Raising a student-athlete is both rewarding and challenging—especially when it comes to finances. From travel expenses and sports equipment to college recruiting and potential NIL (Name, Image, and Likeness) earnings, the financial demands can add up quickly.
To help parents plan ahead and make informed decisions, here’s a guide to managing the financial aspects of supporting a student-athlete—from youth sports to college and beyond.
1. Budgeting for Youth & High School Sports
The cost of youth and high school sports can vary widely, depending on the level of competition and travel involved.
Common Expenses Parents Should Plan For:
🏅 Registration Fees – School, club, and AAU team costs
👟 Equipment & Gear – Cleats, uniforms, training gear, etc.
🚗 Travel Costs – Hotels, flights, gas, and food for away games
📚 Private Coaching & Training – Strength training, speed training, etc.
🎓 Camps & Showcases – Exposure for college recruiting opportunities
Budgeting Tips for Parents:
✅ Set up a dedicated sports savings account
✅ Plan for seasonal vs. year-round expenses
✅ Use a 50/30/20 budget (50% needs, 30% wants, 20% savings)
✅ Look for sponsorships, scholarships, and grants to offset costs
2. Saving for College & Athletic Scholarships
Many parents assume that if their child excels in sports, they’ll get a full-ride scholarship—but the reality is that only 2% of high school athletes earn full athletic scholarships.
Key Ways to Save for College:
📌 529 College Savings Plan – Tax-advantaged way to save for education
📌 Education IRAs – Another tax-efficient savings option
📌 Scholarships & Grants – Look beyond athletic scholarships to academic and merit-based options
💡 Pro Tip: Even if your athlete earns a partial scholarship, you may still need to cover housing, meal plans, books, and additional fees. Having a financial cushion is essential.
3. Understanding NIL & Financial Planning for Earnings
With NIL (Name, Image, and Likeness) opportunities, student-athletes can now make money through sponsorships, social media branding, and endorsements. Parents should help their child manage NIL earnings wisely to avoid financial missteps.
Financial Planning for NIL Earnings:
💰 Set aside 25-30% of NIL earnings for taxes
📊 Open a separate business or savings account for NIL income
📑 Work with a financial advisor and tax professional
🏦 Consider long-term investment strategies like Roth IRAs or index funds
💡 Pro Tip: If NIL earnings are significant, forming an LLC or S-Corp could provide tax benefits and legal protections.
4. Planning for Travel & Recruiting Costs
If your child is serious about playing at the next level, college visits, showcases, and camps will be necessary—and these come with a price.
How to Budget for Recruiting Expenses:
✈ Travel & Lodging – Factor in flights, hotels, and rental cars
📹 Highlight Reels & Branding – Creating professional recruiting videos
💬 Recruiting Services & Advisors – Some families hire experts for guidance
💰 Application Fees & SAT/ACT Prep – Standardized testing and college applications add up
💡 Pro Tip: Plan ahead by prioritizing camps and showcases that fit your child’s skill level and recruiting goals—attending too many can drain your finances without yielding results.
5. Preparing for Unexpected Expenses
Injuries, equipment replacements, and last-minute travel costs can throw off your budget. Creating an emergency fund specifically for sports-related expenses can help ease financial stress.
How Much Should You Save?
💵 Aim to set aside 3-6 months’ worth of sports-related expenses in a high-yield savings account.
🏥 Consider health insurance coverage for sports injuries, and if your athlete is in a high-risk sport, look into supplemental accident insurance.
6. Teaching Your Athlete Financial Responsibility
Your child’s financial habits start at home. Teaching them basic money management will help them handle potential NIL earnings, scholarships, and college costs responsibly.
Financial Lessons for Student-Athletes:
💳 Budgeting Basics – Teach them how to manage money from NIL or part-time jobs
📈 Saving & Investing – Encourage them to open a savings account or start investing early
⚠ Avoiding Financial Scams – Educate them about bad NIL deals and predatory financial offers
💼 Entrepreneurship & Branding – Show them how to turn their athletic career into a long-term brand
💡 Pro Tip: Give your child real-world financial responsibilities (managing part of their NIL earnings, tracking their training expenses, etc.) so they learn how to budget.
Final Thoughts: Plan Ahead & Stay Financially Prepared
Supporting a student-athlete is a major investment, but with the right financial planning, you can set your child up for long-term success—both in sports and in life. By budgeting wisely, preparing for unexpected expenses, and teaching smart money habits, parents can help their athletes navigate the financial side of sports and education with confidence.
