I listened to all of the pods about NIL. The only thing we know right now is we don't know anything. However, most pods seem to be concerned about Olympic sports like wrestling. Am I the only on thinking the "name brand" wrestlers could make some serious cash doing camps all spring, summer, and fall? David Carr may get in on this by the time his eligibility is over but I'm thinking the kid could do very well for himself if it was free-for-all like some are predicting.
NIL and Wrestling
- Thread starter ST8TAILG8R
- Start date
This is what I was thinking, but I'm guessing now they could sell branded merch, t-shirts, etc. with their NIL through these camps and make some pretty good bank on top of their appearance/coaching fees. David Carr national champion t-shirts would be pretty popular for ISU fans I'm sure.
The Olympic sport panic is being caused by people who have jumped from NIL straight to "pay for play."
As BC noted, these guys are already camp instructors. Higher-profile guys will have an opportunity to make a little scratch from their social media feeds and possibly apparel. None of which hurts the AD's coffers.
As BC noted, these guys are already camp instructors. Higher-profile guys will have an opportunity to make a little scratch from their social media feeds and possibly apparel. None of which hurts the AD's coffers.
It might boost pay a smidge. I know that when I facilitated the local camp, I didn’t touch ISU since I’m a donor and football season ticket holder. I had to go with a different college. I would have preferred ISU though.
- Mar 27, 2006
- 40,829
- 28,324
- 113
My son went to one of the camps and several of the instructors were current and former ISU wrestlers. They might as well have been Super heros or Olympic Gods, based on the way they came off in his 6 year old perception. They were absolutely incredible, and I guarantee we would have bought some branded merchandise if it had been available.
How much money can realistically be made off of wrestling merch? I know my 6yo will want a shirt if David makes them.
Side note, speaking of these old shirts, I found an awesome one I had about 23 years ago with Chris Bono’s face on it. He signed the damn thing too. If I can find it again, I will post it. I’m hoping the kids mom didn’t throw it away. It was a little……. worn.
Side note, speaking of these old shirts, I found an awesome one I had about 23 years ago with Chris Bono’s face on it. He signed the damn thing too. If I can find it again, I will post it. I’m hoping the kids mom didn’t throw it away. It was a little……. worn.
Need a combination of a top/star guy and a rabid fanbase.
For the sake of argument, let's say $8 profit per t-shirt. Could Spencer Lee sell 1,250 shirts to Iowa fans? Hell yes. A.J. Ferrari and Oklahoma State? Sure. Right there, you've cleared $10k pre-tax just with one particular item.
Who’s running the website? Making the orders? Fulfilling and shipping the orders? Going to market them via paid ads?
They can market their merchandise themselves through social media. Be interesting to see how the IRS takes a bunch of 18-23 YO's with businesses. EIN's applications will be through the roof this summer.
IMO it's naive to think NIL won't hurt Athletic Departments.
I have no issue with players leveraging their NIL. But if players are going to earn more than beer money from signing autographs for fans, their target audience for NIL sponsorships will be the same audience the AD targets. Especially in smaller economic areas like Ames, Iowa City and Iowa.
For example, would Pioneer prefer to donate $ to ISU for arena signage or have Breece Hall paid to do commercials? Most businesses don't have unlimited marketing budgets.
It may eat into the school sponsors a bit, but I think that the school brand is probably worth more than individual athletes since the highest profile athletes have such a short window. It will be interesting to see how it is handled when an athlete endorses a sponsor that is a competitor with an AD sponsor.
The large corporate department sponsors are going to continue being large corporate department sponsors.
Pioneer gets a huge amount of national TV time during every MBB game due to logo placement. Nothing they can do with individual athletes will top that.
If a wrestler wanted to be aggressive, why not run your own camp? Get a cut of every dollar from registration fees to merch. Most likely they would need a family member or "advisor" to aid in planning and operation
I am curious what tax implications will be for athletes AND their families related to NIL. For example, under current setup can parents still take their children on athletic scholarships as deduction on parents taxes. At what point do students making money no longer become dependants of parents?
Does NIL and more importantly future income earned from collective bargaining impact taxation on scholarship taxation?
If we have any tax experts, I would be curious if value of athletic scholarship are viewed as a benefit and taxable today? Could that change if athletes are paid? My guess the value of an athletic scholarship at ISU is over $40k for out-of-state students and could easily approach $80k at schools like Stanford, Duke, Northwestern or Notre Dame.
Maybe, but how about local guys like Wilson Toyota, Sukup or restaurants like Westown Pub.
Athletes only have a 2-3 year window to earn at the top end in their market, but sponsors could easily jump from star athletes- Lanning to Montgomery to Hall.
Also, using car dealerships as an example. Would they rather give the ISU softball coach a car or compensate Mike Rose with a car for appearing in ads.
First - there is no longer a dependent deduction on federal taxes. There is however a a dependent credit but for a college aged person it is only $500.
For my clients I try to do the tax return so that is it most beneficial to all parties. So if it benefits the kid more to claim themselves than it hurts the parents not claiming them then that's the way I do it and vice versa.
The test to determine if someone is a dependent or not is the support test - in other words who provides a majority of the support for the kid. In most cases it isn't a clear line so that's why I do my "most beneficial test".
Whom may I claim as a dependent? | Internal Revenue Service
Determine who you may claim as a dependent.
fyi
If they provide more than half of their support, they're not dependents. Especially when they have a full ride, it's not that big of a deal whether they're a dependent or not. It's a $500 nonrefundable credit
It will have zero impact on taxation of scholarships. Did you know that scholarships are already taxable? What makes them in essence not taxable is the fact that you can offset it against tuition and fees. If you're in the biology department and your full ride covers room and board, you should already have been paying tax on that.