The arrival of Name, Image, and Likeness (NIL) has been a game changer from the perspective of a student-athlete.
How did NIL get started?
NIL originated in a class-action lawsuit that was filed in the late 2000s, which sparked the debate over whether college athletes should be paid. Former UCLA basketball player Ed O’Bannon argued that college athletes deserve compensation for the use of their names and images in video games.
In 2021, the NCAA introduced a new NIL policy that allows student-athletes to earn money by signing autographs, monetizing their social media accounts, and promoting various products or services.
The NIL has given athletes the leverage to earn a substantial amount of income in a short period of time. Many D-1 student-athletes have an unprecedented opportunity to capitalize on their athletic ability. Some athletes in their teens and 20s are making more in a one- to five-year span than most Americans will make in a lifetime.
How much are football athletes making?
When a student-athlete receives their first NIL money – whether it’s a large sum or small sum – there are five key things they need to know to secure their financial futures.
Before we get into those five things, though, let’s dive into some of the tremendous opportunities. In West Texas, the Matador Club, a nonprofit collective serving Texas Tech student-athletes, is giving football players an opportunity of a lifetime.
In 2022, the club signed all 85 scholarship Texas Tech players and 20 walk-ons to one-year, $25,000 NIL contracts. Players, in exchange, performed community service, served as ambassadors for West Texas charities, and appeared at Matador Club events.
According to On3 website, Texas Tech’s record-setting running back, Tahj Brooks, boasted a $680,000 NIL evaluation. This amount doesn’t include the annual university scholarship and stipend for being a scholarship athlete.
Arch Manning, UT’s quarterback-in-waiting, also has $3.1 million in NIL endorsements, outpacing starting quarterback Quinn Ewers by $1 million.
Multi-position player Travis Hunter from the Colorado Buffaloes has continued to amaze on both sides of the football. According to On3.com’s NIL valuations, he and his teammates, quarterback Shedeur Sanders and defensive back Shilo Sanders, have amassed a combined amount of $10.6 million in NIL valuations.
Football athletes are not the only ones cashing in!
LSU gymnast Olivia “Livvy” Dunne has been able to turn her talent into $4 million in NIL endorsements ranging from Nautica women’s sportswear to Motorola.
Texas Christian University (TCU) student-athlete Hailey Van Lith, was one of the most heralded high school recruits in the country. The 2020 McDonald’s All-American has had collegiate stops in Louisville, LSU, and now TCU. She has accumulated an NIL valuation of $779,000 from endorsements including Adidas and Valentino, to name a few.
Another collegiate phenom is Duke basketball player Cooper Flagg, who has built a $2.6 million NIL valuation since making his collegiate debut in November 2024.
NiJaree Canady, former Stanford star and USA Softball Collegiate Player of the Year, transferred to Texas Tech in summer 2024 and signed a $1 million NIL deal. Additionally, she also agreed to terms with former Red Raider standout and current Kansas City Chiefs quarterback Patrick Mahomes. The three-time Super Bowl Champion, in partnership with Adidas, created “Team Mahomes.” NiJaree is one of six student-athletes to sign an NIL deal with Team Mahomes.
The next athlete in line to receive a substantial amount of NIL opportunities is Aaliyah Chavez, a Lubbock high school basketball superstar. Often drawing comparison to former Iowa and current WNBA superstar Caitlin Clark. Chavez ranks as the No. 1 player in the country and the top prospect for the class of 2025.
Chavez plans to decide on a college in spring 2025 and is being recruited by UCLA, UT, and Texas Tech. Her ultimate decision will come along with a significant amount of NIL opportunities.
What should student-athletes know about NIL money?
Here’s what a student-athlete should know about their NIL money:
- Get professional financial advice from a financial planner/advisor or trusted family member.
- Be judicious around family or friends who may expect a piece of the pie. Although it’s great to share, you need to think about your long-term financial future.
- Seek legal and tax advice to make sure NIL contractual agreements are understood and address any tax implications.
- Before seeking more NIL money elsewhere, think about the bigger picture—your relationships, academic goals, and protecting your brand.
- Save and invest at least 30 to 40 percent of it. If the opportunity to go pro is not an option, how long will the NIL money last?
Unfortunately, a student-athlete’s windfall of NIL money has a shelf life. Hopefully, these athletes are being good stewards, saving, investing, and managing their money appropriately.
