The 2025/2026 NBA season is in full swing. Organizations are preparing for a season they hope ends in lifting the Larry O' Brien Championship Trophy. Priority one is winning games on the court. But players can also win off the court by understanding their benefits as professional basketball players. In this blog, I am going to breakdown the NBA's Pension Plan. NBA Pension Plan The National Basketball Association offers one of the best products in all of sports. With star athletes and high-energy games, the NBA is must watch tv. But behind the scenes, there is a significant focus on ensuring players are well taken care of after their careers come to an end. The NBA and NBPA have put together a package to support their players after retirement. There has been a big push from modern-era players to enhance these benefits. One of these benefits is the NBA Pension Plan . Before I dive in, it is important to understand all your benefits. Navigating retirement as professional athlete is hard enough. Our team at Moment Private Wealth is here to help. The History of the NBA Pension Plan Back in 1965, the National Basketball Association realized it needed to provide its players with benefits found in other professional organizations. With the MLB (1947) and NFL (1962) offering its players pension plans, the NBA followed suit. It began with the creation of The Collective Bargaining Agreement (CBA) in 1957. The CBA was created thanks to a threat of strike by Boston Celtics star Bob Cousy who was unhappy with player benefits. Since then, the NBPA and NBA have worked closely to agree to terms and conditions for employment in the NBA. The latest update came in April 2023 and runs through the 2029-30 NBA season. NBA Pension Eligibility Requirements Understanding your eligibility is the first step in taking advantages of the NBA Pension Plan. A signed contract does not automatically mean eligibility into pension benefits. In the NBA, you earn benefits based on "Years of Service." While not overly complex, "Years of Service" refer to the number of years you receive for your time in the NBA. In order to earn a "Year of Service" you must be listed on the NBA Active or inactive List at least one day during the Regular Season . The catch is you have to earn at least three "Years of Service" to qualify for the NBA benefits. NBA Pension Benefits Now that you understand eligibility requirements, what are your pension benefits as a NBA player? Before outlining these benefits, it is important to understand the latest NBA adjustments to its retirement dates and benefit calculations. Below are the latest NBA adjustments as of February 2nd, 2024: Normal Retirement Date: this is the first of the month following a player's 62nd birthday Early Retirement Date: players can retire on or after the month following their 45th birthday, but before the normal retirement date Benefit Adjustments: monthly benefits will be updated annually. This is based on the maximum amounts permitted under the Internal Revenue Code. These monthly benefits will also adjust based on cost-of- living increases. With these updates, the amount you receive in your pension depends on three additional factors: Years of Service Average Salary Age While these amounts vary, the NBA has made it a priority to provide fair values based on "Years of Service" in the league. As of the latest agreements, the minimum monthly pension benefit for players at normal retirement age is set at $1,001.47 for each year of credited service. This amount will increase based on your "Years of Service" and the time you begin taking the pension benefit. It is important to consult an expert in athlete wealth management to fully take advantage of your pension benefits. Pension Benefits for Two-Way Players Making it on a regular season roster in the NBA is no easy feat. With 15 players on each regular season roster, it is possible players may make the roster one year and play on the G League roster the next. Or further, they may be on both rosters the same year. Each NBA franchise can sign three players to two-way contracts. This means players can participate at both the NBA and G League levels during the same season. If this happens to you, the NBA Pension Plan will be amended. This means, for each regular season during the term, a two-way player is considered to be on a roster if he is: On Active, Inactive or Two-Way List (on February 2nd of Regular Season); or On the Active List of any team for 50% or more of total Regular Season games during the year This amendment allows Two-Way Players to be eligible for pension benefits and will receive compensation for their contributions. What Next? Your hard work on the court has awarded you benefits well into your future years. Why not take advantage of them? There is no better time than now to ensure you have reviewed your NBA benefits, particularly your pension plan. At Moment Private Wealth , we review the benefits outlined in the Collective Bargaining Agreement on your behalf and are happy to answer any questions you may have. If you are in the National Basketball Association and want to better understand the NBA benefits, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How does a player q ualify for the NBA Retirement Plan?  A player must have earned a minimum of three "Years of Service" to be eligible. H ave I earned a Year of Service?    Players need to be on the NBA Active or Inactive List at least one day during the Regular Season. Am I eligible for the NBA Pension as a Two-Way Player?   Yes! As long as you meet the requirements outlined above, you are awarded the same benefits as if you were on the NBA roster. What age can players take the NBA pension?   Players can start receiving their full pension at the age of 45. If deferred until 62, the benefit significantly increases. ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

One of the greatest benefits afforded most employees is access to a 401(k) plan. But did you know, the NFL 401(k) plan, also called the "NFL Second Career Savings Plan" offers one of the most lucrative in all of professional sports? Yes, NFL players are employees and have the opportunity to contribute to their team's 401(k) plan. In this blog, I am going to break down all the things  players in the National Football League need to understand about the NFL 401(k) Plan in 2026.   Before diving in, it is important to understand, retirement planning for professional athletes doesn't have to start after you stop playing the game. In fact, the sooner you start taking advantage of this benefit, the sooner your financial future will take shape. NFL 401(k) Plan - Second Career Savings Plan The 401(k) is one of the more traditional benefits a company offers its employees. In simple terms, a 401(k) plan is a retirement savings plan, sponsored by the employer. This allows employees to save money for retirement. Said another way, it is a benefit afforded to employees, enticing them to continue working with the company. Who Can Participate in the NFL 401(k) Plan? The NFL 401(k) Plan has many benefits. One is, the number of players that can participate. Players that are eligible to participate include: Active Roster Players Inactive Roster Players Practice Squad Players Reserve/Injured (IR) Players Physically Unable to Perform (PUP) Players Basically, if you are a part of the team as a player for at least one game of the regular or post-season, you are eligible and automatically enrolled. **Please confirm with your Club that you have been automatically enrolled How the NFL 401(k) Works Before we dive into the specifics, it is important to understand how your NFL 401(k) works. The NFL 401(k), like most 401(k) plans is a three-step process: 1.) Money is Put In - this money comes from your paycheck and is put into your account. 2.) Money is Invested - as the owner of the account, you direct the investment of the money in the 401(k). 3.) You Take the Money Out - Once you reach retirement age, you can take out the money you invested along with its gains. It is important to note, there are penalties for withdrawing early. Currently, if you withdraw before you turn 59.5, you will pay a 10% penalty. The key to understanding the NFL 401(k) plan is understanding how NFL contributions work. NFL Player401(k) Contributions Each NFL player on the eligible participant list above is automatically enrolled in the 401(k) Savings Plan. That means, beginning with your first paycheck (on or after October 15th), you will automatically start contributing to your 401(k). With that, it is important to understand your contribution limits and how the contributions work. First, if you are automatically enrolled, 10% of your pre-tax salary will be contributed to your account. The current contribution limit in 2026 is $24,500 of "pre-tax" money. Outside of saving for retirement, this means you would receive a tax deduction for your contribution. For example, let's say you make a salary of $1,000,000 in 2026 and contribute the max $24,500 into your 401(k) plan. Your taxable income is now $975,500 instead of $1,000,000. This means you have a potential tax savings of more than $9,000 if in the 37% federal tax bracket. Not bad, huh? NFL Club 401(k) Contributions 2026 is a big year when it comes to the NFL Club 401(k) contributions. First, it is important to understand if you have earned a "Credited Season" or earned three "Game Credits" as a Practice Squad Player. Let's start with earning three (3) "Game Credits" as a Practice Squad Player. You earn "Game Credits" by being a Practice Squad Player only, or through a combination of being both a Practice Squad Player and an Active player. If you earn three (3) "Game Credits," you can earn up to $1,500 of matching contributions from the NFL. These numbers drastically change if you are an active player and earn a "Credited Season." A Credited Season means you were on one of the following rosters for three or more  regular or post-season games: Active Roster Inactive Roster IR (Injured Reserve) PUP (Physically Unable to Perform) Similarly, if you are released injured or receive an injury settlement for 3 or more games, you earn a Credited Season. If you meet the above criteria, you are eligible for the "2-for-1 match." This means the club you play for will contribute two dollars for every dollar you contribute. In other words, for every dollar you contribute up to that $24,500 max, the club will contribute an additional two dollars into your account. That is  FREE MONEY ! Here is the breakdown of the matching contributions the NFL has proposed for the upcoming seasons: What do I Invest in? Contributing to your 401(k) is step 1. Step 2 is knowing what to invest in. The NFL offers a variety of Investment Fund Options. Before I outline these options, it is important to understand investing as a professional athlete . Further, consult with a wealth management professional before investing. Our team at Moment Private Wealth specializes in helping professional athletes. We can help you too! Below are your Investment Fund Options as an NFL Player: Target Date Retirement Funds - these are age-based funds that help you take more risk when you are young and get more conservative over time. Index Funds - these are funds that track a market index (a basket of stocks and bonds). Multi-Manager & Specialty Funds - these funds concentrate on specific markets or industries. These offer less diversification and come with higher potential risks. Regardless of your thoughts about investing, in order to make money, you have to put your money to work. This starts with investing correctly! What Next? Father time is undefeated. Your playing days will come to an end. When the time comes, your retirement money doesn't just disappear. You can roll over (move) your 401(k) to an IRA or keep it in your current 401(k). If invested properly, this money will grow. More importantly, when you reach 59.5, you can start using this money into retirement. _________________________________________________________ As an NFL player, establishing your 401(k) early in your career can set you up for future financial success. It is the difference between 3rd and 8 and 3rd and 2. I may not play the sport, but I know there are way more options in your playbook at 3rd and short. Approach your 401(k) the same. The sooner you start contributing, the more you gain over time. The more you gain over time, the more options available to you. ___________________________________________________________________________________________________________ If you are in the National Football League and want to better understand the NFL 401(k) Plan, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. Am I already enrolled in the 401(k) Plan as an NFL Player?  