NIL, Estate Planning and the Florida College Athlete

By: Anthony Cetrangelo, Esq.

NIL (Name, Image, and Likeness) refers to the ability of college athletes to profit from their name, image, and likeness without losing their eligibility to participate in college sports. This new policy has significant implications for estate planning, and here are some things that college athletes need to know:

1. NIL income can be taxed: College athletes who earn income from NIL activities should understand that such income may be subject to federal and state income taxes. This means it’s important to plan for taxes when creating an estate plan involving NIL income. 
2. NIL income may affect financial aid: College athletes who receive financial aid should be aware that NIL income may impact their eligibility for such aid. It’s important to consult with a financial aid expert to understand how NIL income could impact your financial aid.
3. Estate planning can help protect NIL income: Estate planning can help college athletes protect their NIL income by creating trusts or other legal entities that can hold and manage their NIL income. This can help ensure that the income is used for its intended purpose and protected from potential liabilities.
4. Estate planning can help with legacy planning: NIL income can provide a significant source of income for college athletes, and estate planning can help ensure that this income is used to create a lasting legacy for your family. The estate planning can also include setting up scholarships or foundations to support causes that are important to the athlete.

Overall, college athletes should be aware of the potential estate planning implications of NIL income and work with financial and legal professionals to ensure that their estate plan is tailored to their specific needs and goals. Our estate planning attorneys can help ensure that all of your bases are covered. To schedule an appointment, please contact me at anthony.cetrangelo@henlaw.com or by phone at 239-344-1358.