NIL Collective

[SHOXAAC]

Saw an article KU currently has 500k total in NIL initiatives in total for their student athletes. Am I crazy in saying that’s not an impossible feat for WSU? Or is the money just not there

That's because they already had millions invested by dirty boosters, so they didn't need the cash homies on the back end.

[Stickboy46]

That's because they already had millions invested by dirty boosters, so they didn't need the cash homies on the back end.

Yea I doubt the Adidas funds are listed there

[MadDog]

Mike Kennedy tweeting this morning that the UCF roster is down to four players. Maybe a conference win is possible next year!

[mattdalt]

So, I gotta ask the question…if the school is making “all this money off the players”, why is it that most of the posters on ShockerNet feel the athletic department is basically bankrupt? We can’t have it both ways.

Title IX?

[1972Shocker]

So can someone explain to me what possible value can Nigel Pack bring to business that is worth $800,000 over two years.

BTW, since we no longer have amateurs at the collegiate level I hope the IRS is making sure the value of the tuition, room and board and other perks are reported to the IRS and the players on a W-2 form or a 1099 from. I presume it is up to the NIL collective to report the NIL payments to the players as income on either a 1099 or a W-2 form.

[asiseeit]

Pony up BIG or dry up which will it be?

[WichitaHawk]

I'm guessing it will bring many more pink and blue haired, nail polished girly boys.

Sorry, couldn't resist.

Lol thats funny. But I love (and played) soccer and I’m far away from what you defined above. Granted we do have some weird fairies that play the sport. I can’t lie on that.

[Dan]

So, I gotta ask the question…if the school is making “all this money off the players”, why is it that most of the posters on ShockerNet feel the athletic department is basically bankrupt? We can’t have it both ways.

Because athletes all think the schools are making “billions”. Like everything else, they see how much money is generated by the NCAA tournament and ignorantly think that means every school has hundreds of millions to blow.

[1972Shocker]

So, I gotta ask the question…if the school is making “all this money off the players”, why is it that most of the posters on ShockerNet feel the athletic department is basically bankrupt? We can’t have it both ways.

I was wondering that myself. Now in Wichita State's case a lot of the money that came in went into Gregg Marshall's pockets. However, my understanding is these funds were provider by private boosters for that specific purpose. SASO donations, of course fund the scholarships for the athletes with that money basically just passing through to the university from donors via the athletic department. I am not exactly sure where all the excessive revenues from ticket sales, advertising and television revenues are hidden.

[WichitaHawk]

It seems like some of these business don’t even care about a return on the investment. For example the 800k for the kids at UM in 2 years. How the heck is a couple of basketball players who aren’t superstar level on social media going to return almost a million in revenue? I don’t see that happening. Now here where I get suspicious. Can business say they lost money on investments and use it as lost investments on tax returns. I’m no tax man but if they can that’s messed up.

[Dan]

To guys like Chadrack that think we have some kind of hidden war chest of cash, they need to know that “all this money” the basketball program makes goes to fund things like a good coaching staff, tutors for the players, private jets for the players, dinners at 5 star steak houses on the road for players, special training and study facilities for players, athletic gear for players, medical attention for players. I wonder which of those things they will be willing to give up to put some of that extra cash in their pockets?

[Dan]

It seems like some of these business don’t even care about a return on the investment. For example the 800k for the kids at UM in 2 years. How the heck is a couple of basketball players who aren’t superstar level on social media going to return almost a million in revenue? I don’t see that happening. Now here where I get suspicious. Can business say they lost money on investments and use it as lost investments on tax returns. I’m no tax man but if they can that’s messed up.

I believe they are setting up non profits to donate into and the non profit pays the players, although I’m not 100% certain.

[Shocktoberfest]

To guys like Chadrack that think we have some kind of hidden war chest of cash, they need to know that “all this money” the basketball program makes goes to fund things like a good coaching staff, tutors for the players, private jets for the players, dinners at 5 star steak houses on the road for players, special training and study facilities for players, athletic gear for players, medical attention for players. I wonder which of those things they will be willing to give up to put some of that extra cash in their pockets?

Also. Why does he think many staff members were laid off recently or why salaries were reduced? That’s not the sign of a department or business that is flush with cash.

[1972Shocker]

It seems like some of these business don’t even care about a return on the investment. For example the 800k for the kids at UM in 2 years. How the heck is a couple of basketball players who aren’t superstar level on social media going to return almost a million in revenue? I don’t see that happening. Now here where I get suspicious. Can business say they lost money on investments and use it as lost investments on tax returns. I’m no tax man but if they can that’s messed up.

It's not whether they can legally, but it is whether they can buy it in their income statement and play audit lottery. The IRS regulations are pretty vague and sparse in this area. Most of the rules have been established by court precedent as a result of litigation. This is one of the most litigated issues by the IRS. The IRS wins the majority of these cases. But you have to get caught first. But if the IRS thinks there are big enough bucks involve here to shine a spotlight on this area I would think this would be pretty easy for them to hone in on the big money deals if they wanted to.

[1972Shocker]

I believe they are setting up non profits to donate into and the non profit pays the players, although I’m not 100% certain.

They may be not-for-profit entities but that doesn't mean they are qualified charitable organizations. I am quite sure they are not. The contribution to these collectives would not be deductible as a charitable contribution. You would only be able to deduct your contribution to the extent you could establish it was an ordinary and necessary expense of your business. Also, this does not make the payment to the players nontaxable. I believe the payments to the players would be taxable and subject to federal and state income taxes and self-employment taxes (social security & medicare) regardless of whether those funding the payments receive any tax deduction.