Video · 53 seconds · captions on

How to read your royalty stub (53 seconds)

Name: How to read your royalty stub (53 seconds)
Uploaded: 2026-09-30T00:00:00+00:00
Duration: 53 s
Description: Every box on a Texas royalty check stub, left to right: barrels, your decimal, price, severance tax and what the line pays. Then five checks you can run in ten minutes: the decimal, the volume, the price, the tax and the timing. A 53-second cut of the full video.

Every box on a Texas royalty check stub, left to right: barrels, your decimal, price, severance tax and what the line pays. Then five checks you can run in ten minutes: the decimal, the volume, the price, the tax and the timing. A 53-second cut of the full video.

Transcript

Your royalty stub is a small ledger. Here is how to read it, and check it, in under a minute. Every line is the same arithmetic. The lease's barrels, times your decimal, are your share. Times the price is the gross. Minus the state's severance tax, four point six percent of oil, is what the line pays. Then run five checks. The decimal matches your division order. The volume matches the Railroad Commission's record. The price follows the market. The tax is four point six percent of oil, seven and a half of gas. And oil is paid within sixty days of the end of the sale month, gas within ninety. Or upload your stub to our free stub check. The sources are on screen.

The sample stub is a real Midland County lease with a made-up owner. The worked example uses made-up numbers.