Why Indian Actors Play It Safe: R. Madhavan on Bollywood’s Lack of Residuals

Madhavan argues that without ongoing pay from past films, most Indian stars can’t afford to take creative risks—and only the top tier can bypass that trap

R. Madhavan, a fixture in Indian cinema for over three decades, recently voiced a forthright critique of the Hindi film industry’s economic model. In a candid conversation with Akshaye Rathi, he lamented the absence of a residual system—continuous payments from past films or shows—and contended that this lack of financial security explains why many actors shy away from daring choices.

Unlike in Hollywood, where actors continue to earn from past hits and thus have room to experiment with unconventional projects, Bollywood typically offers one-time payments that leave artists vulnerable to risk when selecting roles.

When asked whether Shah Rukh Khan’s decision to become a producer early on was a clever move to secure control and maximize profits, Madhavan responded that such a tactic is viable only for a select few. He explained that while A-list actors with strong box office pull can afford to invest in production, those at the lower rungs of the industry lack the same autonomy or safety net.

Madhavan also reflected on how fame often leads stars to adopt high-cost lifestyles—“once you hit a certain level, you get used to certain comforts”—and warned that few actors recognize the importance of spending prudently and living within means.

He speculated further: “If I were a Hollywood actor, with the number of hits I’ve had, would I pause before choosing a risky project?” he asked. He said no: the assurance of residual income would allow him to leap without hesitation. “Three blockbuster films might be enough,” he mused, referring to his career landmarks such as 3 Idiots, Rang De Basanti, and Tanu Weds Manu.

Madhavan also invoked a widely shared anecdote: that the late veteran actor Amrish Puri continued to receive residuals from his work in Steven Spielberg’s film. He used it to underscore the contrast between Hollywood’s enduring payment systems and Bollywood’s conventional one-time fee model.

In his view, residuals function like royalties—whenever a film or show earns from distribution, streaming, or TV, everyone involved gets a share. He recalled that actor Adil Hussain once spoke of how he continues to receive periodic income for a small guest role on Star Trek: Discovery, despite its limited scope.

Madhavan’s remarks prompt a deeper question: can Bollywood evolve a structure that cushions actors, especially beyond the superstar class, so they can pursue art over assured returns?