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College sports generate billions of dollars in revenues in the United States every year. In 2016, CBS and Turner Broadcasting extended their contact with the NCAA Division 1 basketball tournament with an 8-year, $8.8 billion extension. That placed the value of March Madness at more than $1 billion per year for the first time in history.

The extension in 2016 followed a 2010 contract which offered a 14-year agreement to broadcast the annual tournament for $10.8 billion.

The NCAA states that 90% of the revenues generated through the games played by student athletes go into services, programs, or direct distribution opportunities which directly benefit member conferences and schools. Aside from equipment access, medical care, scholarships, and travel support, student athletes receive zero compensation for their participation in their chosen support.By definition, paying the athlete would make them a professional. On the other hand, it could be argued that scholarships are an alternative form of payment already being provided. Because of the revenues their activities generate, the pros and cons of paying college athletes are closely scrutinized.

List of the Pros of Paying College Athletes

1. It encourages healthier student athletes.
Paying college athletes for their participation in sports eliminates the need for them to find outside employment to support themselves. Many scholarships may offer tuition, room, and board coverage in return for participating in a sport, but not every student athlete qualifies for a scholarship. Walk-on players have their images used to generate revenues for the NCAA too for zero compensation. Paying all athletes would allow them to focus on academics and athletics without worrying about making ends meet.

2. It provides relief for families.
Families are often tasked with providing direct support for their student athletes to abide by current payment rules. Student athletes are not even permitted to autograph items, or sell certain personal memorabilia, as a way to generate revenues. Outside of student loans for partial scholarship or walk-on athletes, it is up to each family to pay for the student to be at the school. Paying the athlete would provide some financial relief to these families, which may not have the funds to make long-term supports.

3. It provides another incentive to play.
Most student athletes who play in college never become professional athletes. In the NCAA, fewer than 2% of college athletes go on to become professional athletes. Most become professionals in their chosen field of study. By offering a stipend for playing, much like a work-study program, students would gain another incentive to become involved in athletics. They could use these funds to pay for costs not covered by a scholarship. Students could save the money for a first apartment outside of college. If a student knows they will not go pro, they may decide to give up sports instead, which would ultimately reduce the income generated by collegiate sporting activities.

4. It would stop corruption.
Despite rules preventing such actions, coaches, shoe executives, agents, apparel representatives, and other industry professionals often conspire to pay recruits to join a specific college. It is a practice that stays out of the public eye because everyone involved benefits if no one knows about the payments. Using money to influence a high school student to select a specific program and hire a specific business manager is felony-level conduct. Allowing college athletes to be paid would help to limit this issue, which would reduce investigation costs across the board.

5. It would attract better athletes who stay in programs longer.
The goal of attending a college program should be to earn a degree. Academics should be the top priority. For the athletes that do have the ability to play professionally, going to college is a stop on the journey toward a good paycheck. If these athletes could be paid while they are attending a college program, then they would be more likely to stick with the program to eventually earn their degree. They could then be drafted into a professional league once they've completed their courses.

6. It could lower tuition rates.
Paying student athletes does not mean that the costs for everyone would automatically go up. For some institutions, the costs could actually go down. Increased competition for the best athletes would create improved programming at colleges across the country. Athletic facilities would be upgraded to encourage enrollment. Although the richest institutions would always be able to offer more, at the end of the day, most people would benefit from lower costs because the system would require more efficiencies to remain productive.

7. It could create college credits that could be used toward graduation.
One of the benefits of work-study programs is that it can supplement the credits earned while supplementing college tuition costs. Athletes could use some of the concepts and skills they learn within their program to enhance their educational experience. Depending on the setup of the program, it could even help athletes graduate with a degree in their chosen faster.

List of the Cons of Paying College Athletes

1. It would eliminate the line between amateur and professional sports.
The reason why student athletes are not currently paid, according to the NCAA, is that it would eliminate the separation between amateurism and professionalism in sports. If that line is eliminated, then the links between an education at a college and sports played at a college would weaken. That would cause the athletes who don't eventually turn pro to suffer because they'd have fewer opportunities available to them.

2. It would prioritize athleticism over academics.
Although students would still be required to meet academic standards to qualify for academic programs, paying athletes for sports participation would likely shift personal priorities. They would be required to maintain their position on the team to benefit from the income, much like they are required to do so now to maintain a scholarship. Athletes would choose programs where they would be paid the most, instead of choosing programs where they could learn the most.

