The Numbers Behind the Myth of the Hundred Million Dollar Contract

December 16, 2025

NFL star Odell Beckham Jr. sparked public debate after appearing on The Pivot Podcast to explain how professional athletes' seemingly massive contracts are dramatically reduced by taxes and fees before they receive any money. Using his own hypothetical $100 million deal as an example, Beckham illustrated how federal, state, and local taxes—including the "jock tax" applied in every state where players compete—along with agent fees can reduce take-home pay to roughly half the contract value.

Who is affected

Odell Beckham Jr. specifically
Professional NFL players across all teams and salary levels
NFL players in high-tax states (California, New York, Illinois, Michigan, Ohio, Pennsylvania)
Star players including Phillip Rivers (mentioned by name)
MLB and NBA players facing similar contract structures
Athletes' families who depend on their financial support
Players' agents, advisors, and professional teams

What action is being taken

NFL players are filing up to ten separate tax returns due to jock tax requirements in different states
Athletes are paying federal taxes, state taxes, local taxes, and agent fees
Players are covering training costs, travel expenses, and family support obligations

Why it matters

This matters because it reveals a significant gap between public perception and financial reality in professional sports. The brief career windows of athletes, combined with tax structures that claim up to half their income and sudden wealth without financial preparation, create vulnerability that contradicts the assumption of unlimited riches. Understanding these financial pressures is crucial because athletes face compressed earning periods that can end instantly due to injury, must support extended families, and navigate complex financial obligations that reduce transformative money to amounts that, while still substantial, are neither infinite nor guaranteed for lifetime security.

What's next

No explicit next steps stated in the article

Read full article from source: The San Diego Voice & Viewpoint