HA! Eat that NCAA!!

[NJshoreCane]

In the end the rich will get richer. You think Urban Meyer won't command any salary he wanted if he decided to return to college? What if Saban decided to leave Alabama for say Michigan? They would open up the Brinks truck.

This has nothing to do with equaling the competitive playing field. A 5-star is going to Alabama because he is getting a signing bonus, the NIL will give him a chance to make some nice coin in Tuscaloosa and then probably going first or second day in the draft.

Or our tri-county 5-stars can come to Miami because they may get a Williamson Cadillac gig or a fashion line deal with a European company looking to enter the US college football market. LoL.

The results of this are up for debate.

The argument "for" which is being presented was my point.
This will pass.

The 5-star going to Bama will:
1. get a better signing bonus
2. give him a chance to make some nice coin, but not as much coin at Miami.
3. then probably go 1st or 2nd day in the draft, just like our 2 five-star players.

I'm not going out on a limb here when I say Taylor and Williams will get drafted in the 1st or 2nd day in the draft 3 years from now.

My memory is shot, so I'll leave it up to you to bump this in the spring on '24.

 

[Pentagon Cane]

I would focus on the fact that, in addition to having no state income tax, Florida would also not require the filing of a corporate income tax return if the student-athlete elects S-corporation status for his business entity.

Let's see Nick Saban try to counter THAT. Plus, you have to file a franchise tax return in Alabama.

Yeah, Alabama recruiting will soon be going down in flames, and UM will rise like a phoenix.

That should impact a handful of kids who would form an LLC or corporation. I am an LLC and get taxed as an LLC. My folks are all 1099s. Keeps my G&A and OH down to nothing and I cream my competitors because my indirect is nothing. Alabama state tax is 5%. If a kid clears $500,000 legally in 4 years (How many are actually going to do that?), his tax liability is $25k to the Great State of Alabama. Ol' Saint Nick just ups his bag game from $200,000 to $300,000. Bird in the hand.

 

[Pentagon Cane]

The results of this are up for debate.

The argument "for" which is being presented was my point.
This will pass.

The 5-star going to Bama will:
1. get a better signing bonus
2. give him a chance to make some nice coin, but not as much coin at Miami.
3. then probably go 1st or 2nd day in the draft, just like our 2 five-star players.

I'm not going out on a limb here when I say Taylor and Williams will get drafted in the 1st or 2nd day in the draft 3 years from now.

My memory is shot, so I'll leave it up to you to bump this in the spring on '24.

Like everything passed in DC, these clowns don't ever think about unintended consequences. McCain-Feingold was to end dark money in politics. CRRA never anticipated sub-zero loans crashing the real estate market. Not sure exactly what will happen here but I am certain it will not fix the competitive advantages the Alabama's of the world have.

 

[TheOriginalCane]

That should impact a handful of kids who would form an LLC or corporation. I am an LLC and get taxed as an LLC. My folks are all 1099s. Keeps my G&A and OH down to nothing and I cream my competitors because my indirect is nothing. Alabama state tax is 5%. If a kid clears $500,000 legally in 4 years (How many are actually going to do that?), his tax liability is $25k to the Great State of Alabama. Ol' Saint Nick just ups his bag game from $200,000 to $300,000. Bird in the hand.

First of all, my post was intended in a sarcastic (though educated) fashion.

Second, look into making the S-election. If you pay SE taxes on your pass-through K-1 income, you could save yourself a nice amount of money by making the S-election and paying yourself a very low salary.

Distributions. If you have questions, DM me.

 

[TheOriginalCane]

Like everything passed in DC, these clowns don't ever think about unintended consequences. McCain-Feingold was to end dark money in politics. CRRA never anticipated sub-zero loans crashing the real estate market. Not sure exactly what will happen here but I am certain it will not fix the competitive advantages the Alabama's of the world have.

Yes. There are frequently unintended consequences in the world.

I've seen interviews with Robert Reich where he talks about when the Clinton Administration enacted the $1 million salary deductibility limitation for large companies. Next thing that happened was MASSIVE amounts of stock comp paid to corporate officers.

Sometimes you think you are fixing one problem and you have no idea that the new problem is about ten times worse.

 

[Ethnicsands]

I have a vested interest since I’m already recruiting players for the NIL stuff and want the federal legislation to pass. The U brand carries weight and certainly helps but IMO this helps the large state schools in college towns even more. Football and basketball are king there and just brings the bag game above the table to make it legal. Outside of maybe a star QB, which we have, being in a “big market” won’t make much of a difference when the pro players aren’t even seen on many endorsements around the city. We’ve historically been awful in fan support and donations as it is.

Exactly what I've been saying.

 

[Ethnicsands]

The rich will get richer, and the poor will drop out. Soon there will be top-tier schools playing football and the rest will either quit or it will become like a club sport. This is good for a few but there will be less scholarships as the schools will not be playing football. Why compete in a sport that you have no chance that we will get embarrassed in.
While I agree that the current system is Draconian the correction goes too far the sport will collapse

This makes no sense. Division III schools play FB. Most FBS programs have no chance of being competitive. Football is part of the fabric of these schools and communities. It is important to their alumni, who give. Nothing about Alabama winning more matters to Vanderbilt. Only fans of a few schools see much of a change, and the reason for the change is not really Alabama, its their own institutions' decisions.