3. It would become a burden on taxpayers.
The idea of paying college athletes a salary comes out of the revenues which are generated by sporting activities. In reality, much of that money is already used by the conferences and schools to host games or conduct events already. To pay athletes a salary, most public institutions would need to ask taxpayers for monetary support. Private institutions would likely increase tuition rates to meet the financial obligations involved. Those burdens could stop some students from enrolling for academic purposes, which would create lower-skill workers over time throughout the country.

4. It would burden smaller schools.
Would all student athletes receive the same amount of pay, no matter which school they chose to attend? If so, then there would be an undue burden placed on smaller schools that compete at higher levels. If pay levels are allowed to be tiered, based on where a college competes, then is it fair for one athlete to be paid more than another because they were accepted into a "superior" program? There are plenty of structural questions that would need to be resolved before paying college athletes became the norm.

5. It could encourage schools to cut other programs.
Many schools use the funds from their athletics programs to fund other programs and activities. If those funds are ordered to be used as a salary for college athletes, then the other programs and services might suffer because of it. That would degrade the quality of life available on-campus at many institutions. Depending on what programs were cut, it could even impact the safety of students over a long time period.

6. It could create issues of paycheck equality.
If athletics is treated like a work-study program, there could be issues of equality in pay that would need to be evaluated. Some students in other programs would likely not earn the same amount as an athlete for their work-study program. When everything comes down to dollars and cents, there could be more discrimination put into college campuses by paying college athletes than the benefits such an activity would provide.

7. It would create opportunities to unionize.
Student athletes who are receiving a salary would be classified as employees. That would give student athletes the right to unionize in many states. That would create conflicts between schools and athletes in a manner that is similar to the conflicts seen between owners and professional athletes. Some participants would still be minors, which means their parents would need to be involved in contract negotiations. New levels of administrative complication would be incorporated into the educational system, which would further increase costs.

Paying student athletes creates a number of variables which offer plenty of pros and cons to think about. Most people would agree that athletes should be compensated when profits are generated by their likeness and activities. Most would also agree that university programs should emphasize academics over athletics. Finding a balance, using key points like these, is the only way progress on this issue will be obtained.

Blog Post Author Credentials
Louise Gaille is the author of this post. She received her B.A. in Economics from the University of Washington. In addition to being a seasoned writer, Louise has almost a decade of experience in Banking and Finance. If you have any suggestions on how to make this post better, then go here to contact our team.

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14 Should College Athletes Be Paid Pros and Cons

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College sports generate billions of dollars in revenues in the United States every year. In 2016, CBS and Turner Broadcasting extended their contact with the NCAA Division 1 basketball tournament with an 8-year, $8.8 billion extension. That placed the value of March Madness at more than $1 billion per year for the first time in history.

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Pay for Play: Should College Athletes Be Compensated?

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Grinding through grueling workouts, practices and games every day of the year, combined with rigorous college courses, student-athletes are some of the hardest working people in the country…

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Should College Athletes Be Paid? - SmartAsset

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Elite professional athletes regularly draw salaries reaching into the millions. The minimum annual salary for players in the four major sports leagues is well into the six-figure range, and it’s not uncommon for star players to receive multi-year contracts worth more than $100 million. If you’re a c…

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CBS Sports and Turner paid over $1 billion a yearfor broadcasting the NCAA March Madness basketball tournament up until 2023. Until now, the broadcasts' college sports stars themselves had no chance of receiving much of that sum (at least not directly). However, the NCAA recently decided to allow college athletes to financially benefit from the use of their names, images and likeness. This decision follows the move byseveral states, led by California, to pass laws allowing the same right, which has been part of a longtime debate about whether college athletes should be paid or not. The question arises primarily regarding football and basketball student-athletes, since they bring in most of the money.

Here are three arguments for and three arguments against paying college athletes:
The difficulty to implement is no excuse
An important argument coming from those who oppose paying college athletes is the expected difficulty involved with implementing such a move. The following are just some of the questions that pinpoint the complexities: Who will pay the college athletes (the NCAA or colleges)? How often will they receive pay? Will there be a salary cap? The main question regards the equitable application of paying college athletes, namely who will get paid and who won't. The details of the new NCAA rules are still being discussed, and will need input from different state legislators and sports associations.

However, since the debate was first sparked over the NCAA's income from broadcasting, the answer seems simple: Theoretically, the athletes to get paid should the ones playing the sports that bring in the big money, namely, men's college basketball and football players. College basketball and football players in particular are the ones who provide a good time for fans who are willing to pay to watch the games, so they deserve to get paid. This is capitalism, and this is how it works in America. In its ruling, the NCAA has distinguished between amateur athletes and potential professional athletes, i.e., those most likely to be recruited by professional teams. Time will tell who ultimately benefits from this decision.
Athletes risk their body and are exposed to permanent damage
One of the best aspects of college sports is the players' enthusiasm. Their love and passion for their respective game is admirable and infectious. But, there is a downside to it; in their fervor to play their best, many college athletes suffer serious injuries that sometimes prematurely end their career.

