This page summarizes the statutes for production staff and isn't legal or financial advice. Parents should talk to their bank and an attorney about setting up the account, and producers should confirm current rules with their payroll company.
Where the name comes from
Jackie Coogan was a child star of the 1920s whose earnings were largely spent by his parents before he became an adult. California passed its first child actor earnings law in 1939 in response, and later amendments created the 15% set-aside that productions deal with today.
How the money moves on a California job
- The parent or guardian opens a Coogan trust account at a bank or other institution and gets a trustee's statement.
- Within 10 business days after employment starts, the trustee gives the employer a copy of that statement and the account details.
- The employer withholds 15% of the minor's gross earnings.
- Within 15 business days of receiving the statement, the employer deposits the 15% to the account.
- Once deposited, the employer has no further duty to monitor the funds.
In practice, step 3 and 4 happen through the payroll company, which asks for the Coogan account details with the minor's start paperwork.
A quick example
A 12-year-old day performer earns $1,250 gross for a shoot day in Los Angeles.
- Coogan set-aside: $1,250 x 15% = $187.50, deposited to the trust account
- The other $1,062.50 goes through normal payroll
The 15% is figured on gross earnings, so the math starts from $1,250, not from the take-home amount after withholding.
Other states
New York requires a child performer trust account and the 15% transfer, with timing based on contract length. If a New York parent doesn't establish the account within 15 days, the employer transfers the money to the State Comptroller. Other states, including Illinois and Louisiana, have their own child performer trust rules. A production shooting a minor from one state in another should get the payroll company to confirm which law applies before the first day. Working with minors on set covers how this fits with permits and studio teachers.
Common mistakes
Paying the full amount to the parent and planning to "fix it later." Cutting a check without the account number because the family is flying home tomorrow. Both leave the production holding money the statute says belongs in the trust.