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Author
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Topic: New Rules for Paying Players
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Tiptree
Administrator
Member # 844
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posted 06-08-2025 03:23 PM
A settlement was reached last week that clarifies how schools can pay players. Here is how I understand it:
Schools can pay players a "salary", with a maximum of $20 million per school. This is simply money taken out of the athletic associations income and paid directly to players.
Schools can ALSO pay players up to $20 million (in total) for NIL. However, these payments are subject to audit by Deloitte, one of the "Big 4" accounting firms in the US. If Deloitte finds, for example, that a booster who owns a business donated $1M to pay a player for appearing on a radio advertisment, but Deloitte decides the market rate for such payments is only $50k, then Deloitte can nullify the entire NIL payment for that player. In other words, these payments must pass some sort of sanity test.
So, in summary, schools can legally pay players across all sports a total of $40 million; $20 million of that is considered salary, and is completely at the discetion of the school. The other $20 million is NIL money, but it must be a reasonable compensation for Name, Image, or Likeness.
Let's see how long THIS structure holds up! There is one huge question that it does not address: Some conferences, like the Big East, do not play football. So, in theory, St. Johns could spend all $40 million on their basketball team. THAT will be interesting to see!
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Tiptree
“If a nation expects to be ignorant and free, in a state of civilization, it expects what never was and never will be.” Thomas Jefferson
Posts: 13724 | From: Terre Haute, IN | Registered: Sep 2000
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CatfanRick
Administrator
Member # 126
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posted 06-08-2025 05:06 PM
My view is that the more moving parts in a machine (paying players) the more opportunity for something to break. Players were getting money before NIL, and are still getting that beyond NIL, so nothing really changes other than some of the non income producing sports can get players some (more) money.
Maybe I am in a dead zone but I see nothing going on where players are "earning" their NIL money other than playing their sport. I have seen very few commercials with active athletes being featured but not anything that makes me say these guys are earning their pay other that performing on the playing field.
Posts: 7234 | From: Florence, Ky | Registered: Sep 1999
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BCD
Player
Member # 2053
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posted 06-10-2025 08:03 AM
Sounds simple to regulate. (dripping with sarcasm)
Just my $.02
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It's me, the cat
Posts: 603 | From: Conjunction junction | Registered: Jun 2003
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Bama Cat
Player
Member # 153
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posted 06-19-2025 11:14 AM
W#hat goes aroun comes around. In other words someone will pay for this fiasco(other than who is intended). Things are never forever and this will pass also.
Posts: 14406 | From: berea, ky, usa | Registered: Sep 1999
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