Texas A&M boosters paying $30M NIL

[orangemass]

How much NIL do you need to pay for low 3 stars? That's our playground and sweet spot...

 

[NKR1978]

Diminishing return outcomes are going to be great over the next few seasons, esp in football.

A lot of really rich guys are going to be really mad when their teams finish 5th in their division. It's Pony Excess all over again.

 

[TexanMark]

A lot of really rich guys are going to be really mad when their teams finish 5th in their division. It's Pony Excess all over again.

I've lived around many of these folks...I'm going to chuckle when they see all their donations to get better parking, ticket location, access...get them a 4-8 record some years. In the good old days a bad season was 8-4 and the Outback or Gator Bowl. The premier grouping due to TV will likely play 10 games amongst themselves (assuming they allow a few guaranteed games among the serf class). Very few NFL teams go through the season with 1 or 2 losses. Some of the spoiled Big Boy fans better understand 8-4 in a new super league is pretty good.

 

[TexanMark]

How much NIL do you need to pay for low 3 stars? That's our playground and sweet spot...

Three times a week at midnight ought to do it.

 

[rrlbees]

I

Bees. Seriously. Wow, nice. What dont i understand?
As to contributing to the program i more than do my share.
But back to the 99th time why dont you explain SUs NIL strategy.

If you are so connected you’d know everything SU is doing with NIL that is legal including hiring companies to help players navigate the marketing and branding path. What SU lacks, as does most other schools, are businesses and individuals willing to play the game with millions of dollars. Can you tell me where the million dollar deals are for Pitt players? BC? NC St? Maybe Duke? Wake Forest? It goes on and on. Can’t believe you would promote SU running the risk of cheating and getting money to kids themselves.

 

[tep624]

I presume this has been going on, all along. I imagine the $$ has increased, as a business can write it off as a legitimate expense.

Interesting that the Class is averaging about $1M per player. Using the NFL model, each player at Texas was worth $1.6M/year.. That's with ignoring title ix, etc. And just analyzing football revenue.

It will be interesting to see how much boosters will try to meet that #. Essentially salary donations to the AD department. (With schools avoiding labor laws, paying their share of SS, insurance, etc..) I imagine the IRS will want that $$, and it will drive players to be classified as employees.

Oh it totally was going on before, I love how the author of the article puts in the word “allegedly” (tool move). There is no allegedly about it.

All this does now in that this is above board is open the floodgates for the factory schools. There literally is no worry as to going too far and getting caught by the NCAA and as you said, there are now tax advantages as well.

For me what makes sense is a salary cap system like we see in professional sports. That’s literally the only way going forward to allow for some parity. Right now it’s the Wild West and the equivalent to the NASL where the wealthiest team can spend as much as they want.

 

[RandomGuy]

For me what makes sense is a salary cap system like we see in professional sports. That’s literally the only way going forward to allow for some parity. Right now it’s the Wild West and the equivalent to the NASL where the wealthiest team can spend as much as they want.

A salary cap only works if schools are paying players. These are "endorsements". Nothing ever stopped Michael Jordan from earning extra on endorsements, because nothing should.

In this case, it seems players are being paid to wear a jersey, not to endorse a 3rd party product. I have no problem with that, but it begs to ask if their "endorsements" are actually salaries. I'd say the government could argue salary, and such "NIL" deals could be reclassified as employment..

 

[OttoinGrotto]

For me what makes sense is a salary cap system like we see in professional sports. That’s literally the only way going forward to allow for some parity. Right now it’s the Wild West and the equivalent to the NASL where the wealthiest team can spend as much as they want.

In no way shape or form should parity be the goal.

The NCAA has denied student-athletes the fundamental right to their own identity for far too long.

That's the big picture problem NIL solved. Any other problem created is secondary to that.

 

[tep624]

In no way shape or form should parity be the goal.

The NCAA has denied student-athletes the fundamental right to their own identity for far too long.

That's the big picture problem NIL solved. Any other problem created is secondary to that.

And that friends is how you replace a disfunctional system with a disfunctional system.

 

[tep624]

A salary cap only works if schools are paying players. These are "endorsements". Nothing ever stopped Michael Jordan from earning extra on endorsements, because nothing should.

In this case, it seems players are being paid to wear a jersey, not to endorse a 3rd party product. I have no problem with that, but it begs to ask if their "endorsements" are actually salaries. I'd say the government could argue salary, and such "NIL" deals could be reclassified as employment..

These are “endorsements” to steer players to certain teams. That is different than professional endorsements and more resembles professional salaries.

If I’m a booster for Texas A&M, I’m only giving a NIL to a kid if he goes to that school, not if he goes to Michigan.

 

[mscanlo]

A lot of really rich guys are going to be really mad when their teams finish 5th in their division. It's Pony Excess all over again.

It's not just about winning. It's access to the team, being privy/involved to news/decisions, helping your team get better/achieve their goal, etc. i.e. paying for access/experiences that 99.9999% of us aren't privy to.

 

[DMDMD]

A salary cap only works if schools are paying players. These are "endorsements". Nothing ever stopped Michael Jordan from earning extra on endorsements, because nothing should.

In this case, it seems players are being paid to wear a jersey, not to endorse a 3rd party product. I have no problem with that, but it begs to ask if their "endorsements" are actually salaries. I'd say the government could argue salary, and such "NIL" deals could be reclassified as employment..