Yes! Each player is automatically enrolled in the 401(k) Savings Plan. Can I participate in the 401(k) Plan as a Practice Squad Player ?   Yes, everyone is eligible. However, there are specific requirements for 401(k) Club contribution limits. What is the current 401(k) contribution limit?   In 2026, the 401(k) contribution limit is $24,500. At what age can I start taking out my retirement money without paying a penalty?   Players can start taking distributions once they reach the age of 59.5. Is there a 401(k) match provided by the NFL?   Yes! If a player contributes to their 401(k), the NFL will contribute a "2-for1- match." ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

The National Basketball Association is one of the premier professional organizations in sports. But what happens to professional basketball players once the final buzzer sounds on their career? As a NBA player, you must understand all your benefits when navigating retirement as a professional athlete. The NBA and NBPA have put together a package to support their players after retirement. There has been a big push from modern-era players to enhance these benefits. In this blog, I am going to breakdown the NBA's Retirement Plan . NBA Retirement Plan Before we dive in, it is important to understand your eligibility. Just because you sign a contract does not mean you receive these benefits. In the NBA, you earn benefits based on "Years of Service." Simply put, "Years of Service" refer to the number of years credited to you for your time in the league. To earn a "Year of Service" you need to be listed on the NBA Active or Inactive List  at least one day during the Regular Season. Further, to qualify for the NBA benefits, you need to earn at least three "Years of Service." At that point, you have access to the NBA Retirement benefits. Benefits for NBA Players Now that you understand who is eligible, what is included in the NBA Retirement Plan? First, it is important to note that the benefits have changed significantly over the years. If you played before the latest CBA agreement (April 2023), your benefits might be slightly different. Additionally, benefits vary depending on the time you played and the "Years of Service" earned. Since then, the league and its players have increased efforts to enhance the NBA Retirement Plan. Here is a list of the benefits included in the latest CBA Agreement: NBA Player Pension NBA Player 401(k) NBA Player Health and Wellness Benefit NBA Post-Career Income Plan We will dive into each of these benefits below. NBA Pension Plan The NBA pension plan dates back to 1965 following in the footsteps of the MLB (1947) and NFL (1962). More now than ever, benefits afforded players is becoming the norm. This is no different in the NBA. It began with the creation of The Collective Bargaining Agreement (CBA) in 1957. The CBA was created thanks to a threat of strike by Boston Celtics star Bob Cousy who was unhappy with player benefits. Since then, the NBPA and NBA have worked closely to agree to terms and conditions for employment in the NBA. The latest update came in April 2023 and runs through the 2029-30 NBA season. As a professional athlete, you need a plan. Familiarizing yourself with the NBA benefits will help you well into the future. This starts with understanding your NBA pension. NBA Pension Benefits The NBA pension plan offers financial security to players during their retirement years. In order to start receiving a pension, you must earn three "Years of Service" . The NBA pension can begin as early as your 45th birthday, but typically begins after you turn 62. So how much will you receive in your NBA pension? Like most pension programs, it depends on: Years of Service Average Salary Age The NBA is gracious in the annual amount offered. If you earn at least three "Years of Service," you are guaranteed a minimum pension $56,988 annually if taken at age 62. This number increases as your "Years of Service" increase. For example, if you play 10 or more seasons, your annual pension jumps to $215,000 annually. The NBA pension has been a focal point in recent years. You need an expert in athlete wealth management to help you understand the optimal time to take to your pension benefits. NBA 401(k) Plan Next, we will look at your 401(k) options. First, find a professional who specializes in financial planning for professional athletes before investing in your 401(k). The NBA 401(k) plan has multiple components. The plan comprises: Salary Deferral Contributions Matching Contributions After-Tax Contributions 1) Salary Deferral Contributions This is exactly what it sounds like. NBA players have the option to defer a portion of their salary and put it towards their 401(k). Why would you do this? Deferring a portion of your salary allows you to build savings for the future. It is a way to contribute to retirement without actually feeling the burden of your contribution. This is because the money is automatically withheld from your salary and transferred to your 401(k). No harm, no foul. 2) Matching Contributions **Please note: Players Association must request matching contributions in writing before the season to receive this benefit. The NBA offers one of the best 401(k) matches in professional sports. In 2026, a player can contribute $24,500 in "pre-tax" money to his 401(k) plan. This means he would receive a tax deduction for his contribution. For example, let's say you are making $1,000,000. In 2026, you contribute a maximum of $24,500 to the plan. Therefore, your taxable income is $975,500 instead of $1,000,000. As a result, your potential tax savings is more than $9,000 assuming the 37% tax bracket. Here is where the true benefit comes in. The NBA offers a generous 140% employee match! Let me put this in numbers for you. You contribute the max $24,500 to your 401(k) in 2026. The NBA then contributes 140% of this amount, or $34,300. By investing the maximum amount in your 401(k), the NBA is essentially paying you an additional $34,300 a year. That is a steal! 3) After-Tax Contributions Additionally, NBA players have the option of contributing to their 401(k) accounts on an after tax-basis. This again, helps increase retirement savings for the future. Whether deferring salary contributions, contributing to your 401(k) or taking advantage of after tax contributions, the NBA 401(k) is a slam dunk when it comes to retirement savings. NBA Player Health and Wellness Benefit The NBA is a grueling sport. With 82 regular season games, the sport takes a toll on the body. The NBA has prioritized the well-being of players off the court with the Health and Wellness Benefit Package. What is included and how will this impact you? Here are the core benefits: Health Reimbursement Arrangement (HRA Benefit) Insurance/Retiree Medical Plan Tuition Reimbursement Plan 1.) Health Reimbursement Arrangement (HRA) **Please note: This benefit is for players who participated in the NBA since 2000-01. It is important to note that an HRA is not a traditional health coverage plan. It is an employer-funded group health plan. Since the HRA is an employer-owned and funded account, the NBA team you play for bears the cost of eligible medical expenses. For typical HRA accounts, you receive a fixed dollar amount per year and the unused funds can carry over from year to year. As a result, eligible medical expenses could be accumulated with no payment from you. The HRA demonstrates the NBA's continued commitment to player well-being. 2.) Insurance/Retiree Medical Plan The NBA has increased its insurance coverage for players in recent years. Included in the Insurance Benefits plan are: Life Insurance Accidental Death and Dismemberment Benefits Disability Insurance Medical Insurance Dental Insurance Vision Insurance Prescription Drug Insurance Additionally, retired players receive health insurance benefits after the game of basketball. This includes the ability to make provisions and plan modifications to existing plans. The NBA has made it a priority to support athletes beyond their playing careers by offering these comprehensive coverages. 3.) Tuition Reimbursement Your time as an NBA player will eventually come to an end. With that comes the possibility of a new career path. The NBA provides eligible players with tuition benefits to promote healthy career transitions and personal development. As of 2023, eligible NBA players with at least three years of service can receive up to $62,500 in tuition benefits each calendar year. Time and time again, we see athletes unaware of the benefits they have. These benefits are there to be utilized. Post-Career Income Plan Another benefit afforded to eligible NBA players is the Post-Career Income Plan. While complex, the Post-Career Income Plan gives players an additional income benefit after their playing careers. These plans include contributions from both teams and players. These contributions are then used to purchase Post-Career Annuities, a fancy term for regular payments after you are done playing. Currently, the funding of these plans comes from a percentage of Basketball Related Income. If interested, consult your current team's HR department and read the 2023 CBA . What Next? Are you currently taking advantage of the NBA Retirement Plan? As we are on the cusp of crowning a new NBA Champion, there is no better time to review your benefits than now. At Moment Private Wealth , we make sure you are up to speed on these benefits. If you are in the National Basketball Association and want to better understand the NBA benefits, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How does a player q ualify for the NBA Retirement Plan?   A player must have earned a minimum of three "Years of Service" to be eligible. H ave I earned a Year of Service?    Players need to be on the NBA Active or Inactive List at least one day during the Regular Season. Are there benefits after I end my playing career?   Absolutely! If you are in the process of changing careers, the NBA offers a generous tuition reimbursement package. What age can players take the NBA pension?   Players can start receiving their full pension at the age of 45. If deferred until 62, the benefit significantly increases. Is there a 401(k) match provided by the NBA?   Yes! If a player contributes to their 401(k), the NBA will contribute up to 140%. ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

