• Follow us on Twitter @buckeyeplanet and @bp_recruiting, like us on Facebook! Enjoy a post or article, recommend it to others! BP is only as strong as its community, and we only promote by word of mouth, so share away!
  • Consider registering! Fewer and higher quality ads, no emails you don't want, access to all the forums, download game torrents, private messages, polls, Sportsbook, etc. Even if you just want to lurk, there are a lot of good reasons to register!

Should semipro/college players be paid, or allowed to sell their stuff? (NIL and Revenue Sharing)

Jump to latest Follow Reply
Sort by date Sort by votes
Steve19 said:
Ord points out the underlying problem that I mentioned in summary. The issue cannot be revenue sharing but rather profit-sharing. It would seem that many universities will be dropping out of such arrangements by discontinuing sports.

Make no mistake. The landscape is going to be altered in ways not intended and irreversibly.
Click to expand...
And even if it's profit sharing, then profitable ADs can manipulate the number by adding sports to drive up expenses as close to revenue as possible. Really the only reasonable way to implement this is by a profit sharing by sport model. In that case, Ohio State football players are rolling in Aston Martins. Ohio State men's basketball players get a nice check, and (maybe) Ohio State men's hockey and women's basketball players get some walking around cash.
 
Upvote 0
ORD_Buckeye said:
And even if it's profit sharing, then profitable ADs can manipulate the number by adding sports to drive up expenses as close to revenue as possible. Really the only reasonable way to implement this is by a profit sharing by sport model. In that case, Ohio State football players are rolling in Aston Martins. Ohio State men's basketball players get a nice check, and (maybe) Ohio State men's hockey and women's basketball players get some walking around cash.
Click to expand...
And there's not a damn thing wrong with that.
 
Upvote 0
ORD_Buckeye said:
And even if it's profit sharing, then profitable ADs can manipulate the number by adding sports to drive up expenses as close to revenue as possible. Really the only reasonable way to implement this is by a profit sharing by sport model. In that case, Ohio State football players are rolling in Aston Martins. Ohio State men's basketball players get a nice check, and (maybe) Ohio State men's hockey and women's basketball players get some walking around cash.
Click to expand...
They're already rolling around in vehicles that cost well over 200k. I see it daily.
 
Upvote 0
DaddyBigBucks said:
I’ve seen a lot of talk on YouTube about the inclusion of other sports in revenue sharing

I think people need to keep in mind that it is called revenue sharing.

If a sport creates no net revenue, what is there to share? This becomes unworkable in a thousand ways the instant you take the revenue that football brings in and start spreading it to sports that bring in red ink.

Everyone has a different definition of fairness; anytime you start sharing revenue, someone is going to get their feelings hurt. But it’s time for the adults to take a hand and realize that the only way this works is if you tell the non-revenue generators to be grateful for their scholarships because that is handsome compensation for what they do and is far more compensation than anyone else will ever give them for the rest of their lives for playing their sport.
Click to expand...
Quoting myself mostly to say that what Joel Klatt says after about the five minute mark of the video below does a pretty good job of clarifying the point I was trying to make. He says you have to separate the revenue from the non-revenue sports; which was my point exactly.

He goes on to say that Title IX is a subset of this, which is a point I’ve made in conversation, but not on BP. It’s a big part, but it is not the main part… which is revenue vs non-revenue

 
Upvote 0
Here is the big learning point about universities...The pigs will always line up at the trough. Find some money? Earn some money? There will always be some entitled person lining up and trying to get your money. Title IX? Non-revenue sports? They will come with their rent-seeking demands for "fairness". They always do.
 
Upvote 0
DaddyBigBucks said:
Quoting myself mostly to say that what Joel Klatt says after about the five minute mark of the video below does a pretty good job of clarifying the point I was trying to make. He says you have to separate the revenue from the non-revenue sports; which was my point exactly.

He goes on to say that Title IX is a subset of this, which is a point I’ve made in conversation, but not on BP. It’s a big part, but it is not the main part… which is revenue vs non-revenue
Click to expand...
Do you think separating the revenue from the non-revenue sports would mean something like forming a corporate entity separate from the university that owns and operates the football and basketball programs, or can it be accomplished by simply using accounting tools that isolate the revenue/budgets of the revenue and non-revenue sports? To me, this seems similar to a situation where a non-profit organization would spin off a profitable venture into a seperate organization.
 
Upvote 0
Boy, this is going to be a huge can of worms. Being the negative Nelly that I am, and taking tOSU (the place I know best), can see the admin saying, sorry pots empty, after funding all the non-revenue sports they do, and paying for mortgage/interest expenses for the marvelous facilities used to house some of the non-revenue sports. Going to be very hard to reconcile this. Title IX, having been on the books for ages (it seems), gives women's sports the equal number of scholarships to men's. Ergo, without football, women's sports have 84 scholarships to distribute to same or other sports. Pretty certain that this is another example of 'making the rule' and having to write up the procedures on implementation after the fact. Am familiar with this process, as the State of California lays out the budget, and then has the staffers make up the procs much later, so school districts know how/what to do. Never has worked very well. Hope this turns out better in this instance.
 
Upvote 0
I have a really stupid question that has probably already been addressed in this thread somewhere. Do these kids have to report the NIL proceeds as income and pay taxes? If so, I wonder how many of them will actually do it.
 
Upvote 0
colobuck79 said:
I have a really stupid question that has probably already been addressed in this thread somewhere. Do these kids have to report the NIL proceeds as income and pay taxes? If so, I wonder how many of them will actually do it.
Click to expand...

They absolutely should be. I would hope that all schools are informing the athletes of this fact and then also providing some resources/referrals for professionals who can assist with this process.
 
Upvote 0
colobuck79 said:
I have a really stupid question that has probably already been addressed in this thread somewhere. Do these kids have to report the NIL proceeds as income and pay taxes? If so, I wonder how many of them will actually do it.
Click to expand...
The other question is how many high school kids (minors) are going to be able to legally contract. Pro tip, the answer is zero.
 
Upvote 1
You must log in or register to reply here.
Back
Top