NIL Contracts and College Athlete CPA Columbus Ohio
We make taxes easy for NIL college athletes
Student Athletes With NIL Deals - Don’t get surprised by taxes
Managing your finances with Hogan CPA, a QuickBooks ProAdvisor
1. Sponsorship/service income
2. Cash awards
- The student’s taxable income must include such a payout.
- Notably, no income taxes will be withheld from these earnings, which differ from W-2 pay.
- Athletes would be obliged to file returns and would be taxed on both their income and their self-employment.
- The student-athlete would may be required to pay such revenue in quarterly estimated tax payments.
3. Royalty income
4. Non-cash NIL benefits
Tax Planning for the NIL College Athlete
Just like any employee or business with revenue, an NIL athlete will need to report their income to the government. Often this will come in the form of Form 1099-NEC from various brand contracts. These will be taxed similar to self-employment which can include social security, medicare, and more.
Marquee student-athletes earning NIL deals are often taking their talents out of their home state and moving across the country. This makes for a complex state tax situation as often state taxes are paid to your home state. Since the athlete will be earning income in one state while their “home state” is elsewhere, you will have to carefully navigate the domicile and statutory residency rules to ensure you are paying the right amount of state taxes and don’t get any big surprises.
Hogan CPA and Accounting Services for the NIL Collegiate Athlete
- understand the nuances of accounting
- help them maintain their books while they study for exams
- we collaborate and strategize for taxes
- help them make tax-efficient business decisions that can benefit them for years to come.
What our NIL Athlete Accounting and Tax clients are saying
NIL Athlete Accountant
Schedule an appointment with Hogan CPA Financial Services
For A Complimentary Phone Consultation
Let us help you keep more of your NIL payments. Get a one on one call with our CPA and begin the conversation of how we can better assist you and your family with taxes, accounting, and more.
Click the button below to call or fill out our form to send an email appointment request and we’ll schedule a time that works best with your schedule.
See our Frequently Asked Questions below for commonly asked questions about NIL deals and taxes.