Designed specifically for retired players, this program offers more than just a safety net. The NFL Annuity program is a game plan for long-term financial stability. In this blog, we will break down how the NFL Annuity Program works, why it's a game-changer for your post-football life, and how you can make the most of it. Before diving in, it is important to understand, retirement planning for professional athletes   doesn't have to start after you stop playing the game. In fact, the sooner you start taking advantage of this benefit, the sooner your financial future will take shape. NFL Annuity Program The National Football League is one of the few employers that continues to include an annuity benefit as a part of its retirement plan. Before specifically diving into the NFL Annuity Program, it is important to understand the basics of an annuity and how it works. An annuity provides a series of regular payments over a set period of time. Essentially, you make an initial investment, and in return, the annuity pays you back with regular payments. The NFL Player Annuity Program helps players save for retirement, just like any annuity. However, the money in these accounts comes from the teams (called "Clubs"), not the players themselves. Said another way, it is a retirement savings plan funded solely by team contributions. Sounds great, but who can participate? Who Can Participate? The NFL Player Annuity Program does have specific requirements for those who can participate. It is open to: Active players with at least one credited season from a previous year. Former players with money in their Tax-Qualified Account. Former players with money in their Non-Qualified Account. NFL Annuity Program Process There are 4 steps to the NFL Annuity Program Process: Money Is Put In: The club contributes money into an account on your behalf. Money is Invested:  The money is then invested and managed by investment professionals. You Become Vested:  After  three or more  Credited Seasons, you become vested. This means you are the full owner of the money and the NFL cannot take it back from you. You Take the Money Out:  When you are no longer an active player and age 45 or older, you can take out the money. *Note: money withdrawn prior to turning 59.5 years could result in a tax penalty. Seems simple enough. But before going any further, I want to better explain what a "Credited Season" is and how a player becomes "vested." Credited Season A Credited Season means you were on one of the following rosters for three or more  regular or post-season games: Active Roster Inactive Roster IR (Injured Reserve) PUP (Physically Unable to Perform) Similarly, if you are released injured or receive an injury settlement for 3 or more games, you earn a Credited Season. Once a Credited Season is earned, you become eligible for most NFL benefits. However, to be entitled to those benefits, you need to earn three or more  Credited Seasons. Simply put, three or more Credited Seasons means you are now "vested." Think of it like levels to a game. -First, you have to make the 53-man roster. -Second, you have to be on said roster for 3 or more games. -Third, you have to earn 3 or more Credited Seasons. With that in mind, we need to further discuss the types of accounts involved and what club contributions include. NFL Annuity Program Accounts and Club Contributions NFL Annuity Program Accounts NFL Players may have money in two types of accounts: Tax-Qualified Account Nonqualified Account This is all dependent on how long a player has been in the NFL and earned their Credited Seasons. A tax-qualified account is an account that holds money that has yet to be taxed. It is the responsibility of the player to pay the taxes once the money is taken out. A non-qualified account is an account that holds money that has previously been taxed, meaning a player won't need to pay taxes on this money when they take it out. The Annuity Program helps players save extra money for retirement, and the way it’s taxed depends on which account the money is in. Additionally, your Club can put money into one or both of your accounts according to your Credited Seasons. But, there are specific rules as to which account you start receiving these Club contributions in. To start, you begin receiving Club contributions to your Tax-Qualified Account once you earn your second Credited Season. Once you earn your fifth Credited Season, you start receiving Club contributions to your Nonqualified Account. Said again, for players with two, three, or four Credited Seasons, you only receive a contribution to your Tax-Qualified Account. This is known as a Qualified Addition . If you have five or more Credited Seasons, you will receive Club contributions to both your Tax-Qualified and Nonqualified Accounts. This is known as a Non-qualified Allocation . NFL Annuity Program Contributions Let's break down the contribution schedule for the 2018-2020 NFL Season. Contributions to the Annuity Program are based on the number of Credited Seasons: One Credited Season: $0 Two-Three Credited Seasons: $2,500 (Tax-Qualified Account) Four Credited Seasons: $50,000 (Tax-Qualified Account) Five or more Credited Seasons: $45,000 (Tax-Qualified Account) + $15,000 (Nonqualified Account, subject to taxes) *Note: These amounts are before taxes are taken out. Of a $15,000 Nonqualified Allocation, $7,200 is withheld to cover income and payroll taxes. It is important to note, the NFL suspended both Qualified Additions and Nonqualified Allocations from any Club for seasons 2020 through 2023. NFL Annuity Program Distributions The Annuity Program was set up so you could take advantage of the money contributed by your team (Club). With that, I want to briefly explain how you can take the money out of the Annuity Program. The four ways to do so include: Single Lump Sum - this is a one-time payment for the entire balance. TQ - available as soon as you are eligible NQ - only after age 45 Partial Lump Sum - this means you receive payment of part of the balance. TQ - available as soon as you are eligible NQ - only after age 45 Installment Payments - this means you will receive the payments in equal installments. TQ - available as soon as you are eligible NQ - annual payments until you reach 45 (or a date of your choosing after that date) Annuities - the balance is used to purchase an annuity from the insurance company. With the annuity, you have a bunch of options Annuity for Your Life Only Qualified Joint and Survivor Annuity Qualified Optional Survivor Annuity Joint and Survivor Annuity To complete one of the above transactions, you must submit a Distribution Form to the NFL Player Benefits Office. Lastly, the amount you receive will depend on the value of your account, but also, how you choose to take your money out. It is important to understand how you will receive your annuity before selecting an option to take the money out. What Next? Father time is undefeated and you will be faced with the reality of your last game sooner than you ever imagined. Before you unbuckle your chinstrap for the last time, make sure you understand your benefits, including the NFL Annuity Program. The NFL Annuity Program can be a game-changer for your post-football life. It is up to you to make the most of it.  Before making any decisions, be sure to consult your financial team and read through the NFL Benefits Package at NFLPlayerBenefits.com or call the NFL Player Benefits office at 800.638.3186. At Moment Private Wealth we are specialists in athlete wealth management ensuring you maximize your league benefits. I also highly suggest checking out the NFL Retirement Plan (2026 Edition) . The NFL Annuity Program is just one of the many benefits afforded NFL players. ___________________________________________________________________________________________________________ If you are in the National Football League and want to better understand the NFL Pension Plan, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. Who can participate in NFL Annuity Program?   Active Players with at least one Credited Season in a Prior Plan Year. When can I start receiving contributions to my NFL Annuity?   You begin receiving Club contributions to your Tax-Qualified Account once you earn your second Credited Season . When can I start receiving my NFL Annuity contributions into my Non- qualified Account ?   This begins if you have five or more Credited Seasons. When do I become vested in the NFL Annuity Program?   You become vested after earning three Credited Seasons. Are there multiple ways to take out my NFL Annuity benefits?   Yes, there are multiple options. Be sure to consult your financial team for the best option for you. ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

Pension plans used to be the most common retirement plan. Companies would pay its employers a salary with the promise of a pension once they retired. But the pension plan is becoming less seen today. The National Football League is one of the few employers that continues to include the pension benefit as a part of its retirement plan. In this blog, I am going to break down all the things players in the National Football League need to understand about the NFL Pension Plan in 2026. NFL Pension Plan "A pension plan...what is that?" Pension plans are becoming an afterthought. But the NFL has made it a priority to include in the NFL Retirement Plan . A pension plan is a retirement plan that provides income to employees after they retire. In simple terms, an employee receives a specific payment amount when they retire. So how does this work for NFL players? It starts with earning a "Credited Season." A Credited Season means you were on one of the following rosters for three or more  regular or post-season games: Active Roster Inactive Roster IR (Injured Reserve) PUP (Physically Unable to Perform) Similarly, if you are released injured or receive an injury settlement for 3 or more games, you earn a Credited Season. From a Credited Season to Becoming Vested Earning a Credited Season is Step 1. Step 2 is becoming "vested." In order to be entitled to the NFL Pension Plan, a player must earn three or more credited seasons. Simply put, three or more Credited Seasons means you are now "vested." Think of it like levels to a game. First, you have to make the 53-man roster. Second, you have to be on said roster for 3 or more games. Third, you have to earn 3 or more Credited Seasons. These Credited Seasons open the doors to the benefits negotiated under the NFL's Collective Bargaining Agreement (CBA). NFL Pension Plan Specifics As an eligible player, it is important to understand the NFL Pension Plan specifics. Again, in order to be eligible for the NFL Pension plan, a player needs to have earned three or more credited seasons. To start, the NFL Pension Plan generally begins when a player reaches between the ages of 55 and 65. Once a player reaches retirement age, there are three factors impacting a player's pension benefits: How many benefit credits a player has earned When a player chooses to begin receiving retirement benefits The form in which a player chooses to receive his retirement benefits Benefit Credits In