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Posted

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

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Posted

Yea true, plus his agent gets 10%...yowzers! I can see how those big contracts can fizzle away pretty quickly if you aren't careful

 

Believe it or not, the maximum amount an NFL agent can take from a client's contract is "only" 0.03%. Three percent on 12 mil is still $360K. Not too shabby.

Posted

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

Of course they do!! These guys are MUCH further along in money management than even 15 years ago.
Posted

Then you have the dinner the dinner the rookies pay for...

 

 

Groceries... Electric....

 

I wonder if he called Directv to get the Sunday ticket for free...

 

I can really are how these things can add up...

Posted

Then you have the dinner the dinner the rookies pay for...

 

 

Groceries... Electric....

 

I wonder if he called Directv to get the Sunday ticket for free...

 

I can really are how these things can add up...

Yep plus the mansion, 5 cars, a necklace that costs 6 figures...man it's tough being rich!

Posted (edited)

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

Sure - but for the game checks, I remember reading that they pay taxes based on where the game was played. Can anyone confirm this? If true they only paid NYS tax on 8 games/year (or 7 with the Toronto series). But OTOH, player contracts don't adjust based on cost of living like they do with regular business salaries. Buying or renting a house in WNY on a salary worth a few mill/yr is much different than it would be in say San Diego, SF, NJ etc. Especially for the type of house I am sure they want. The coaches and FO salaries adjust to it, but players would get the same regardless of location due to the cap. Edited by YoloinOhio
Posted

Sure - but for the game checks, I remember reading that they pay taxes based on where the game was played. Can anyone confirm this? If true they only paid NYS tax on 8 games/year (or 7 with the Toronto series). But OTOH, player contracts don't adjust based on cost of living like they do with regular business salaries. Buying or renting a house in WNY on a salary worth a few mill/yr is much different than it would be in say San Diego, SF, NJ etc. Especially for the type of house I am sure they want. The coaches and FO salaries adjust to it, but players would get the same regardless of location due to the cap.

They pay both (and sometimes more). That is kind of what the jock tax is. Every state or city (in some cases) does not have the jock tax. The players are taxed in those places a portion of their game check to work in that place. You should definitely read up on it. It is one of the more interesting/shady money grabs going.
Posted (edited)

I saw it too!

 

Great looking but I'm not a fan of black cars.

I saw it too - I believe it is an Aston Martin. He posted a pic too of his daughter's car seat in the back and got lots of comments that she was facing the wrong way. Oops.

 

He signed a contract with Adidas before the draft, so I'm sure he got a nice chunk of change there too.

Edited by YoloinOhio
Posted

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

 

Why would guys who work in New Jersey pay NYS income taxes?

 

Sure - but for the game checks, I remember reading that they pay taxes based on where the game was played. Can anyone confirm this? If true they only paid NYS tax on 8 games/year (or 7 with the Toronto series). But OTOH, player contracts don't adjust based on cost of living like they do with regular business salaries. Buying or renting a house in WNY on a salary worth a few mill/yr is much different than it would be in say San Diego, SF, NJ etc. Especially for the type of house I am sure they want. The coaches and FO salaries adjust to it, but players would get the same regardless of location due to the cap.

 

Players would be crazy to buy a house in Buffalo. The property taxes are far higher than what they would pay in the South, and likely in SoCal also. And, buying a house in Buff (at that level) isn't a wise investment.

 

They pay both (and sometimes more). That is kind of what the jock tax is. Every state or city (in some cases) does not have the jock tax. The players are taxed in those places a portion of their game check to work in that place. You should definitely read up on it. It is one of the more interesting/shady money grabs going.

 

We beat this pretty good in another thread. Essentially, they are paying other states income tax--hardly a scam. In fact, in the states other than NY where Bills play, the tax rate is lower and they are actually getting a tax break for those game checks compared to being taxed the max in NYS for all game checks.

Posted

 

We beat this pretty good in another thread. Essentially, they are paying other states income tax--hardly a scam. In fact, in the states other than NY where Bills play, the tax rate is lower and they are actually getting a tax break for those game checks compared to being taxed the max in NYS for all game checks.

True but I never pay income tax when I work out of state.
Posted

True but I never pay income tax when I work out of state.

 

There is a law that requires NFL players to pay taxes where the money was earned... I forget the name of the law, but I am pretty sure there was a thread on this board a few months back...

Posted

 

 

There is a law that requires NFL players to pay taxes where the money was earned... I forget the name of the law, but I am pretty sure there was a thread on this board a few months back...

I think that we are both referring to the jock tax.

 

Posted

I think that we are both referring to the jock tax.

 

That sounds eerily familiar... Other professions get hit with the same thing, but it's predominately sports figures... Does that sound like what the article stated?

Posted

True but I never pay income tax when I work out of state.

 

If you commute to another state to work, typically you would have to pay that state's income tax and you would get credited for that againt your residential state's income tax. Same for athletes, so there is no extra "jock tax".

Posted (edited)

If you commute to another state to work, typically you would have to pay that state's income tax and you would get credited for that againt your residential state's income tax. Same for athletes, so there is no extra "jock tax".

If I am working on a project in another state for a week I don't pay state tax there. I probably work out of state maybe 5-10% of the time. Maybe I should be but I only pay LA sales tax.

 

It is naive to act as if the athletes are not targeted because of their earnings. They do not track everyone to work in the state but you best believe they are tracking people with annual earnings into the 8 figures. Maybe "in theory" they are the same but in actuality it is different.

 

http://www.cleveland.com/open/index.ssf/2014/07/former_nfl_player_hikes_his_le.html

Edited by Kirby Jackson
Posted

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

It's almost like the tax system creates distortions!
Posted

I wonder if players think about the tax ramifications of signing with a team in NYS as opposed to Fla? If so, it is sort of not fair that our salary cap is the same as Tampa's or Miami's cap. I also wonder if Jets and Giants players have to pay New York State and New York City taxes or just pay New Jersey taxes (which would probably be a lot cheaper)?

 

that is a greatobservation. and so true.

Posted

i know that their "bonus" is paid in a lump sum. must be nice to get a check with that many zeroes on it. if the NFL wants to keep these guys from going broke after they are done playing then maybe it's a better idea to pay them in installments or put a portion of it into a 401k or something. handing that much money to a young man who has most likely been broke his whole life and doesn't know how to handle money is a bad idea

 

They are not babies to be coddling them. They are responsible adults who should be responsible for their life and money.

Posted

i know that their "bonus" is paid in a lump sum. must be nice to get a check with that many zeroes on it. if the NFL wants to keep these guys from going broke after they are done playing then maybe it's a better idea to pay them in installments or put a portion of it into a 401k or something. handing that much money to a young man who has most likely been broke his whole life and doesn't know how to handle money is a bad idea

 

Yes, kind of like social security.

Posted

They are not babies to be coddling them. They are responsible adults who should be responsible for their life and money.

You must not remember what it was like to be 21 years old. If someone handed me $12 million back then I probably would have spent it in 2 weeks and there would be a lot of young ladies in Niagara Falls that would have enough $1 bills to pay for college

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