How Much Do NFL Players Pay in Taxes?

NFL players navigate a complex tax landscape. Their profession’s unique aspects, including a relatively short career span and income earned across multiple jurisdictions, shape their tax obligations. This provides insight into how top earners manage their tax responsibilities.

Understanding NFL Player Earnings

An NFL player’s total compensation includes various income streams, fluctuating based on contract negotiations, performance, and team decisions. Base salary forms the foundation of their earnings, paid in weekly installments throughout the 18-week regular season. This pay can be guaranteed or non-guaranteed; non-guaranteed amounts are forfeited if a player is released.

Players also receive various bonuses. A signing bonus is a guaranteed lump sum payment received upon signing a contract. For salary cap purposes, this bonus is prorated evenly over the life of the contract, up to a maximum of five years, even if the player is no longer with the team. Roster bonuses are conditional payments tied to a player being on the team’s active roster on a specific date, such as the start of training camp. These bonuses count fully against the salary cap in the season they are earned.

Performance incentives also contribute to income, rewarding achievements like making the Pro Bowl or reaching the playoffs. These incentives can be structured on a per-game basis. Endorsement deals further supplement player income, involving agreements where athletes promote products or services for compensation. These deals are separate from team contracts and vary widely in structure and terms.

Federal Income Tax Implications

The U.S. federal income tax system is progressive, meaning higher income levels face higher tax rates. Due to their substantial earnings, NFL players fall into the highest federal income tax brackets. For the 2025 tax year, federal income tax rates range from 10% to 37%. The top marginal rate of 37% applies to single filers with taxable income exceeding $626,350 and to married couples filing jointly with taxable income over $751,600.

Taxable income is the amount subject to federal taxation, calculated by taking gross income and subtracting eligible deductions and exemptions. Taxpayers reduce gross income to adjusted gross income (AGI) through adjustments, then further reduce AGI with standard or itemized deductions. The resulting amount is their taxable income, which determines their federal tax liability based on applicable tax brackets.

State and Local Taxation for NFL Players

NFL players face a unique challenge with state and local taxation due to the multi-state nature of their employment. They are subject to income taxes in every state and sometimes city where they perform services, commonly referred to as the “jock tax.”

To determine the portion of income taxable in each state, a common method involves calculating income based on “duty days” or “game days.” This approach allocates a player’s total compensation, excluding signing bonuses, across all days they perform services for the team. The proportion of duty days spent in a particular state dictates the percentage of their income taxable by that state. For example, if a player spends 10% of their duty days playing or practicing in a specific state, 10% of their prorated income may be subject to that state’s income tax.

State income tax rates vary significantly across the U.S., ranging from states with no income tax to those with top marginal rates exceeding 10%. Nine states, including Florida, Nevada, and Texas, do not impose a state income tax. Conversely, states like California and New York have some of the highest marginal income tax rates, with California’s top rate reaching 13.3% for high earners. This disparity means a player’s overall tax burden can be heavily influenced by their team’s schedule and the states in which they play games. Many states use a progressive tax system, similar to the federal system, where different income levels are taxed at varying rates.

Other Tax Considerations

Beyond federal and state income taxes, NFL players encounter additional tax obligations and potential deductions. FICA taxes (Social Security and Medicare) are withheld from wages.

For 2025, the Social Security tax rate is 6.2% for both the employee and employer, applied to wages up to $176,100. The Medicare tax rate is 1.45% for both the employee and employer, with no wage limit. An additional Medicare tax of 0.9% applies to wages exceeding certain thresholds, such as $200,000 for single filers.

Agent fees represent another financial consideration. NFL players typically pay their agents a percentage of their contract, often ranging from 1.5% to 3% of their playing contract, though the maximum allowed by the NFL Players Association is 3%. For endorsement deals, agent commissions can be higher, commonly between 10% and 20%. These fees are generally deducted from the player’s earnings.

Professional expenses also factor into a player’s tax situation. Common deductible expenses for athletes include union dues paid to organizations like the NFL Players Association, training expenses not covered by the team (such as gym fees or personal coaches), and certain athletic equipment. Travel expenses related to away games or training, and even some fines imposed by the team for policy violations, can also be considered deductible. These deductions can help reduce a player’s taxable income.