the NFL, each season a player plays fo r three or more  regular or post-season games, they earn a credit towards their pension amount. Outlined below are the credits earned for each credited season a player is awarded: *Remember, you need 3 or more Credited Seasons to be eligible Credited Seasons Benefit Credit 1982-1992 255 1993-1994 265 1995-1996 315 1997 365 1998-2011 470 2012-2014 560 2015-2017 660 2018-2019 760 2020-2030 836 These credits are then used to determine how much a player may receive for their pension. The average NFL pension is ~$43,000 per year as of 2023. When Is A Player Eligible For a Pension? As mentioned above, the NFL Pension Plan typically begins when an eligible player turns 55. However, these benefits can be paid at two different times: Normal Retirement Deferred Retirement Normal Retirement begins on the first day of the month beginning after a player turns 55. Deferred Retirement can begin on the first day of the month after a player reaches the age of 55. However, in deferring this benefit, the amount of a player's monthly benefit will be increased. This is because a player will be receiving a pension for a shorter amount of time. Regardless of when an eligible player chooses to receive his pension, he must be at least 55 years of age. How The Pension Benefit Is Paid When it comes to receiving the pension, a player has multiple options. These include: Life Only Pension Qualified Joint and Survivor Annuity Pension Life and Contingent Annuitant Pension Life and Ten-Year Certain Pension Life Only Pension The Life Only Pension is the most common pension plan chosen by NFL Players. This pension will provide equal monthly payments to an NFL player for their lifetime. Once a player passes away, this benefit ends regardless if a player has a family. Qualified Joint and Survivor Annuity Pension If a player is married, the Qualified Joint and Survivor Annuity Pension is most common. This plan gives a player a reduced monthly pension during the player's lifetime. However, when a player dies, the surviving spouse will receive 50% of the pension. Life and Contingent Annuitant Pension The Life and Contingent Annuitant Pension plan is similar to the Qualified Joint and Survivor Annuity. It pays a reduced monthly pension during the lifetime of a player. There is one difference. The amount depends on the beneficiary's expected lifespan. It also depends on the percentage the beneficiary will receive. A player can choose the percentage of the pension paid to the beneficiary. That can be anywhere from 1% to 100%. It is important to keep in mind if the beneficiary is not your spouse, parent, child, or dependent, the value of the benefits payable may change. Life and Ten-Year Certain Pension Similar to the other pensions, this option provides monthly payments for life. The difference with this plan is that 10 years of payments are guaranteed. If a player passes away young, the beneficiary will continue to receive the same monthly payments during the guaranteed time. Pension Protection for Family While it is never in the plan, it is important to understand what happens to a player's pension benefit if he passes away before reaching retirement age. The NFL continues to emphasize the importance of taking care of the family. With that, the NFL has created a Widow's and Surviving Children's Death Benefit. While not a pension plan, it does provide a pre-retirement death benefit to the spouse. The typical monthly death benefit for the widow and surviving children is $9,000. The $9,000 is paid to the family for the first 48 months following a player's death. This amount decreases to 50% of the player's benefit credits after those 48 months. The minimum that would be paid is $4,000. What Next? As hard as it may be to walk away from the game, the NFL has made it a priority to help players into retirement. This includes the NFL Pension Plan. The NFL Pension plan provides players with specific payment amounts when they retire. It is important to discuss the benefits with your financial team. At Moment Private Wealth, we help you create a plan with this benefit in mind, including how to budget as a professional athlete . I highly suggest checking out the NFL Retirement Plan (2026 Edition) . The NFL Pension is just one of the many benefits afforded NFL players. ___________________________________________________________________________________________________________ If you are in the National Football League and want to better understand the NFL Pension Plan, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How many credited seasons are needed to be eligible for the Pension Plan?   Each player must have earned 3 credited seasons to be eligible. At what age am I eligible for the NFL Pension Plan?   Players can start receiving their pension at the age of 55. Do I have to start taking my pension at 55 years of age?   No, a player has the option to defer payment. In doing so, the amount of the pension increases per year since a player will be receiving a pension for a shorter amount of time. Are there different Pension Plans I can choose from?   Yes, there are multiple plans. Be sure to consult your financial team for the best option for you. Will my family be taken care of if something happens to me?   Yes! The NFL has instituted a Widows and Surviving Children's Benefit. If the family is not included as beneficiaries in the Pension Plan, they will receive benefits via this plan. ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

Did you know the National Football League has a retirement plan? Since 1993, the league has increased its commitment to its players' financial security post-career. As an NFL player, you must understand all the frameworks to consider when navigating retirement as a professional athlete . For NFLPA benefits, it starts with understanding the Bert Bell/Pete Rozelle NFL Retirement Plan . Here is what you need to know. What benefits do players get? How do players know if they are eligible? What do players need to do to access those benefits? What should players look out for? There is a lot to focus on while on the field, but understanding the benefits you receive for being a part of the 53-man roster is just as important. In this article, I am going to break down all the things players in the National Football League need to understand about the NFL Retirement Plan in 2026. NFL Retirement Plan Before we jump into the specifics of the benefits afforded NFL players, it is important to understand who is eligible. Just because you sign a contract does not mean you receive the benefits of the NFL Retirement Plan. You must earn a "Credited Season" first in order to be eligible. So what is a Credited Season? A Credited Season means you were on one of the following rosters for three or more regular or post-season games: Active Roster Inactive Roster IR (Injured Reserve) PUP (Physically Unable to Perform) Similarly, if you are released injured or receive an injury settlement for 3 or more games, you earn a Credited Season. From a Credited Season to Becoming Vested Oftentimes, you will hear the phrase "Benefits for Vested Players." Earning a Credited Season is the first step in being eligible for the NFL Retirement Plan. However, in order to be entitled to those benefits, you need to earn three or more credited seasons. Simply put, three or more Credited Seasons means you are now "vested." Think of it like levels to a game. -First, you have to make the 53-man roster. -Second, you have to be on said roster for 3 or more games. -Third, you have to earn 3 or more Credited Seasons. These Credited Seasons open the doors to the benefits negotiated under the NFL's Collective Bargaining Agreement (CBA). Benefits for Vested Players Now that you have met the requirements, what is included in the NFL benefits plan? First, it is important to note that the benefits may vary depending on when you played and how many credited seasons you earned. Specifically speaking, if you played prior to 1993, these benefits will be different than for active players. For active-active players the current benefits include: Pension Health insurance for 5 years once finished playing Player Annuity Program Capital Accumulation Plan Tuition Reimbursement Disability Benefits Life Insurance Health Reimbursement Account Plan (HRA) 401(K) Severance Former Player Life Improvement Plan 88 Plan - Health Reimbursement Plan for Vested Players with Certain Illnesses There is a lot involved in each of the benefits above. Athletes need to work with a specialist in athlete wealth management . In the rest of this blog, I am going to outline the four biggest benefits players receive in the NFL Retirement Plan: NFL Player Annuity Program NFL Second Career Savings Plan (401k) NFL Player Severance Plan NFL Pension Plan NFL Player Annuity Program One benefit afforded to players is the NFL Player Annuity Program. Also known as the PAP, this is a deferred compensation plan. In other words, it provides eligible players with additional retirement savings. Here is how it works... Money Is Put In: The club contributes money into an account on your behalf. Money is Invested: The money is then invested and managed by investment professionals. You Become Vested: After three or more Credited Seasons, you become vested. This means you are the full owner of the money and the NFL cannot take it back from you. You Take the Money Out: When you are no longer an active player and age 45 or older, you can take out the money. *Note: money withdrawn prior to turning 59.5 years could result in a tax penalty. There are a few additional questions that need to be addressed. How do I become vested in this program? How much is the team contributing? How do you become vested? Essentially, you begin to receive contributions to the PAP after three credited seasons. Once you are vested, no longer an active player, and at least 45 years of age, you are eligible to receive these payments. It is important to keep in mind that if you defer payments, these payments must begin by age 65. What is the team contribution? The contribution varies by the years played in the NFL. For instance, players will receive the following amounts if they played from 2011-2020 and earned four or more Credited Seasons : 2011-2013 = $65,000 per year 2014-2017 = $80,000 per year 2018-2020 = $95,000 per year Here are a few additional things to keep in mind. Depending on the number of Credited Seasons you earn, you can have balances in two different accounts: "Tax-Qualified (TQ) Account": Money is contributed "before tax," which means you pay taxes when you take the money out. This starts accruing after your second Credited Season. *This is earned after 3 Credited Seasons or you are employed as a player at age 55 "Nonqualified (NQ) Account": Money is taxed in the year it is contributed and comes out tax-free. This starts accruing after you earn your fifth Credited Season *You are always vested in the balance of a Nonqualified Account. It can never be forfeited Additionally, it is important to understand how to take the money out. Here are the four ways to do so: Single Lump Sum - this is a one time payment for the entire balance. TQ - available as soon as you are eligible NQ - only after age 45 Partial Lump Sum - this means you receive payment of part of the balance. TQ - available as soon as you are eligible NQ - only after age 45 Installment Payments - this means you will receive the