Badgers Football 2025-2026

Pokerbrat2000

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Such is the case of Manning in Texas. His NIL cut from the school's war chest is big but dwarfed by the national brand advertising he's doing because of his national exposure.
Yes, that is how it is "sold". However, the reality of it is this. Alumni, deep pocket fans, businesses, etc. are ponying up large sums of money to their team, to better that team. So yes, you want a QB like Manning? "Come on donors, he's going to need $6.8M to play for the Longhorns, dig deep into that oil money of yours."

I guess what I am saying is that I truly doubt that if you look at a lot of these players, they are actually "earning" their NIL money in direct proportion to the use of their name, image, likeness is paying back to some donors.

Why not just call it like it is? College athletics is no longer "amateur athletics". Colleges are now open to self, private and public funding to pay their athletes to play for them. They are officially a business with professional sports. Recruiting H.S. kids is no longer the top priority. That has been replaced by recruiting other teams top players and offering them enough money to hit the transfer portal.
 
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Voyageur

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Let's not forget that most of the players are getting free tuition, as well as food and board. Out of State tuition at UW Madison is currently $42.5K, add in food, board and other side benefits and well, I think athletes are being compensated.

Using the guise of "NIL" money to lure players into the TP or just to enroll in a University, doesn't fool me one bit. NIL money is no longer compensation for Name, Image and Likeness. It is just a ruse used to flood a program with money to buy as many players as it can afford.
Your last sentence covers it. It's like I said way back when it began. I was told by a friend a U Texas that they had donors that were ready to hand out $50k for every lineman they brought in under scholarship. It wasn't one or two good ones; it was to stock the shelves 3 deep by position if possible. I heard rumors that there was around $1 mill for just that position alone. Then I found out that there were also walk-ons who were getting that kind of money because they wanted to make sure the shelves were stocked after the present season's players graduated and moved on.

It's impossible to follow the NIL money in Texas. So much of it comes from private sources. The link I'm providing is for University of Texas Rio Grande Valley. Went D-1 in football this past season and ended up being a decent team. The NIL money shown for them at this point is just the tip of the iceberg because of how much money is coming in from people with way too much money to burn, mostly from oil and cattle.

Rumor has it they're looking to reach top 20 NIL spending within the next 4 years so they can be a national power like the Longhorns. They have a smaller stadium but there is talk about a nice domed stadium down the road which could include all indoor sports events and include a lot of opportunities for businesses. Since Edinburg, Texas is one of the fastest growing cities in the US, and it's a wealthy city with inexpensive living by national standards, it's a natural draw for increased business representation. It's constantly growing.

You're going to be surprised how this little upstart college has decided they want to ring the bell.

 

Pokerbrat2000

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Your last sentence covers it. It's like I said way back when it began. I was told by a friend a U Texas that they had donors that were ready to hand out $50k for every lineman they brought in under scholarship. It wasn't one or two good ones; it was to stock the shelves 3 deep by position if possible. I heard rumors that there was around $1 mill for just that position alone. Then I found out that there were also walk-ons who were getting that kind of money because they wanted to make sure the shelves were stocked after the present season's players graduated and moved on.

It's impossible to follow the NIL money in Texas. So much of it comes from private sources. The link I'm providing is for University of Texas Rio Grande Valley. Went D-1 in football this past season and ended up being a decent team. The NIL money shown for them at this point is just the tip of the iceberg because of how much money is coming in from people with way too much money to burn, mostly from oil and cattle.

Rumor has it they're looking to reach top 20 NIL spending within the next 4 years so they can be a national power like the Longhorns. They have a smaller stadium but there is talk about a nice domed stadium down the road which could include all indoor sports events and include a lot of opportunities for businesses. Since Edinburg, Texas is one of the fastest growing cities in the US, and it's a wealthy city with inexpensive living by national standards, it's a natural draw for increased business representation. It's constantly growing.

You're going to be surprised how this little upstart college has decided they want to ring the bell.


I would love to know how the IRS is dealing with NIL payments from businesses. NIL payments aren't considered a donation. However, companies can write off Name, Image, and Likeness (NIL) payments as ordinary and necessary business expenses (often categorized as marketing or advertising costs). Does the amount paid have to equal the value received? Meaning, can a business just throw a million dollars to a University and say to the IRS, "Yup, got that in my advertising budget, therefore I deducted it as an expense."

Don't worry, I understand how business deductions work, I am not Kramer. :D

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Voyageur

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I would love to know how the IRS is dealing with NIL payments from businesses. NIL payments aren't considered a donation. However, companies can write off Name, Image, and Likeness (NIL) payments as ordinary and necessary business expenses (often categorized as marketing or advertising costs). Does the amount paid have to equal the value received? Meaning, can a business just throw a million dollars to a University and say to the IRS, "Yup, got that in my advertising budget, therefore I deducted it as an expense."

Don't worry, I understand how business deductions work, I am not Kramer. :D

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Good question. This might answer your question.

Generally, donors who give money to Name, Image, and Likeness (NIL) collectives cannot deduct the payments on their taxes as charitable contributions. The IRS ruled that because NIL payments primarily benefit specific private student-athletes rather than the general public, the contributions are not considered charitable. [1, 2, 3, 4]
There are two primary distinctions in how these contributions are treated:
    • Direct Collective Donations: Money given directly to a standard NIL collective to secure athlete endorsements or support is not tax-deductible. [1]
    • Business Deductions: If you own a business and pay an athlete directly for a valid marketing or endorsement contract, that payment can usually be deducted as a regular and necessary business expense. [1, 2]
Because tax regulations are complex, you can review the official guidance on IRS Name, Image, and Likeness Income for more details, or consult with a financial advisor to understand your specific giving strategy. [1, 2]
 

milani

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I would love to know how the IRS is dealing with NIL payments from businesses. NIL payments aren't considered a donation. However, companies can write off Name, Image, and Likeness (NIL) payments as ordinary and necessary business expenses (often categorized as marketing or advertising costs). Does the amount paid have to equal the value received? Meaning, can a business just throw a million dollars to a University and say to the IRS, "Yup, got that in my advertising budget, therefore I deducted it as an expense."

Don't worry, I understand how business deductions work, I am not Kramer. :D

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Charitable contributions to a non-profit organization.
 

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