 

[Ethnicsands]

Like everything passed in DC, these clowns don't ever think about unintended consequences. McCain-Feingold was to end dark money in politics. CRRA never anticipated sub-zero loans crashing the real estate market. Not sure exactly what will happen here but I am certain it will not fix the competitive advantages the Alabama's of the world have.

The law of unintended consequences is undefeated. But that makes you wonder whether it's a double blind bluff and the real intentions are different from the stated intentions.

 

[Pentagon Cane]

First of all, my post was intended in a sarcastic (though educated) fashion.

Second, look into making the S-election. If you pay SE taxes on your pass-through K-1 income, you could save yourself a nice amount of money by making the S-election and paying yourself a very low salary.

Distributions. If you have questions, DM me.

Already paid myself a low salary and gave myself a hefty distribution. I actually increased my salary so I could increase SEP-IRA contributions. You do FL? Moving my business out of VA. Getting killed at 5.5% state tax.

 

[1mg of Epi]

Wouldn't any national law just make it easier for the big bag schools? One of the NIL advantages for us is that Florida is one of if not the only state to pass such a law, right? I mean absolutely **** the NCAA, but if there's a national law won't it essentially legalize the bag game for Bama, UGA, L$U etc?

Same reasons pro free agents go to bigger markets... more nil opportunities. This is great for um.

 

[Roncaneefc]

You are delusional. "50% of people in Birmingham" do not recognize obscure second stringers, nor would they buy anything based on such an endorsement. Good lord, the other night on Jeopardy, all three contestants couldn't even recognize Dave Chappelle.

More importantly, no company would pay money to an obscure second stringer to be on a billboard ad in Birmingham.

You are wrong. You underestimate the religious cult following this state has in the football programs. There would be more companies willing to spend more money on billboards for backups than there would be companies wanting to spend on starters in south Florida.

 

[TheOriginalCane]

Already paid myself a low salary and gave myself a hefty distribution. I actually increased my salary so I could increase SEP-IRA contributions. You do FL? Moving my business out of VA. Getting killed at 5.5% state tax.

Yeah, I'm in Florida, but I'm glad you got the memo on salary & distributions. Years ago, I was helping a buddy of mine who co-owned several restaurants, they were all set up as LLCs, and whoever set that stuff up originally had made multiple guys the GPs on multiple restaurants, so they were all paying a ton of SE tax. I straightened that out real fast, I divided up who would be the GP on each restaurant, and they cut their tax bills a lot (****, they were ALSO getting decent-sized W-2s). That was just some negligent set-up.

I've been helping my brother with his S-corp for over 20 years, I think his salary is still less than $50K. But he's got a huge house on 7 acres on a river. So, yeah...there are things that can be done, without sacrificing your ability to buy a house and vehicles.

 

[Rellyrell]

Same reasons pro free agents go to bigger markets... more nil opportunities. This is great for um.

Literally there is nothing remotely similar or Pro Football & NCAA. I’m pretty sure my guy @Ethnicsands did a fine job articulating this in another thread.

 

[88]

Same reasons pro free agents go to bigger markets... more nil opportunities. This is great for um.

Assuming players are getting the market value wherever they go. No one's going to NY for free if Clevelands paying.

 

[1mg of Epi]

Literally there is nothing remotely similar or Pro Football & NCAA. I’m pretty sure my guy @Ethnicsands did a fine job articulating this in another thread.

Sounds like we have different ideas of how a kid can profit here. Who do u see paying a kid, for nil? How do u see this working out in terms of whose making money and for what?

 

[1mg of Epi]

LOL. You imagine that endorsers are going to be throwing around bags of money to hundreds or thousands of kids? LOL

Yea. To the same kids that get bags of money now. They’ll get more from Nike, tho, who can pay a trevor Lawrence $10m for 15 years. They’ll have safeguards in those contracts, but the money will be there to secure a college star before he’s a pro star.

 

[1mg of Epi]

Assuming players are getting the market value wherever they go. No one's going to NY for free if Clevelands paying.

You think they’ll go to Cleveland for a one time cash deal that can ruin their reputation when there is a large multi year contract that they can get regardless of what city they play in?

 

[Rellyrell]

Sounds like we have different ideas of how a kid can profit here. Who do u see paying a kid, for nil? How do u see this working out in terms of whose making money and for what?

Kids in small town college towns where the college is the business will thrive. Once we get our chit together and become a National power again, I think we can go somewhere w/ it. Right now, we’re a 2nd rate program, if we’re being honest. So the NIL will not be as beneficial. As stated, we don’t even get the real love we deserve on our own flagship station.

Kids at Bama, OSU, Texas, Clemson, Nebraska (only b/c Nebraska is the only thing closest to professional football there), Oklahoma....these r the schools were NIL’s will be most beneficial. Miami is a different type of city bro, dare say, a front running city.

 

[RVACane]

Yes, that's exactly what just happened.

I had to go way back for this.

 

[SWFLHurricane]

It certainly ups the going rate. Makes it now guaranteed money. You think Nick Saban isn't tell kids they are going to be well compensated legally because the Tide nation is very generous and loves their football?

Nobody gives a **** about Miami other than the loyal 40 to 50K fans who show up on Saturdays. It's national brand average age of fan is near decease like me longing for 2001 and those folks are less and less every year.

Sheesh......you've got me one step in the Grave.....I'm longing for 1983.....