payments in equal installments. TQ - available as soon as you are eligible NQ - annual payments until you reach 45 (or a date of your choosing after that date) Annuities - the balance is used to purchase an annuity from the insurance company. If you have questions or want to take advantage of this benefit, you can call the NFL Player Benefits Office at 800.638.3186 or visit their website at NFLPlayerBenefits.com NFL Second Career Savings Plan (401k) One of the greatest benefits your employer can provide is a 401(k) plan. In the National Football League, this is called the Second Career Savings Plan (401k). This 401(k) is an asset that needs to be utilized. In 2026, you can contribute $24,500 in "pre-tax" money into your 401(k) plan. Outside of saving for retirement, this means you would receive a tax deduction for your contribution. For example, let's say you make a salary of $1,000,000 in 2026 and contribute the max $24,500 into your 401(k) plan. Your taxable income is now $975,500 instead of $1,000,000. This means you have a potential tax savings of more than $9,000 if in the 37% federal tax bracket. Additionally, the club will contribute to your 401(k) as an active, inactive, IR or PUP list player if you have two or more credited seasons (excludes practice squad players). *Note: this excludes 2020-2023. What does this mean? This means that the team you play for will contribute a "2-for1- match" to your account. In other words, for every dollar you contribute up to that $24,500 max, the club will contribute an additional two dollars into your account. That is FREE MONEY ! Here is a breakdown of the matching contributions the NFL has proposed for the upcoming seasons: NFL Player Capital Accumulation Plan (CAP) If the 401(k) isn't incentive enough, the NFL has also created the NFL Player Capital Accumulation Plan (CAP). This provides NFL players with additional saving opportunities for retirement. Unlike the 401(k) where you can deposit your own money, your CAP account receives money only from team contributions. The amount depends on the number of Credited Seasons earned. Here is how it is broken down: 1 Year = $0 CAP Contribution 2 Years = $2,500 CAP Contributions 3 Years = $2,500 CAP Contributions 4 or More = $42,000 CAP Contributions *If you meet the requirements for 4 or more seasons, this amount will increase to $45,000 in 2027 & 2028, $48,000 in 2029 and $50,000 in 2030 NFL Player Severance Plan Time is undefeated and your time as a player will come to an end. But the time you put into the sport can pay you back at the end of your career. The NFL Severance Plan is a plan that benefits those players who are credited with a certain number of seasons in their football careers. First, severance pay is the compensation an employer provides you at the end of your employment. This is no different in the NFL. The National Football League pays you a lump sum payment at the end of your career. You might be thinking...how much?  Well, it depends. The number of Credited Seasons earned and the years you played will determine how much you receive. Here is the breakdown: 1989-1992 = $5,000 per year 1993-1999 = $10,000 per year 2000-2008 = $12,500 per year 2009= $15,000 per year 2010 = $0 2011 = $15,000 per year 2012-2013 = $17,500 per year 2014-2016 = $20,000 per year 2017-2019 = $22,500 per year 2020-2023 = $0 2024-2025 = $35,000 per year 2026-2028 = $40,000 per year 2029-2030 = $50,000 per year Ok, great. So when is the severance paid and how do I apply? The severance is paid by the team you earned your last Credited Season with. It is paid to you in a lump sum and sent to you on the last day of the calendar quarter when you are no longer with the team. Notify your Plan Administrator at 800.635.4625  if interested in applying. One other important thing to remember... For income tax purposes, the severance pay is included in taxable income when distributed. NFL Pension Plan Additionally, the NFL Player Retirement Plan provides a pension. Generally, this begins between the ages of 55 and 65. So what are your benefits? Again, it depends. There are three factors considered: How many benefit credits you have earned When you choose to begin receiving retirement benefits The form in which you choose to receive your retirement benefits To start, you earn a benefit credit for each Credited Season you are awarded. *Remember, you need 3 or more Credited Seasons to be eligible I have outlined this for you below: Credited Seasons Benefit Credit 1982-1992 255 1993-1994 265 1995-1996 315 1997 365 1998-2011 470 2012-2014 560 2015-2017 660 2018-2020 760 After age 55 (or later if deferred), you receive a monthly amount. That amount depends on multiple factors including: Your Benefit Credits Years of Service Average Salary The average NFL pension is ~$43,000 per year. Next, you decide when to receive the retirement benefits. This can be done the month beginning after your 55th birthday or can be deferred. If you do defer receiving the retirement benefit, the amount of your monthly benefits can increase substantially. What Next? Making it to the NFL is a feat in and of itself. Why not take advantage of the benefits afforded you? All too often, we see athletes unaware of the benefits they have earned. At Moment Private Wealth , we make sure you are up to speed on these benefits. If you are in the National Football League and want to better understand the NFLPA benefits, schedule a call with a Moment Founder . Not sure what questions to ask, check out this video on 10 questions you should ask when interviewing a financial advisor. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How does a player qualify for the NFL Retir ement Plan?   A player must have e arned a minimum of three "Credited Seasons" to be eligible. H ave I earned a Credited Season?   Players need to be o n an active roster for three or more regular or post-season games to earn a "Credited Season." How do I become vested?   All players on the active, in active, IR, o r PUP list for three or more "Credited Seasons" are considered vested. What age can players take the NFL pension?   Players can start receiving their full pension at the age of 55. If deferred until 65, the benefit is significantly increases. Is there a 401(k) match provided by the NFL?   Yes! If a player contributes to their 401(k), the NFL will contribute a "2-for1- match." ___________________________________________________________________________________________________________ *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

A professional golfer's apparel sponsorship portfolio is one of the most efficient wealth-building engines in sports. Unlike the NFL or NBA, where team-wide contracts dictate what you wear, a golfer is a walking billboard with full control over their inventory. When you see a player on a Sunday afternoon, every inch of their apparel from the front of the hat to the back of the collar has been negotiated, priced, and structured to maximize both cash flow and brand alignment. For the top 1% of the tour, these "off-course" earnings often dwarf their actual tournament winnings. For avid golf fans, we immediately think of guys like Billy Horschel or Jason day, who have had significant branding on their apparel throughout their career. Billy Horschel is notorious for having an RLX sponsorhship and being featured in mutltiple TV commercials with them. The Logomap: Breaking Down On-Body Real Estate Not all space is created equal. Sponsors buy real estate based on "TV minutes"—the amount of time a logo is visible during a broadcast. The Front of the Hat:  This is the "Anchor Tenant." It accounts for roughly 50% of a player’s total endorsement value because it’s in every close-up shot. For a Top-30 player, this deal is almost always seven figures and typically includes the bag and equipment. The Lead Sleeve:  For a right-handed golfer, the left sleeve is prime real estate because it faces the camera during the setup and backswing. The right sleeve is often called the "Follow-Through" sleeve, less valuable, but a favorite for "lifestyle" brands. The Chest / Pocket:  This is the traditional home for financial institutions and insurance companies. It’s professional, steady, and visible during post-round interviews. The Collar and Back of Neck:  These are "niche" spots. They often command $100k to $500k for mid-tier pros and are highly visible during putting strokes when the player is looking down. If these deals are structured correctly, the money can be a large part of your career earnings. Payout Structures: Performance vs. Presence Most fans think these are flat-fee deals. They aren't. A sophisticated sponsorship contract is structured like a high-growth cap table: The Base:  The guaranteed amount paid regardless of performance. The "Made Cut" Bonus:  For many mid-tier pros, sponsors pay a small kicker just for playing all four days (ensuring weekend TV time). The OWGR Kicker:  Payments triggered when a player moves into the Top 50, Top 20, or Top 10 of the Official World Golf Ranking. The Major Bonus:  Winning a Major (The Masters, U.S. Open, etc.) can quadruple a player’s base pay for that year through specific "escalator" clauses. As financial advisors for professional athletes ,  we have experience with athletes earning money off-the field. Why Golf is Different (NBA vs. PGA) In team sports, the league or team owns the "inventory." In the NBA, teams sell a single 2.5-inch "jersey patch" (like the Rakuten patch for the Warriors) for $10M–$30M per year. In golf, you are the team. You own the hat, the shirt, and the bag. This allows for "Stacking", the ability to sign five or six non-competing sponsors (e.g., a car company on the sleeve, a bank on the chest, and a watch on the wrist). Victor Hovalnd takes advantage of "stacking' logos with mutliple different corporate sponsors. The "Moment" Wealth Angle: Structuring the Billboard If you're a golfer making $2M in logo money, you aren't just an athlete—you're a corporation. We focus on two specific areas: S-Corp Structuring:  By funneling endorsement income through an S-Corporation, players can split their income between a "reasonable salary" and "shareholder distributions." This significantly lowers the 15.3% self-employment tax hit. The "Jock Tax" Defense:  Unlike tournament winnings, which are taxed in the state where the event is held, endorsement income can often be "sourced" to your home state. If you live in Florida or Arizona, that is a 0% state tax win on millions of dollars. The Short Answer Professional golfers are paid for logo placement through a combination of "Base Fees" (guaranteed cash) and "Performance Bonuses" (kicker payments for wins or Top-10 finishes). While a hat deal for a top player can exceed $3 million annually, the true value lies in how these 1099 contracts are structured through S-Corps to mitigate self-employment taxes and leverage QBI deductions As financial advisors for athletes , we run analyses on how to effecively structure income to minimize taxes. If you are a Professional athlete with questions related to earning off the field income schedule a call, and talk with a Moment founder. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. Are you a fiduciary? Moment Private Wealth serves clients as a fidu ciary 100% of the time. How does Moment Private Wealth make money? We are only paid in one transparent way, by our clients. We receive no kickbacks or participate in any profit-sharing arrangements. Our fees are si mple, transparent, and clear for our clients. How does Moment specifically help professional athletes and golfers with brand income? We treat your off-field earnings like a business. Our team focuses on "income stacking," where we help you structure endorsement and NIL deals through entities like S-Corps to lower your self-employment tax. Because we specialize in athlete wealth management, we work alongside your agent to ensure that "on-field" and "off-field" teams are in sync to maximize your net take-home pay Why should an athlete or golfer choose a specialist like Moment over a traditional advisor? Professional sports have a "rocket ship" wealth arc with a limited fuel supply. Traditional advisors often lack the niche expertise needed to navigate league-specific benefits like the MLB pension, NFL annuity, or the "Jock Tax" across multiple states. As a firm founded by a former MLB player, we’ve walked in your shoes and built the specialist team we wanted during our own careers—one that prioritizes conflict-free advice and focuses on long-term wealth preservation. How do you work with other members of my team? We believe in the power of the team. For most of our clients, their team consists of Moment Private Wealth, an accountant, an attorney, a banker, and an insurance specialist. We help our clients build out their team of individuals or work with existing partners that clients have. Our goal is to ensure every family has a team of experts to protect their interests. How do you choose investments for clients? As independent financial advisors, we can gather research and make recommendations based on all available options. We determine clients’ portfolios in partnership with some of the largest asset managers in the world. Each quarter, we have calls with teams of CFA (Chartered Financial Analysts) to ensure our clients are receiving the mo st up-to-date strategies and recommendations. What does your average client look l ike? Our clients are nearly all athletes and entrepreneurs. Our average client has a net worth greater than $10M. The strategies, solutions, and planning that we implement have a high-net-wor th and ultra-high-net-worth client in mind. Why should I consider hiring Moment Private Wealth? Great question! But first, let us explain why you shouldn’t hire us. If you’re looking for an advisor who will pitch shiny object investments or be a “yes man” you are in the wrong place. Why? Because we believe in being truth tellers and only giving advice that we take ourselves. The investments, strategies, and planning we do are all things our advisors do with their own money. If you are an athlete or entrepreneur interested in things like lowering your tax bill, investing smarter, and finding a trusted partner, we might be a good fit. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation. Moment Private Wealth

Most MLB players know the number six. Six years of service time gets you to free agency. That number gets talked about constantly. Agents track it. Teams manipulate it. Players build their entire early career around it. The number that doesn't get nearly enough attention is 43. Forty-three days of MLB service time is the threshold that determines whether a player walks away from professional baseball with a pension benefit for the rest of his life, or walks away with nothing. I've spent my career working with professional baseball players on exactly this. I've had the conversation too many times where a player or his family asks whether he qualified for the pension, and the answer comes down to a handful of days. That's a conversation nobody should be having after the fact. This guide breaks down everything MLB players and their families need to know about the MLB pension, how it works, and what it's actually worth. What Is the MLB Pension? The MLB pension plan dates back to 1947. It is the longest-running pension plan in professional sports and one of the best employer-sponsored pension plans in the country. The plan is negotiated through the Collective Bargaining Agreement between MLB owners and the MLBPA. Every player who qualifies receives a monthly payment for the rest of his life. The word "qualifies" holds a massive amount of importance. For more information on how the pension works, be sure to check out our piece, Everything You Need To Know About MLB Pensions How Qualifying Works: The 43-Day Rule To receive any pension benefit at all, a player must accumulate at least 43 days of MLB service time. Service time counts when a player is on the active 26-man roster or the MLB injured list. Days spent in the minor leagues do not count. Forty-three days equals one quarter of a full year of service. A full year is 172 days. The pension builds in quarters. Each quarter a player earns adds to his lifetime benefit. The plan maxes out at 40 quarters, or 10 years of service time. Here is what the pension is worth at full retirement age (62) based on 2026 figures: MLB Service Time Annual Pension Benefit (Age 62) 43 days (1 quarter) $7,250 per year 172 days (1 year) $29,000 per year 5 years $145,000 per year 10 years (maximum) $290,000 per year These numbers increase every year. The MLBPA projects an annual cost of living adjustment of approximately 1.8%, which means a $100,000 pension benefit becomes $101,800 the following year. At Moment Private Wealth, we run specific calculations for each player on when it makes the most sense to start taking pension benefits based on their full financial picture. Early Access at Age 45 Players do not have to wait until age 62 to collect. The pension can be accessed as early as age 45, but taking it early comes with a permanent reduction. A player with 10 years of service who waits until age 62 collects $290,000 per year. That same player who starts taking it at 45 collects approximately $91,500 per year. That's a $198,500 annual difference. The right answer depends on a player's overall retirement plan. There is no universal rule. But it is a decision that needs to be made with a full picture of everything else in place, not in isolation. Health Benefits: A Separate Threshold The pension is not the only benefit tied to service time. Health coverage is a different calculation entirely. A player earns access to the MLB health care plan the moment he is added to the 40-man roster. That coverage is active while he is in the league. After four years of MLB service time, a retired player has the option to stay on the MLB health plan in retirement. The player pays the premiums himself, but the plan itself is one of the best available anywhere. For most retired players, it is significantly better than anything they could find on the open market. Health care is one of the most overlooked post-career expenses in athlete financial planning. Four years of service time changes that picture. What 43 Days Is Actually Worth Over a Lifetime Players sometimes hear $7,250 per year and think it's not that much. Run the numbers. A player who earns one quarter of service time at age 25 and starts collecting at age 62 has 20-plus years of payments ahead. With the 1.8% annual COLA adjustment compounding over that period, the lifetime value of a single quarter of service time is well into six figures. Multiply that by two quarters, three quarters, or more. Every day of service time has a dollar figure attached to it. Less than 10% of MLB players ever reach the 10-year maximum. That makes the value of every quarter even more important. Most players are building a partial pension, and the difference between 10 quarters and 14 quarters is not a small number over a lifetime. The Survivor Benefit: A Decision Most Players Aren't Ready For When a player retires and begins the pension election process, one of the most important decisions he makes is whether to elect a survivor benefit. The survivor benefit allows a portion of the pension to continue to a surviving spouse after the player's death. Electing it reduces the player's own monthly payment in exchange for that continued protection. This is not an automatic election. A player has to choose. And very few players are walking into that decision with a proper plan in place. The right choice depends on the player's age, health, overall financial picture, and family situation. It is one of the most consequential long-term financial decisions a retired player makes, and it needs to be handled with care. The Pension Is One Piece of a Larger Plan A pension is not a retirement plan. Even at $290,000 per year, the pension alone is not enough to sustain the lifestyle most players build during their career. And for players who collect well under the maximum, it is even more important that the rest of the plan is built correctly. At Moment Private Wealth, we work with MLB players on income planning, tax planning, risk management, estate planning, and investment management. The pension fits into all of it. We look at when to take it, how it interacts with other income sources, and what role it plays in a player's overall retirement picture. For more information on how we work with our athlete clients, make sure you read The Moment Guide To Financial Planning For Professional Athletes Someone has to be thinking about all of this before the career ends. What Players and Families Should Be Doing Now Know your service time number. Your agent has it. If you don't know it, that changes today. Understand the threshold you're chasing. If a player is at 30 days of service time, everyone around him should know that 43 is the target. Don't wait to build the plan. Whether a player hits the minimum threshold or 10 years, the financial planning conversation needs to start before the career is over. Get the right team in place. The agent handles the contract. The attorney reviews it. The financial planner, as a CFP, builds the plan around it. If those three aren't working together, things fall through the cracks. That is exactly how we work at Moment. We coordinate directly with a player's agent and CPA so nothing gets missed. If you are an MLB player, a minor leaguer working toward the big leagues, or a parent trying to understand how all of this fits together, schedule a call with our team. At Moment, our mission has stayed the same since day one. To build the firm we wanted for athletes. One with a singular focus on the people we know best. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. What counts as MLB service time toward the pension? Days spent on the active 26-man roster and the MLB injured list both count. Days in the minor leagues do not count toward MLB service time. Can a player collect the pension before age 62? Yes. Players can begin collecting as early as age 45 with a permanently reduced benefit. The full benefit is available at age 62. The right timing depends on each player's full financial picture. What if a player never played a full season? If a player accumulated at least 43 days of MLB service time, he qualifies for a pension benefit. The amount is smaller than players with more service time, but the lifetime benefit is real and worth planning around. What is the pension worth at the minimum threshold? In 2024, one quarter of service time (43 days) earns a player $6,875 per year at full retirement age of 62. That amount increases approximately 1.8% per year with the COLA adjustment. What is the survivor benefit and how does it work? The survivor benefit is an optional election that allows a portion of the pension to continue to a surviving spouse after the player's death. Electing it reduces the player's own monthly payment. This decision should be made with proper planning, not defaulted into. How does Moment Private Wealth help MLB players with this? We work with players to understand their service time, calculate their pension benefit, and build a complete financial plan where the pension is one piece of a much larger picture. We also work directly with agents and CPAs so everyone is aligned and nothing falls through the cracks. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

