the board, not out of a spreadsheet — how page eighths actually work is the arithmetic underneath it, and a schedule built on optimistic eighths produces a budget that was wrong before anyone was hired.
Why does the marginal hour cost more than the average hour?
Because a meaningful part of crew cost is charged per hour and scales with the shape of the day, not the plan for it.
Under the IATSE Basic Agreement, from 2 August 2026:
| Contribution | Rate |
|---|
|---|---|
| MPI health & pension, premium rate | $15.7475/hr |
| MPI health & pension, basic rate | $10.4175/hr |
| CSATF basic | $0.66/hr |
These attach to hours worked. So does overtime, and so do the penalty structures — triple time after 15 elapsed hours in a workday, and rest period violations now paid as additional double time rather than straight time, with any invasion of rest under 30 minutes paid at a half-hour minimum. Wages themselves rose 3.5% on the same date. The full schedule is in our breakdown of the 2026 IATSE changes.
Work through it on a crew of forty. A twelve-hour day and a sixteen-hour day are not 33% apart in cost. The extra four hours carry overtime multipliers, carry fringes at the same per-hour rate as every other hour, and — if they push the wrap late enough that the next day's call breaches rest — carry a double-time penalty across everyone affected. Two long days in a row can cost more than adding a third normal day would have.
This is the arithmetic that makes overruns non-linear, and the reason turnaround gets breached by accident rather than by decision: nobody recalculates the next call at 11 p.m., and the penalty is invisible until payroll.
Where does the money actually go on a shooting day?
Roughly, and before anyone quotes this as gospel: crew is the largest single block, equipment and locations follow, and the costs everyone underestimates are the ones attached to moving.
A company move inside a shooting day converts productive hours into transport hours while every per-hour cost keeps running. Two locations in a day is not two half-days; it is one day with a hole in it. The scheduling decision that avoids a move is worth more than most of the line-item savings a budget review will find.
The other reliable underestimate is prep and strike for anything built. Production design on a low budget is largely a discipline of choosing what does not need building — because a set that takes a day to dress and half a day to strike has consumed a day and a half of a twenty-day schedule before a frame is exposed.
Does the tier of agreement change the number?
Materially, yes. Productions qualifying under the lower-budget IATSE tiers that began on or after 4 August 2024 pay wages reduced by 3% from standard studio rates, and the tier structure carries different penalty and minimum provisions throughout.
Budgeting against studio scale when you will sign a low-budget agreement overstates your cost. Budgeting against low-budget scale when you will not qualify understates it by considerably more, and that error surfaces at the worst possible moment — after the schedule is locked. Establish which agreement the production will sign before the budget is built, not after.
What does the market say about which films get made?
Worldwide spend on sub-$5 million films grew from $880 million to $1.22 billion, and feature production rose 19% year over year with the growth concentrated almost entirely below $40 million. US spending on productions above $40 million fell 20% to $12.1 billion.
The films being financed in 2026 are disproportionately the ones where this arithmetic is tight enough to matter. A studio picture absorbs a bad day. A twenty-day independent feature does not — one blown day is 5% of the schedule, and the penalties attached to recovering it land on the same budget.
Incentives change the answer too, and by more than most line-item savings: a fully refundable credit at 35–40% of qualified spend is a finance-plan item, not a rebate. What California's expanded incentive actually produced is the current worked example.
How do you keep control of it?
Four habits, in order of how much they save.
- Fight for the day count in the breakdown. Every hour spent getting eighths right is worth a day of arguing about rates later.
- Schedule to avoid moves and long turnarounds. These are the two costs that grow non-linearly, so they are the two worth designing around.
- Make the fringe rate visible in the budget, per hour. If your budget models crew as a day rate with fringes as a percentage bolted on at the end, the cost of a long day is invisible until it has happened. Model it hourly. This is what a film budget built against the schedule is for, and why a budget that cannot see the Day Out of Days is guessing.
- Crew from a real availability picture. Half the overruns that look like scheduling problems are staffing problems — a department short a body absorbs the shortfall in hours. Knowing who is actually free on your dates, rather than who answered a message, is the difference; where crew actually get hired covers why the referral network alone keeps producing that gap.
The honest caveat
The percentage ranges here — 40–50% below-the-line, 30–40% crew — are industry rules of thumb from budget guides, not audited figures, and they vary widely by genre. A VFX-heavy film and a two-hander shot in one location do not share a cost shape.
The IATSE rates are specific, published and dated, and they apply only to productions signed under that agreement. Non-union and international productions have entirely different structures, and day rates in India look nothing like the table above.
What travels across all of them is the shape of the problem: the day count is set in prep, the marginal hour costs more than the average hour, and both facts are decided by people who are not yet on set.
Sources
- Film budget breakdown by department, including below-the-line proportions — Saturation.io
- Film production budget guide 2026: tiers, breakdowns and real numbers — Vitrina
- IATSE Basic Agreement changes and effective dates, updated July 2026 — GreenSlate
- US finally stems the bleeding in film production — but will it last? — Entertainment Partners
Frequently Asked Questions
What percentage of a film budget is below-the-line?+
Typically 40–50%, covering crew, equipment, locations and construction. Crew alone usually accounts for 30–40% of the total budget, including on independent films.
How many shooting days does an indie feature need?+
A low-budget feature typically shoots 18–25 days and a microbudget feature 10–15. The day count is the single largest lever in the budget because every extra day compounds across crew, equipment, locations, catering, transport and insurance at once.
Why do long shooting days cost more than proportionally?+
Because fringes and penalties are charged per hour. Health and pension contributions accrue on every hour, overtime multipliers apply, triple time starts after 15 elapsed hours, and a late wrap that breaches the next day's rest period triggers penalties paid at additional double time across everyone affected.
What is the IATSE health and pension rate in 2026?+
From 2 August 2026 the Motion Picture Industry premium rate is $15.7475 per hour and the basic rate is $10.4175 per hour, alongside a CSATF basic contribution of $0.66 per hour.
What is the most expensive scheduling mistake?+
A company move inside a shooting day, and a wrap late enough to breach the next day's turnaround. Both convert productive hours into cost while every per-hour charge keeps running, and both are decided in prep rather than on the day.
About the author
Geenesh S
Founder & Editor, ScenePaper
Builds and runs ScenePaper. Writes about how film production actually schedules, budgets and hires — and where the paperwork breaks.
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