Setting aside the disturbing fact that a career-ending injury will stop their scholarship, those college athletes put their bodies at risk of permanent damage, without being paid. Hurting your knee might leave you limping for the rest of your life. Suffering concussions can cause dementia and depression, not to mention CTE. Those college athletes who put their bodies on the line for each training session and game they play deserve to be paid for the health risks they are taking.
There's big money involved in college sports anyway
It`s common to think paying college athletes can detract from the purity of the game and ruin that magic. But it won`t. The passion fans see on the court or field is attributed to the fact that there is no money involved.

However, that's not exactly accurate. Big companies are profiting off of branding college athletes, namely, asking them to wear brand apparel during games without paying them to do so. As such, these players feel used. And rightly so. The new rule allowing them to get paid shows that the NCAA and fans are really concerned about preserving the purity of college sports.

Three Reasons Why College Athletes Should Not Get Paid
The difference for college athletes is marginal in term of money
If salaries were to replace scholarships in college sports, athletes would not earn much more. In fact, an impressive $100,000-a-year salary for a college athlete would grant him only a few hundred dollars more per year than a scholarship. According to Money.com, a full athletic scholarship at an NCAA Division I university is about $65,000 a year. This includes tuition, room, board, and books (if you enroll at a college with high tuition). In contrast, a salary will be subjected to federal and state income taxes. Therefore, out of the $100,000, a net of $65,100 will remain for the student. The difference is marginal.
Earning big money too soon can be harmful
People argue that paying collage athletes will help create a sense of financial awareness for them. However, in reality, poor investments, trusting unethical financial advisors and lavish spending habits are some of the main reasons professional athletes find themselves broke after they retire, according to ESPN documentary, "Broke." Without sound financial education, young college athletes may not be equipped to handle so much money.
Paying big money for college students miss the purpose of college
College is about preparing oneself for real life. It is supposed to provide students with tools and abilities to succeed after college. In that manner, college athletes are no different than other college students who practice or intenr in hospitals, law firms or advertising agencies for little to no money. So why should athletes be get paid while the others don't?

A lot of young adults today are impatient and lack the ability to delay gratification. College can teach them a great life lesson: in real life, you have to work hard and wait for your chance. Paying big money to any college student, athlete or academic is far from being the ideal preparation for life.

The Bottom Line: Paying big money to college athletes defeats the purpose of college as a preparatory lesson for life, especially when the monetary difference between a salary and a scholarship is marginal. On the other hand, not paying athletes who risk serious long-term injuries is morally wrong. Was the NCAA right to change the current practice?

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CBS Sports and Turner paid over $1 billion a year for broadcasting the NCAA March Madness basketball tournament up until 2023. Until now, the broadcasts' college sports stars themselves had no chance of receiving much of that sum (at least not directly).

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The debate rages on: Should college athletes be paid to play their sport? Read our take on both sides of the argument and watch our accompanying video here!

Originally Posted: Mar 20, 2017

Should college athletes be paid? People who think college student-athletes should be paid often say the students' names and images are used on products and in advertising, among other things, so they should receive some of the profits. Those who say college student-athletes should not be paid argue that they receive scholarships as a form of payment for their talents. Then there are plenty of other questions: Would athletes be paid differently depending on the sport they play? How do you quantify the true worth of a college sports team, especially if it's making the school much more popular overall and bringing in lots of students? Where would the money even come from? The debate could go on and on. Here's a look at each side.

Why student-athletes should get paid

Being a college student-athlete is a full-time job, bouncing between the weight room, the court/field, classes, and film sessions. College athletics are extracurricular activities, but the schedules of the National Collegiate Athletic Association's (NCAA) tournaments require an extended period in which the student-athletes must miss school. Not only do they miss class, but they are absent for nationally televised games that make a lot of money and receive millions of viewers, according to Marc Edelman in his article " 21 Reasons Why Student-Athletes Are Employees and Should Be Allowed to Unionize."

Since student-athletes also bring in revenue for their team and college or university, especially in the championship games, those who debate in favor of paying them say the students could receive a small portion of the profits. Yes, pay would vary, just as the universities with the more successful teams receive more television time or money than those with less successful teams. College football and men's basketball programs earn far more than any other athletic program, so these athletes would likely earn more as well. This may not be considered fair pay, but many of those who argue in support of paying college players point out that team popularity and consumers generally determine what is "fair." These sports also tend to support other less popular sports that do not bring in a lot of money on their own.