You built something real. Revenue is up. Your business runs without you micromanaging every decision. By every external measure, you've made it. But here's the question most entrepreneurs never stop to honestly answer: when the business stops, what do you actually have? This is the core challenge of retirement planning for business owners, and it's one of the most common financial blind spots we see at Moment Private Wealth. High earners who have been generating serious income for years, sometimes decades, but have little to show for it outside the business itself. If you want to learn more With greater income comes greater responsibility. Business owners who fail to structure their finances correctly don't just miss opportunities; they leave serious money on the table. Having the right financial team isn't optional. It's the difference between building real wealth and simply earning a high income. If you want to learn more, here is Moment's Guide To Retirement For Entrepreneurs . In this blog, we're going to break down exactly why this happens, what the IRS is actually offering entrepreneurs in terms of tax-advantaged retirement savings, and what a real plan looks like. The numbers might surprise you, both how far behind many business owners are and how quickly that gap can close with the right structure. Person Wealth VS. Business Wealth This is the distinction that changes everything once you truly internalize it, and it's the core reason most high-income business owners arrive at retirement underprepared. When you reinvest profits back into the business, you are building business value. That's a good thing. But it is also a concentrated bet, a bet that when the time comes, you will be able to sell the business, extract that value, and live comfortably on what's left after taxes, deal fees, and the reality of what buyers are actually willing to pay. Personal wealth is different.  It is what you own independently of whether the business succeeds, sells, or survives. It's the retirement account growing while you sleep. It's the investment portfolio that doesn't care if you lose your biggest client. It's the financial foundation that lets you make business decisions from a position of strength, not desperation. Most business owners spend 90% of their financial energy building one and almost no energy building the other. Your Wealth Building Machine Think about it in terms of compounding. Two business owners, both earning $500,000 per year. One starts aggressively funding a Solo 401(k) at age 35. The other starts at age 48. Assuming a 7% average annual return, by age 65, the difference in that single account can exceed $4.5 million, from the same annual contribution. Missing years of tax-advantaged contributions is not a minor issue. It is one of the most consequential financial decisions a business owner can make, even when it doesn't feel like a decision at all. The Service Time Equivalent for Business Owners: Contribution Years Just like MLB service time determines a player's pension benefits, contribution years  determine the foundation of a business owner's retirement. Every year you're eligible to max a retirement plan and don't is a year you can't get back. Here's what that looks like in practice. The three biggest retirement benefits available to business owners are: Tax-deferred growth through a Solo 401(k) or SEP-IRA Tax-free growth through a Roth 401(k) (available inside a Solo 401(k)) Dramatically accelerated contributions through a defined benefit or cash balance plan Contribution Limits These numbers are significant. A business owner in the 37% federal bracket who maxes a Solo 401(k) is saving $26,640 in federal taxes in a single year , money that stays invested and compounds rather than going to the IRS. The right plan depends on your business structure, income, and whether you have employees. Contribution limits vary meaningfully between an S-Corp and a sole proprietorship. Solo 401(k) vs. SEP-IRA: Which Is Right For You? Both are powerful. But they are not the same, and the right choice depends on your business structure and income. Solo 401(k) Best for sole proprietors, single-member LLCs, and S-Corp owners with no full-time W-2 employees (other than a spouse). The Solo 401(k) allows both an employee deferral and an employer profit-sharing contribution, making it the most powerful savings vehicle available for most self-employed business owners. Most business owners don't realize their Solo 401(k) can include a Roth designation on the employee deferral portion. This is one of the most underutilized planning tools available to high-income entrepreneurs, and it works differently from a Roth IRA in one critical way: there are no income limits. A Roth IRA contribution in 2026 phases out at $153,000 for single filers and $242,000 for married filing jointly. Most of our clients are well above those thresholds and cannot contribute to a Roth IRA directly. But a Roth 401(k) has no income limit whatsoever. Any business owner with a Solo 401(k) can designate their employee deferral, up to $24,500 in 2026, as Roth contributions. The trade-off: Roth contributions are made with after-tax dollars, so you give up the immediate tax deduction. But the growth and all qualified distributions in retirement are completely tax-free, including decades of compounding on a potentially large balance. For business owners who expect to be in a high tax bracket in retirement, or who want tax diversification across their accounts, the Roth 401(k) is worth a serious look. SEP-IRA Simpler to administer, but structurally less powerful for most high earners. The SEP-IRA only allows employer contributions, no employee deferral. This limits total contributions at lower net income levels compared to the Solo 401(k). What Happens After You Max Out Your Retirement Accounts? Maxing your Solo 401(k) at $72,000 is a significant accomplishment, but for many high-income business owners, it's not enough. If you're earning $500,000, $750,000, or more per year, tax-advantaged accounts alone will not get you to retirement .  The math simply doesn't work on the timeline most entrepreneurs need. This is where a taxable brokerage account becomes one of the most important tools in your financial plan, and one of the most overlooked. The Taxable Brokerage Account: Your Wealth-Building Layer A taxable brokerage account has no contribution limits, no income restrictions, and no rules about when you can access your money. You can invest as much as you want, in whatever you want, and withdraw at any time without a penalty. For a high-income business owner who has exhausted their tax-advantaged options, it is the natural next layer of a complete wealth strategy. The tax treatment is also more favorable than most people realize: •        Long-term capital gains, investments held longer than one year, are taxed at 0%, 15%, or 20%, depending on your income, far below ordinary income tax rates •       Qualified dividends are taxed at the same preferential long-term capital gains rates •       Tax-loss harvesting allows you to strategically offset gains by selling underperforming positions, reducing your tax bill while keeping your portfolio on track •       Unlike a traditional IRA or 401(k), there are no required minimum distributions (RMDs) forcing you to withdraw on the government's schedule   The right investment strategy inside a taxable account matters. Tax-efficient funds, asset location strategy, and disciplined rebalancing all play a role in keeping more of your returns. This is not a set-it-and-forget-it account; it is an active part of your overall tax and wealth plan . What a Real Retirement Plan for a Business Owner Actually Looks Like A real plan is not a retirement calculator from a website. It is not a rough idea that you'll figure out when the time comes. A real plan answers four specific questions: •       How much do I need to retire and maintain my lifestyle? •       What do I currently have outside the business working toward that number? •       What is the gap, and what does the business sale realistically contribute? •       What specific accounts, contribution targets, and milestones close that gap on my timeline?   A critical piece of that plan is an honest business valuation. Business owners almost always overestimate what their company is worth on the open market, and underestimate the taxes, deal fees, and earnout risk that reduce the net proceeds. A plan that relies entirely on a business sale is a plan with enormous risk built in. The businesses we see sell cleanly and at strong valuations are almost always the businesses whose owners didn't need to sell. They had personal wealth built outside the business, which meant they could be patient, selective, and negotiate from strength. If you are a business owner who wants a clear answer to what retirement actually looks like for you, schedule a call, and talk with a Moment founder. For more on taxes for business own related to business owners, check out this video here . Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. Are you a fiduciary? Moment Private Wealth serves clients as a fidu ciary 100% of the time. Does Moment help set up a Solo 401(k)? Yes. We can open the account for you and coordinate everything, from selecting the right plan structure for your business to ensuring contributions are set up correctly from day one. Does Moment help with tax planning ? Yes. We provide year-round tax planning and work closely with your CPA to make sure your investment strategy and tax strategy are working together, not against each other. Why should I consider hiring Moment Private Wealth? Great question! But first, let us explain why you shouldn’t hire us. If you’re looking for an advisor who will pitch shiny object investments or be a “yes man” you are in the wrong place. Why? Because we believe in being truth tellers and only giving advice that we take ourselves. The investments, strategies, and planning we do are all things our advisors do with their own money. If you are an athlete or entrepreneur interested in things like lowering your tax bill, investing smarter, and finding a trusted partner, we might be a good fit. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

