r/fcs • u/Successful_Tennis567 Idaho Vandals • 1d ago

Discussion How does NIL money work?

Does anybody have a good grasp of the NIL process? Are students technically employees of the school (or of a school's booster program)? Are students "private contractors" who have independent contracts with the school and businesses (like a 1099)? I understand many student athletes have brand partnership deals on social media where they have codes and I'm assuming that's independent, but when you hear "this student is getting paid $X amount of money to play for X school", how are those funds administered? Are students required to report all earnings to the NCAA/University?

Bonus questions - If students are employees of the school, are they required to participate in employee pension programs and the like?

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u/ksig84 Morehead State Eagles 1d ago

Won’t name the school but my friend’s son plays at a smaller FCS school that pools their NIL money/donations and distributes it equally throughout the team. His sons check was around $26.

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u/Successful_Tennis567 Idaho Vandals 1d ago

Sheesh. Basically working for a free meal at Applebees.

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u/Low_Management_7496 1d ago

NIL is on top of scholarship. So total compensation is better but yeah it's fcs