Student-athletes are the ones working hard out on the court and field. Coaches might have a big effect on a team, but it is up to the athletes to get it done. Coaches receive bonuses for breaking records, reaching the offseason, and winning the big games; the athletes receive none of it, writes Tyson Hartnett for HuffPost. Most profits from college athletics do not go toward academics. Instead, they go to the coaches, athletic directors, and some administrators, reports Edelman. Student-athletes do not need to receive huge salaries like their coaches; rather, they could still be paid a reasonable amount relative to how much the program makes. Scholarships often cover most of the student-athletes' books and room expenses, but even few extra hundred dollars per year could compensate for the lack of time these students have to earn spending money at a regular part-time job, argues Harnett.

It's also important to note that college student-athletes are not only a part of a sports team; they are a part of the college or university's advertising team. For example, the "Flutie effect" is used to describe a surge in college admission following a big sports win. It's named for Boston College quarterback Doug Flutie; he won the Heisman Trophy in 1984, and the College's admissions rose significantly in subsequent years-though the extent of Flutie's impact has been largely refuted by BC officials since then. Still, colleges and universities use their athletic success to promote their school and entice potential applicants. Student-athletes would be paid for this and all the additional benefits they provide for their schools.

A timeout of the regular season college football game between the University of Michigan at the University of Iowa
📸: Madisen Martinez

Why student-athletes should not get paid

In 2013, survey expert John Dennis found that 69% of the public is opposed to paying student-athletes. (This proposed payment would be in addition to the scholarships given in men's football and basketball programs.) If scholarships were taken out of the deal, and only salaries were given, then it would be more fair and affordable for the university, right? Wrong. If salaries were given, then these college student-athletes would have to pay taxes. Depending on the student-athlete's income, those taxes could be high enough to reduce what they earn until they can barely cover tuition, according to John R. Thelin in his article "Here's Why We Shouldn't Pay College Athletes."

Those who opposed paying college student-athletes say scholarships are the best option; there is no question as to what the scholarship money is going toward. Cash or a salary could be spent on wants rather than necessities, potentially leading the athletes into a debt they would not have with the benefit of a scholarship. Furthermore, those who debate against paying student-athletes say it would change the very nature of college athletics. College student-athletes are given a rare opportunity. It's difficult to earn a position on a college team. Though a dream for many, only about 7% of high school athletes move onto the bigger stage. Another 2% of these athletes reach the Division I level, reports Dave Anderson in his article " Top 10 Reasons College Athletes Should Not Be Paid."

If payments were involved, athletes would be given incentive to commit to the college or university with the highest offer. The next year, they may transfer to another school with an even higher offer. Before you know it, these college sports would be 100% a business. This new "business" could also lead to the downfall of other college programs. The money to pay athletes must come from somewhere, which might put the least-popular college programs at risk of being cut. That, in turn, can deprive other students of their chance to gain the education and experience at the college of their dreams, since their desired program will no longer be offered, says Anderson.

Finally, even though these college student-athletes may be playing at an advanced level, they still aren't playing professionally, Anderson notes. It is not their job to play sports; it is an extracurricular activity that is pursued while pursuing a higher education. Student-athletes are going to school to learn, and many are lucky enough to do so for reduced cost, given the often generous athletic scholarships. If these athletes were paid, it would change their motives as students. They are still in college-which is a privilege in itself-while pursuing their dreams of playing a sport.

What do you think?

Whether student-athletes should be paid is an ongoing debate often brought up during championship seasons, especially the college football playoffs and the basketball post-season. What's your view of this heated debate? Will a salary for college-athletes ever come to be? It's up to the NCAA to decide if they'll break away from their current model of collegiate sports, in which "the young men and women competing on the field or court are students first, athletes second."
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Should College Student-Athletes Be Paid to Play? Both Sides of the Debate

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The debate rages on: Should college athletes be paid to play their sport? Read our take on both sides of the argument and watch our accompanying video here!

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Regarding the debate of whether or not college athletes should be paid, Danny Kanell acknowledges that these players are receiving the opportunity of an education and the experiences that go along with it, which is a privilege in itself.

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Should college players be paid? - ESPN Video

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Regarding the debate of whether or not college athletes should be paid, Danny Kanell acknowledges that these players are receiving the opportunity of an education and the experiences that go along with it, which is a privilege in itself.

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