The Teenage Millionaires Rocking the Sports World

[t.town]

I know this has been discussed some but wasn't aware of the dollars some are paid.

There goes college sports it's the D league now. A lot of athletes will never get a college degree transferring around for recognition. SAD

The Teenage Millionaires Rocking the Sports World

College athletes are making more than some professionals from their name, image and likeness

www.wsj.com

 

[TU Sepp]

With the NIL money they are making they can afford to pay for their college after they use up their eligibility.

Or they can waste their money and go through life drunk and stupid.

It's their choice!

 

[TU1NNJ]

I have been thinking about where to add some general thoughts on this topic. I realize the NIL money isn’t technically always tied to the university but therein lies the problem. The NCAA use to enforce rules against boosters paying inducements to attend a particular school. If this NIL is really about the name, image and likeness then requiring a player to attend a certain university is still an inducement by that school’s booster then theoretically the NCAA should still enforce it. With the understanding that the booster provided NIL may not go away and is tied to playing for a particular school here are some thoughts:

- If a player is healthy and chooses not to play in a post season game they should have to pay back the tuition, fees, books, room and training table costs for that past semester

- if a player enters the portal without graduating and took NIL money they should be required to pay back their tuition, fees, books, room and training table costs

- if a player becomes academically ineligible they took any NIL funds they should return all tuition for the previous semester and not receive these school provided money (tuition, etc…) until they are once again eligible and if they choose to transfer then again pay back the tuition, etc… consistent with previous points.

My rationale is they received the NIL from boosters because of being affiliated with that university. The university paid costs in good faith that the player would come to their school, contribute athletically and become a true “student” not just an affiliation with the school.

Rant over.

 

[noble cane]

Just call them professional athletes and forget the books, tuition.. etc..

NFL league minimum is $705k or roughly $41k per game.. thats equivalent to $492k for 12 games in college..

The SEC and BIG are going to make approximately $80 million per team... those teams could pay 85 players 1/2 of that and still have $40 million left over..

 

[TU1NNJ]

If they go that route then don’t call them student athlete's or have them enroll in classes and change the name to The Sooners sponsored by the University of Oklahoma and make it all taxable.

 

[HuffyCane]

There needs to be a rule that if you take money, a certain percentage of it goes into a pooled fund for every student part of the program, even the water boy. Everybody gets a base check of an equal amount from that fund. Players earning more than the base amount can keep that amount but the percentage you pay into the fund goes down as the gross amount you earn increases. The QB making a million and the back up safety that makes the tackle on the last play of the last game that preserves 6 wins and bowl eligibility for the whole team gets nothing is no way to run a railroad.

 

[astonmartin708]

With the NIL money they are making they can afford to pay for their college after they use up their eligibility.

Or they can waste their money and go through life drunk and stupid.

It's their choice!

They should have to pay for school anyway. Scholarships should revert to need based.

 

[astonmartin708]

There needs to be a rule that if you take money, a certain percentage of it goes into a pooled fund for every student part of the program, even the water boy. Everybody gets a base check of an equal amount from that fund. Players earning more than the base amount can keep that amount but the percentage you pay into the fund goes down as the gross amount you earn increases. The QB making a million and the back up safety that makes the tackle on the last play of the last game that preserves 6 wins and bowl eligibility for the whole team gets nothing is no way to run a railroad.

We could put that money in some sort of fund that would benefit all of the students at the school….. maybe we could call it something like a scholarship endowment. Lol.

 

[I.I.]

Hurts the team chemistry when one player makes a lot more money than the others. Bryce Thompson (McDonald's All-American) was one of the first to ever get NIL money from around here and I will always wonder if that contributed to his prolonged lack of success.

 

[TulsaRulzOSUdrools]

Don't they do Salary Caps and stuff in the NFL? The whole thing is utterly ridiculous, but then again, it shows the utterly ridiculous facade the entire game of college athletics and amateurism was.

 

[quincy101]

change the name to The Sooners sponsored by the University of Oklahoma and make it all taxable.

I like it! What is, btw, the tax status of NIL$ for the um, er student athlete?

 

[TU1NNJ]

I like it! What is, btw, the tax status of NIL$ for the um, er student athlete?

Money earned from NIL has to be taxable as earned income just like appearance fees or commercials for professional athletes, authors, actors, etc…

 

[quincy101]

How about our "enhanced scholarship" up to $10k for tax purposes? I suppose it's tax free. Some of those big $ NIL guys better lay out some cash to hire a money guy to watch his (IRS)
back.

 

[HuffyCane]

Portions of NCAA scholarships have always been taxable. Room and board for instance. The Alston grant is typically taxable. That’s usually not a problem for students taking a standard deduction with no other income. It gets tricky when there is NIL involved.

There are internal compliance controls at the university level to minimize tax exposure for most NIL. Indeed that’s the whole reason for this scheme.

But the kids are on their own to determine their true taxable liability and the sooner they learn about leeches like accountants, lawyers, agents and posse costs, the better. I’d bet at least one parent of a TU athlete has looked at the risk management costs and compared it to their kids value and said that TU’s strategy makes sense.

The real danger is kids going out and getting their own deals with no or minimal school involvement. Kids may or may not be getting good tax advice with that stuff. But that’s no different than putting a tractor in Daddy’s barn.

Then there’s the predators. I’ve heard one story of a female athlete at another school signing a social media contract for guaranteed money over time. She did it for awhile and quit. After warning and a demand for full performance, the company filed a 1099 for the amount in the liquidated damages clause when she turned up hawking another similar product. So she ended up paying taxes on the value of the relationship to her, rather than the other way around. She literally is paying taxes on work she didn’t perform. It’s not easy free money and that’s the message being sent and received.

 

[quincy101]

I'm sure this info is in another thread but thanks to Huffy & TU1NNJ anyway.

 

[noble cane]

If they go that route then don’t call them student athlete's or have them enroll in classes and change the name to The Sooners sponsored by the University of Oklahoma and make it all taxable.

I seriously see a time where they no longer have an affiliation with the school and actually have a HS draft...

It would be nice if the USFLxXFL merged league would be able to sign HS players.. a lot of 5* kids would go that way rather than deal with college bs..

 

[Gmoney4WW]

I want to know how much Boise St paid #1 QB in 2023 Malachi Nelson to transfer from USC.

 

[HuffyCane]

I want to know how much Boise St paid #1 QB in 2023 Malachi Nelson to transfer from USC.

Rumors of between $300K and $500K with the use of a private residence and luxury car.

Boise was cash strapped the last couple of years. Licensing is back up significantly. Football budget back up to $25 million with around $5 million spent on recruiting alone. They will be a force in a year or two.

 

[Gmoney4WW]

Rumors of between $300K and $500K with the use of a private residence and luxury car.

Boise was cash strapped the last couple of years. Licensing is back up significantly. Football budget back up to $25 million with around $5 million spent on recruiting alone. They will be a force in a year or two.

SMH at it all.

 

[Weatherdemon]

SMH at it all.

Check the Alley for some related disappointment.