[2006alum]

yes, the whole taxes on compensation thing could become a problem for a lot of scholarship athletes, what's the all-in "value" of a Stanford athletic scholarship, let's say $100K/year, state + fed + SSI + Medicare + SDI taxes are probably ~$30K so the recipient needs to make another ~$30K after taxes to "breakeven", some could do that with NIL, maybe for some sports the stars get paid a lot more than the all-in after tax value of the scholarship, most probably won't....

And that assumes they get to stay student athletes. If schools have to pay employer half of SSI + Medicare for all of their scholarship athletes, I imagine a lot of schools will feel pressure to cut sports. It can't be repeated enough that only ~30 D1 Athletic Departments are revenue-generating. The rest lose money.

[2006alum]

yes, the whole taxes on compensation thing could become a problem for a lot of scholarship athletes, what's the all-in "value" of a Stanford athletic scholarship, let's say $100K/year, state + fed + SSI + Medicare + SDI taxes are probably ~$30K so the recipient needs to make another ~$30K after taxes to "breakeven", some could do that with NIL, maybe for some sports the stars get paid a lot more than the all-in after tax value of the scholarship, most probably won't....

And that assumes they get to stay student athletes. If schools have to pay employer half of SSI + Medicare for all of their scholarship athletes, I imagine a lot of schools will feel pressure to cut sports. It can't be repeated enough that only ~30 D1 Athletic Departments are revenue-generating. The rest lose money.