As a parent of a student-athlete, you already know how demanding their schedules can be. Between training, school, travel, and competitions, there’s little time left for anything else—including financial education. However, teaching your athlete how to manage money is just as important as preparing them for their sport. Whether they’re earning money from an NIL deal, a part-time job, or simply receiving an allowance, budgeting skills will set them up for long-term financial success.
Why Budgeting Matters for Student-Athletes
Many student-athletes get their first real taste of financial independence in high school or college. With travel expenses, gear purchases, and potentially NIL earnings, money can come and go quickly. Without a solid budget, they may struggle with saving, overspend on non-essentials, or fail to plan for unexpected costs.
A strong budgeting foundation helps them:
✅ Develop financial discipline
✅ Avoid unnecessary debt
✅ Plan for future expenses (training, college, travel, etc.)
✅ Learn how to save and invest early
Step 1: Understanding Income & Expenses
Before creating a budget, your athlete needs to understand where their money comes from and where it goes.
Common Sources of Income for Student-Athletes:
- Allowance from parents
- NIL deals (sponsorships, endorsements, social media partnerships)
- Part-time jobs
- Summer training camps or coaching younger athletes
- Scholarship stipends (for college athletes)
Common Expenses for Student-Athletes:
- Training fees (personal coaches, gym memberships)
- Equipment & gear
- Travel expenses (hotels, food, transportation)
- Game-day meals & snacks
- Entertainment & social activities
- Cell phone, streaming services, and other subscriptions
Step 2: The 50/30/20 Budgeting Rule
A simple and effective budgeting method is the 50/30/20 rule:
- 50% Needs: Essential expenses (gear, training, travel, school supplies)
- 30% Wants: Fun money (eating out, entertainment, shopping)
- 20% Savings: Long-term financial goals (college, investments, emergency fund)
This method teaches balance—allowing them to enjoy their money while still prioritizing smart financial decisions.
Step 3: Tracking Expenses & Adjusting
Encourage your athlete to track their spending using a simple budgeting app like Mint, YNAB, or even a basic spreadsheet. This helps them:
✔ Identify spending patterns
✔ Cut back on unnecessary expenses
✔ Stay accountable to their financial goals
For younger athletes, parents can introduce a weekly check-in to review spending together.
Step 4: Teaching Smart Money Habits
Budgeting isn’t just about tracking money—it’s about building financial habits that last a lifetime.
Essential Money Lessons for Student-Athletes:
✅ Delayed Gratification – Saving up for bigger purchases instead of impulse buying
✅ Needs vs. Wants – Distinguishing between essentials and luxuries
✅ Emergency Fund – Setting aside money for unexpected expenses
✅ The Power of Compound Interest – How investing early leads to greater financial growth
✅ Credit Awareness – Teaching them how credit works and how to avoid debt traps
Step 5: Planning for NIL Earnings (If Applicable)
If your athlete is earning money from Name, Image, and Likeness (NIL) deals, it’s critical they handle these funds wisely. NIL money can disappear quickly without proper planning.
🔹 Set aside money for taxes – NIL income is taxable, and many young athletes forget this.
🔹 Work with a financial advisor – Managing larger earnings requires professional guidance.
🔹 Think long-term – NIL deals may not last forever, so saving and investing is key.
Final Thoughts: Set Them Up for Success
Budgeting is a skill that will benefit your athlete far beyond their playing days. By teaching them early, you’re setting them up for financial success both on and off the field. Encourage discipline, lead by example, and remind them that smart money decisions today will create opportunities for tomorrow.
