CHAPEL HILL – Name, Image, and Likeness has been in play for college athletes since July 1, though athletic departments began preparing for its arrival a couple of years ago. But NIL remains fluid and the learning curve for everyone involved is rather steep.
With that, the education has been vital and invaluable, especially for the players.
Those were the messages delivered by North Carolina Coach Mack Brown during an hour-long zoom with the media Thursday, in which NIL was the most discussed topic.
With NIL, Brown and his staff face the challenge of educating their players on the scope of what is allowed, which is narrower than what are the general beliefs. There are lines that cannot be crossed, or players will jeopardize their eligibility. And there are outside ramifications, as well, from paying taxes to how it affects parents hoping to write off their children as dependents, to the added pressure of representing a business brand, be it local, regional, or perhaps even national.
These are uniquely different times for college athletes, and the dynamics on and off the field could be affected.
“You have to start with compliance, because if a young man makes a poor decision and doesn’t have it properly approved, he can be ineligible,” Brown said during the zoom call, which was eight days after NIL rules went into effect.
UNC has an avenue in place to assist players who are not sure opportunities presented to them are above board or to further educate themselves on the process. The school created an email hotline for the players to ask questions, express concerns, and gain greater understanding of the proper methods in handling anything NIL related.
This is not rocket science nor is it as simple as touting the ABCs. A challenge for sure, but the benefits exceed just the cash opportunities awaiting the more branded athletes.
“They also have to start looking at state taxes, federal taxes, and do their parents still have them as a dependent,” Brown said. “Because if they make a deal and it’s on their parents’ taxes and the parents don’t know it, then there could be some liabilities later on.
“So, they’re having to learn a lot of grown-up things here very quickly that they probably wouldn’t have learned until they got out of school.”
Scholarship athletes currently receive cost of attendance and most get full Pell Grants, which for the 2021-22 school year is $6,495. But, if they make more than $10,000 in NIL money, that could affect their Pell Grant. The more they make the less they qualify, which can pay out in various Pell Grant ranges based on need.
The outside world sees NIL as a cash-frenzy for the players, that they can get buckets of bucks and be done with it. But there are myriad stipulations and enough regulations that this has been an arduous process for UNC to communicate everything necessary to the players and their families to avoid complications that can affect eligibility and possible public embarrassment.
“We’ve really worked hard to make sure that our guys understand every finite detail about all of the positives and the concerns,” Brown said.
Another potentially troubling area centers around agents. The NCAA allows athletes to have certified NFL agents, but now the players can also have marketing agents, but one agent cannot serve in both roles, though the two agents can work for the same company. UNC has a vetting process in place for both.
In addition, the players have been educated on the reality that just because a deal pays them X number of dollars, it does not mean they will take home that exact amount of money. Taxes will gobble up a percentage and then the agents will be paid their fees before the player sees a dime or knows exactly how much money is actually theirs to keep once the legalities and obligations are satisfied.
“They need to understand that somebody (agent) might take 20 percent of everything they get if they get a marketing agent,” Brown explained. “And if that’s the case, you take your state, your federal taxes, your percentage that you’re giving your marketing agent, how much is left?
“So, they’re having to learn all of these things, and these are things that are really important for them to know.”
Several UNC players have already announced NIL deals, most notably junior quarterback Sam Howell, who will go into the coming season as one of the leading candidates for the Heisman Trophy and could be the top pick in the NFL draft next April.
With that, the other caveat to the NIL era is the locker room dynamic. Since the NIL conversation gained steam last summer, Brown has maintained a concern over how some players might react to not getting money when some teammates are raking in the bucks.
In some respects, this is similar to some players have game-winning shots drawn up for them or get more touches at running back than others. After all, this is a performance-based reality in which the players live. Some may not like it, but most deal with it. And there is a true understanding in most locker rooms who the go-to guys are.
But when it comes to money, that raises the concerns a bit, or at least it could. So, coaches now must deal with that reality.
“We’re so direct with our team, everybody knows Sam is the guy,” Brown replied, when presented a scenario about dealing with jealousy in the locker room when a star player, such as Howell, is making money and so many others are not. “And everybody knows that the quarterback is the guy. In modern-day football, you’re not going to win unless you’re good at quarterback, and our team knows that.”
Brown believes much of this will naturally take care of itself.
“We also told them, “To make any money with your brand you’re going to have to be a good player,” Brown said. “They’re gonna have to want to see you do something that’s going to help represent their brand.
“Secondly, you’re going to have to stay out of trouble. Nobody wants to have advertising with someone that’s not doing things right. So, you have to graduate. And those things are all important, ‘So, don’t let your brand get ahead of your ball, because your ball is what’s going to lead to your brand.’”
Name, Image, and Likeness is for the players, and most view it as longtime professionals finally making money for their crafts. But as Brown pointed out, there is much more to it, and the Hall of Fame coach is satisfied his school and athletic department are well placed to help the young men through untraveled waters.
The benefits are enormous, from a cash perspective and a real-life one.
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