The CardBoard
Absurd coaching salaries - Printable Version

+- The CardBoard (https://thecardboard.org/board)
+-- Forum: C-House! (https://thecardboard.org/board/forum-4.html)
+--- Forum: The CardBoard (https://thecardboard.org/board/forum-5.html)
+--- Thread: Absurd coaching salaries (/thread-23318.html)


Absurd coaching salaries - umbra - 07-24-2022

Good article today in the Washington Post about the escalation of coaching salaries-  stimulated by Kirby Smart’s over $100 million dollar deal.  They discuss how this will eventually break the back of many lower level programs.   It does seem like an unsustainable path that college sports has taken, led by the leviathan of football.  The absurd money going to the coaches became the stimulus for players to organize for their piece of the action. Now the NIL and transfer portal are the result.

Maybe Stanford can take the road less travelled- dial back the cash and let the big boys beat each other up in an arms race to become THE champ.   If the PAC-10 can hang together, they will still have sports available for their students, and the communities they live in.  I think you can have a great football program without breaking the bank.  

Though Shaw is not a very creative coach, he does have integrity to the players and has a clean record in recruitment.  I don’t think Stanford needs to pay $9 million a year to find someone like him however.

RE: Absurd coaching salaries - Phogge - 07-24-2022

I'd give him Two Million with a cost of living increase. Plus $200,000 for each win over four.

RE: Absurd coaching salaries - Goose - 07-24-2022

(07-24-2022, 03:15 PM)Phogge Wrote:  I'd give him Two Million with a cost of living increase. Plus $200,000 for each win over four.
Too easy. Two million + COLA + 200K for each win over 6. Got to be at least .500 for a bonus to cut in.

RE: Absurd coaching salaries - SamuelMcF - 07-24-2022

(07-24-2022, 02:28 PM)umbra Wrote:  Though Shaw is not a very creative coach, he does have integrity to the players and has a clean record in recruitment.  I don’t think Stanford needs to pay $9 million a year to find someone like him however.

Shaw's 2021 salary was $6.5M. It blows my mind that nobody seems to know this.

RE: Absurd coaching salaries - Phogge - 07-24-2022

6.5 million to 9 million. What's 2.5 million to you Stanford guys? Chump change.

RE: Absurd coaching salaries - BostonCard - 07-24-2022

It’s confusing because the headline number includes salary deferrals from previous years. See, for example, this article, where the disclaimer probably is behind the paywall.

https://padailypost.com/2021/11/02/coach-david-shaws-pay-jumps-to-8-9-million-other-highly-paid-stanford-officials-listed/

If you didn’t know any better, you’d think his salary really was $9 million.

BC

RE: Absurd coaching salaries - Phogge - 07-24-2022

$3 million a win. Cushy job.

RE: Absurd coaching salaries - JohnR34231 - 07-25-2022

(07-24-2022, 04:29 PM)SamuelMcF Wrote:  
(07-24-2022, 02:28 PM)umbra Wrote:  Though Shaw is not a very creative coach, he does have integrity to the players and has a clean record in recruitment.  I don’t think Stanford needs to pay $9 million a year to find someone like him however.

Shaw's 2021 salary was $6.5M. It blows my mind that nobody seems to know this.

I think a lot of people do, but use the $9 million to enhance their argument that Shaw is absurdly overpaid given recent results.

RE: Absurd coaching salaries - Goose - 07-25-2022

(07-25-2022, 06:18 AM)JohnR34231 Wrote:  I think a lot of people do, but use the $9 million to enhance their argument that Shaw is absurdly overpaid given recent results.
Agree, but in addition I believe playing anybody 6.5 million to coach football is absurd. I know salaries are based on "what the traffic will bear", not some intrinsic property of the job to be done. At times, I find this unfortunate. Football coaches salaries fall into that category.

RE: Absurd coaching salaries - gailtate - 07-25-2022

(07-25-2022, 06:47 AM)Goose Wrote:  
(07-25-2022, 06:18 AM)JohnR34231 Wrote:  I think a lot of people do, but use the $9 million to enhance their argument that Shaw is absurdly overpaid given recent results.
Agree, but in addition I believe playing anybody 6.5 million to coach football is absurd. I know salaries are based on "what the traffic will bear", not some intrinsic property of the job to be done. At times, I find this unfortunate. Football coaches salaries fall into that category.

My decision to cut financial and emotional ties to Stanford football looks and feels better all the time. And I speak from 48 years experience as a season ticket holder.

RE: Absurd coaching salaries - Spiny_Norman - 07-27-2022

Football head coaches act more or less as CEOs of a $50-150M enterprise. If we compare their compensation to that of a CEO in the corporate world, they are still way overpaid. I found a 2020 survey of mid-market CEO compensation (where mid-market means less than $3B in annual revenue).

The average CEO compensation for companies in the smallest category ($100M-$500M) was $2.6M. That includes bonuses and other direct compensation. Let's call it on average 1% of annual revenue.

If football head coaches were compensated comparably, their total package would be in the $500K-$1.5M range. Successful coaches would get a premium above that, but not the premium we see. And since all 130 BCS schools are chasing the same small number of "successful seasons" each season, many of them pay for the success premium without the coach actually earning it.

Head basketball coach compensation is even more out of line with the size of the program.

https://www.businesswire.com/news/home/20211102005805/en/Mid-Market-CEOs-CFOs-See-Double-Digit-Pay-Increase-%E2%80%93-BDO-Study

RE: Absurd coaching salaries - Hurlburt88 - 07-27-2022

(07-27-2022, 11:53 AM)Spiny_Norman Wrote:  Football head coaches act more or less as CEOs of a $50-150M enterprise. If we compare their compensation to that of a CEO in the corporate world, they are still way overpaid. I found a 2020 survey of mid-market CEO compensation (where mid-market means less than $3B in annual revenue).

The average CEO compensation for companies in the smallest category ($100M-$500M) was $2.6M. That includes bonuses and other direct compensation. Let's call it on average 1% of annual revenue.

If football head coaches were compensated comparably, their total package would be in the $500K-$1.5M range. Successful coaches would get a premium above that, but not the premium we see. And since all 130 BCS schools are chasing the same small number of "successful seasons" each season, many of them pay for the success premium without the coach actually earning it.

Head basketball coach compensation is even more out of line with the size of the program.

https://www.businesswire.com/news/home/20211102005805/en/Mid-Market-CEOs-CFOs-See-Double-Digit-Pay-Increase-%E2%80%93-BDO-Study

interesting and resonates with me for the most part.   I could argue that coaches are actually more like divisional leaders . . . so maybe 0.2-0.5% of annual revenue makes more sense.