Hi! I sell a product and have to pay a % of the gross as a royalty to artists. I am trying to figure out the best way to record this. The terms with the artists is that the royalty fee will acrrue monthly and they will get a pay out on a quarterly basis.

Ideally, I would like to make this a journal entry where the artist commissions accrued will show up on the monthly P&L. There should be some sort of liability account on the balance sheet that shows the total amount I owe, to which artist that should be cleared when I cut the check. 

I am not an accountant. My business is a startup so I am handling my own bookkeeping for now. I am trying to figure out the proper accounts to do the above. Can anyone help me figure out how I would structure this journal entry?

Many thanks!!