Above-the-Line refers to which portion of a budget?

• A. The lower portion of the budget covering crew, equipment, locations, etc.
• B. The uppermost budget categories covering rights to screenplay, writing, producers, director, and principal cast.
• C. The dietary and travel budgets.
• D. Merchandise and licensing budgets.

Answer: (B)

In film budgeting, Above-the-line refers to the creative talent and rights deals that are negotiated up front and set before production begins. This includes the rights to the screenplay, the writer’s fees, and the fees or salaries for the producer, director, and principal cast. These commitments are largely fixed early on and aren’t tied to the day-to-day shoot costs, which is why they sit "above the line" in the budget.

The other areas described fit below the line: crew, equipment, locations, and other production expenses are variable costs tied to the actual shooting. Dietary and travel budgets aren’t a standard separate category in this framework, and merchandise and licensing budgets relate to revenue-side or separate deals rather than the core production budget.