The NIL is for any player I believe to benefit financially regardless if they are freshman or not. This is about free enterprise too.
I think the NCAA and/or at least the major (mostly P5) conferences will need to establish rules under which folks are eligible to play for their teams. So yeah while collectives (ie: alumni) are currently offering guys âpay for playâ at some schools, the NCAA/Conference can establish new âeligibility rulesâ as to whether or not they are allowed to compete in any scholarship athletics program at that school.
So yes you can go ahead and pay $50K per year for a guy to attend a college (and major in basket weaving or whatever) but if heâs paid to attend in such a manner, then he just might not be eligible to play on their athletic team(s).
Some traditional powerhouses such as Bama just donât have as many rich alums to fund NIL payments if they are competing with Texas, aTm, Southern Cal, Stanford, and a much bigger list. Remember, NIL canât be funded out of revenues.
Some rules and lawsuits will be served up over the next few seasons. Letâs see how the distortion of ânormalâ recruiting proceeds. Some surprises in store, for certain.
The problem is when they are not yet freshmen and not in college yet. It is simply being used to recruit, which is not what was the intended goal, as they have not done anything yet for the college to earn any value to their likeness. That is still a violation. So they are not being paid on what they have done but simply to get them to sign with a certain school.
It is also about being paid for doing something, ie. sign autographs, TV commercial, public appearance. Not being paid to play only.
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Interesting article right below that one on SMU and NIL.
I just saw this post! So happy you ordered! Thatâs awesome, thank you!! 
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This is an interesting angle related to NIL.
If you are unfamiliar, Kristi Dosh has done a lot of writing and research on the business of College Sports. I have talked about one of her books on here before that I picked up at the College Football Hall of Fame when we were in Atlanta for the Peach Bowl.
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The Buckeyesâ quarterback inked a Name, Image and Likeness deal with Sarchione Auto Gallery, a car dealership in Canton, Ohio⊠and opted for a $200,000 Mercedes G Wagon, according to NBC4 in Ohio⊠According to ABC6, heâs able to swap out vehicles every 45-60 days as part of the sponsorship deal.
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The Tax Man comethâŠ
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I hope the schools are helping the athletes understand they need lawyers and accountants. Going to be scary in a few years if/when some high profile star gets indicted for tax evasion.
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Thousands (maybe ten thousand or more) probably work. Iâd be most have figured out how to file a tax return (or their parents have showed them how).
Filling out a 1040-EZ is pretty simple. I donât think this is going to be a big problem.
The biggest problem was probably in the past when some players were getting paid under the table at some schools. Those are the kids who have potential tax problems (if it comes to light) because Iâd bet most of them werenât paying tax on that money.
It should all be on the up and up now, so it should be easier for kids as far as thatâs concerned, IMO.
Hmmm didnât the 1040-EZ go away a few years back.
Does not bode well thenâŠ
Speaking as a tax professional, I think youâre overestimating the amount of college students who actually understand how to prepare thier tax return. Also, there is no 1040 ez anymore.
If they are selling their NIL, most likely they are not getting W2 and would likely be subject to self employment tax. Plenty of pitfalls.
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Didnât know that about the 1040EZ.
Still, TurboTax and products like that are pretty easy to use.
And easy to misuse.
Spoke with a guy who signs NIL deals with UH players. He said they all have an agent.