Did I miss something, why wouldn't money earned from endorsements be taxed?

 

[djcon57]

A lot of really rich guys are going to be really mad when their teams finish 5th in their division. It's Pony Excess all over again.

Are the rich folks who contribute millions to the syracuse basketball and football programs upset at the money they have spent on buildings that have gome towards a losing football season and currently a 7-7 basketball season?

it’s all relative...now the money is just going to the players Instead of flashy dorms and weight rooms

 

[RandomGuy]

These are “endorsements” to steer players to certain teams. That is different than professional endorsements and more resembles professional salaries.

If I’m a booster for Texas A&M, I’m only giving a NIL to a kid if he goes to that school, not if he goes to Michigan.

Yepp. Why its a multi-year "endorsement".(salary). And just like a salary? If you leave that company, you don't get your NIL salary. Also can help prevent kids from hitting the portal.

I wonder how long it takes for these deals to include a "non competition" clause, preventing the player from transferring within conference, without paying damages. Doesnt matter what the NCAA says. These are individual NIL payments/contracts, and will be subject to existing contract law.

 

[OttoinGrotto]

And that friends is how you replace a disfunctional system with a disfunctional system.

I agree with that.

I've long maintained that dysfunction that legally puts cash in hand for the student-athlete is the right dysfunction to choose though.

 

[RandomGuy]

I agree with that.

I've long maintained that dysfunction that legally puts cash in hand for the student-athlete is the right dysfunction to choose though.

It is the right thing to do. However. Until there are rules governing what is truly NIL, and what is bagmen salary? I'd put an NIL luxury tax on teams. (Paid via player bagmen salary - or REAL NIL deals).

Like MLB luxury tax, send the excess to the have nots pool. I WOULD exclude legitimate NIL deals. Like say, Trevor Lawrence getting a million bucks for a national hair care campaign. If that needs to be included? So be it. X% of all NIL goes into the national NIL pool, via NCAA NIL tax. Of course, this would require a vote from a players union. (Employees)

 

[OttoinGrotto]

It is the right thing to do. However. Until there are rules governing what is truly NIL, and what is bagmen salary? I'd put an NIL luxury tax on teams. (Paid via player bagmen salary - or REAL NIL deals).

Like MLB luxury tax, send the excess to the have nots pool. I WOULD exclude legitimate NIL deals. Like say, Trevor Lawrence getting a million bucks for a national hair care campaign. If that needs to be included? So be it. X% of all NIL goes into the national NIL pool, via NCAA NIL tax. Of course, this would require a vote from a players union. (Employees)

I would do none of this.

 

[Timonen]

And that friends is how you replace a disfunctional system with a disfunctional system.

Fundamentally connecting education with billion dollar (physically taxing) business feels inherently at odds so makes sense that it’s foundationally disfunctional. It can’t possibly ever be equitable or fair.

 

[TheCusian]

In no way shape or form should parity be the goal.

The NCAA has denied student-athletes the fundamental right to their own identity for far too long.

That's the big picture problem NIL solved. Any other problem created is secondary to that.

I think steps to prioritize parity while allowing players to retain their ability to profit from their likeness is possible.

An extra year of eligibility would do both, for example.

 

[AlaskaSUfan]

I think steps to prioritize parity while allowing players to retain their ability to profit from their likeness is possible.

An extra year of eligibility would do both, for example.

The parity needs to be in getting money in the pockets of all athletes on the team, not just those who are the "elite". So the cap could be for an overall maximum per player and each of the individual NIL's have a percentage put towards that amount. That could naturally cap the top end and give a goal of what each program needs to set for fund raising.

 

[OttoinGrotto]

I think steps to prioritize parity while allowing players to retain their ability to profit from their likeness is possible.

An extra year of eligibility would do both, for example.

I have long felt given the graduation trends of non student-athletes that the NCAA should simply move to a 5 to play 5 eligibility model.

 

[kcsu]

If you are so connected you’d know everything SU is doing with NIL that is legal including hiring companies to help players navigate the marketing and branding path. What SU lacks, as does most other schools, are businesses and individuals willing to play the game with millions of dollars. Can you tell me where the million dollar deals are for Pitt players? BC? NC St? Maybe Duke? Wake Forest? It goes on and on. Can’t believe you would promote SU running the risk of cheating and getting money to kids themselves.

Dont put words in my mouth . I was being facetious.

 

[Oakland]

I hope Syracuse and a lot of other non-SEC schools stop scheduling SEC and other high NIL schools.

If I'm LU Monroe, Prairie View A&M, Charleston Southern, etc., I'm raising my patsy rate by 300%.

 

[David321]

I always thought that a free education, especially if room and board, is fair compensation for scholarship players. But what do I know. The only issue I ever had was I think that if a student athlete gets injured, the school should still honor the scholarship all the way through.

 

[TheCusian]

I always thought that a free education, especially if room and board, is fair compensation for scholarship players. But what do I know. The only issue I ever had was I think that if a student athlete gets injured, the school should still honor the scholarship all the way through.

You wouldn’t take that compensation to value ratio at any job you work. Nor should they.

(It used to be pretty fair like in the 50’s. TV money has made the arrangement untenable, IMO)