Name, Image and Likeness (NIL) has created a massive financial opportunity for college athletes. But with that comes outside pressure, added complexity and the importance of getting this "financial thing" right on the up front. As a college athlete today, you are navigating: Endorsement Deals NIL Collectives Revenue-Sharing Agreements Business Income Contract Compliance Not to mention finding an agent, the right financial advisor and making sure you build a circle of people you can trust. For you and most college athletes, this is the first time in your life you are earning significant income. And without the right guidance, that could all go away as quickly as it came in. In today's blog, I am going to outline the most important things your NIL Advisor should be doing for you and how to think about wealth management as an athlete . Advisors for NIL Athletes Understanding the True Value of NIL Income Most athletes we work with focus on the headline number of their NIL deal. That is a natural instinct. Think about it...schools are offering you life changing money at the age of 18. I would be caught up in the number too. But it is important to remember the amount that is listed in your contract is not the number you take home. News flash...it is going to be a lot smaller than you think. So then how should you be thinking about it? Well, it is first important to understand that NIL income is taxable income. But unlike a typical salary, this is reported as 1099 income . That means taxes are not automatically withheld. This is the first thing any advisor you work with should explain to you. Any good NIL advisor helps you understand: Net Income After Taxes Contract Structure Payment Schedules Long-Term Financial Implications These are table stakes for any collegiate athlete. And that starts with understanding the true value of your NIL income. Build the Right Tax Strategy Understanding how NIL income is taxed is only the first step. The next step is building a strategy to manage the taxes that come with it. The challenge is that nothing is automatically withheld from this income to cover your future tax bill. One of the biggest financial mistakes we see NIL athletes make is underestimating how much they will owe in taxes. Unlike a traditional job, NIL income is treated as self-employment income , meaning athletes may owe federal taxes, state taxes, and self-employment taxes. Uncle Sam is going to get his fair share, whether you plan for it or not. Any good financial advisor should help you with the following: Quarterly Estimated Tax Payments Deductible Business Expenses (if applicable) Coordination with your CPA This alone can save you tens of thousands of dollars in taxes. When it comes to finding the right financial advisor, these should be things they are discussing with you before money even starts hitting your account. If you are questioning whether you need a financial advisor, check out this video ...I think it will change your perspective pretty quickly. And this leads to one of the most important mindset shifts NIL athletes need to make. Treat Your NIL Like a Business Believe it or not, your are your own business now. Name, Image, and Likeness income is essentially entrepreneurial income. I know that may sound strange, but it's true. Any good financial advisor will help you build the proper structure around "your business." Here's how... The first and most common step is creating a LLC. But not just any LLC. Your financial advisor should help you create a LLC... taxed as a S-Corp. The “taxed as an S-Corp”  part is extremely important. Let me show you why. LLC Taxed as a S-Corp Imagine you earn $1,000,000 in NIL deals this year. If that income simply flows to you personally, the IRS treats it as self-employment income. Which means the income is subject to self-employment tax. Self-employment tax is made up of two parts: 12.4% Social Security tax 2.9% Medicare tax That’s 15.3%. However, the Social Security portion only applies up to the wage limit (around $170,000 depending on the year). So before we even talk about federal or state income tax, you would owe roughly: $55,000 in self-employment tax alone. That’s the cost of running your NIL brand without the proper structure. Now let’s look at what happens when your NIL income flows through an LLC taxed as an S-Corp. Instead of all $1,000,000 being treated the same, the income gets split into two buckets. First, you pay yourself a reasonable salary. Let’s say that salary is $250,000. Payroll taxes apply to that salary just like a normal job. But the remaining $750,000 can be paid to you as a distribution from the S-Corp. And here’s the key: Those distributions avoid self-employment tax. So instead of paying about $55,000 in self-employment tax, you might only pay around $30,000. That’s a potential tax savings of around $25,000. Again, as a collegiate athlete, navigating this correctly can be a game-changer. Your Financial Quarterback Coordinate the Right Professional Team We've established the true value of your NIL income, built a tax strategy, started treating your NIL income like a business... Now what? Your professional team is more than just your internal family now. And as a business, that starts with the right financial advisor...a financial advisor that works specifically with individuals in your shoes. But beyond that, your financial advisor should serve as your financial quarterback . That means controlling everything in your life with a dollar sign in front of it. Cash Flow Planning Tax Planning Risk Management Estate Planning Investment Management One of the biggest misconceptions athletes have is thinking their agent handles everything. Agents negotiate deals. But a good NIL advisor helps coordinate the entire financial team around you. That includes: CPAs Attorneys Insurance Specialists Agents Marketing Representatives NIL income creates legal, tax, and financial complexities that require multiple professionals working together. That all starts with a strong financial advisor acting as your financial quarterback, making sure everyone is aligned and that decisions are made with your long-term financial interests in mind. Without coordination, things can fall through the cracks. It would be in your best interest to have someone you can call that understands your entire financial picture if something were to happen. Turn Short-Term NIL Money Into Long-Term Wealth History shows most athletes will never make it to the highest level of their sport. The reality is that you may only earn NIL income for a short period of time. Only the man above knows what your future holds. But the right financial advisor plans for the worst while helping you get ahead of 99.9% of people your age . And you have the greatest superpower when it comes to building financial security: Time. Starting early is one of the most powerful advantages you have. That’s why a good financial advisor helps athletes start investing while they are still in college. And in return, it can open the door to powerful tax-advantaged accounts like: • Roth IRAs • Solo 401(k)s • SEP IRAs These accounts allow athletes to reduce taxes, grow investments tax-free or tax-deferred, and start building long-term wealth early. For example, a successful NIL athlete could potentially contribute tens of thousands of dollars per year into retirement accounts depending on their income and business structure. That kind of early investing creates a massive long-term advantage. The goal is simple. Turn short-term NIL money into lifetime financial security. If you want more specific tips on how to do this, check out The Moment Guide to NIL & Revenue Sharing . Final Thought Name, Image, and Likeness has fundamentally changed collegiate sports forever. You now have the ability to earn life changing money at the age of 18. But with that comes the responsibility of taking care of it. Hiring your financial advisor may make or break your future financial security. And their job is to help you build a financial foundation that lasts long after your college days are over. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How does Moment Private Wealth help college athletes? Moment works to help athletes ensure they have the proper professional on their team first. The second step is helping educate athletes about what they should be considering. The third step is helping athlete implement the necessary strategies, planning, and investment to maximize their NIL earnings. How are the earnings taxed? All of the field income is taxed as 1099 or self-employment income. How does Moment Private Wealth make money?   We are only paid in one transparent way, by our clients. We receive no kickbacks or participate in any profit-sharing arrangements. Our fees are si mple, transparent, and clear for our clients. How are you different than other financial a dvisors? We are specialists in working with professional athletes and entrepreneurs. We limit the number of new clients we take on. This allows us to provide unparalleled value and highly personalized service to professional athletes. We work as a team to service our clients. We believe in building a team of “A” players. This ensures our clients receive world-class tax, estate, insurance, and investment s trategies. We focus on educating first, then executing. How do you work with other members of my team? We believe in the power of the team. For most of our clients, their team consists of Moment Private Wealth, an accountant, an attorney, a banker, and an insurance specialist. We help our clients build out their team of individuals or work with existing partners that clients have. Our goal is to ensure every family has a team of experts to protect their interests. Why should I consider hiring Moment Private Wealth? Great question! But first, let us explain why you shouldn’t hire us. If you’re looking for an advisor who will pitch shiny object investments or be a “yes man” you are in the wrong place. Why? Because we believe in being truth tellers and only giving advice that we take ourselves. The investments, strategies, and planning we do are all things our advisors do with their own money. If you are an athlete or entrepreneur interested in things like lowering your tax bill, investing smarter, and finding a trusted partner, we might be a good fit. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

The NFL Draft is one of the biggest moments in a football player’s life. It is also one of the most misunderstood moments from a financial standpoint. Draft weekend brings headlines, grades, and projections. What matters far more happens quietly over the next several years through contract structure, guaranteed money, tax planning, and long-term financial decisions. For a deeper dive into how we think about Wealth Management, specifically for athletes, make sure you check out our blog here . In this blog, I will break down the NFL Draft from start to finish and highlight what athletes and families should understand before draft weekend arrives. NFL Draft The NFL Draft is the league’s primary method for distributing incoming talent and maintaining competitive balance. The draft consists of seven rounds, with teams selecting eligible college players in an order largely based on the prior season’s standings. Teams that finished lower in the standings generally pick earlier. While draft position impacts opportunity, it also impacts compensation. That is because the NFL uses a league wide rookie wage scale that largely assigns contract values by draft slot. To fully understand the NFL Draft, you need to understand what is fixed, what is flexible, and where players and families can gain clarity before draft night. NFL Draft Eligibility A player becomes eligible for the NFL Draft once they are three years removed from high school. Most prospects enter after three or four college seasons, though eligibility is based on time rather than graduation status. Players must formally declare for the draft to be eligible. Once drafted, a player’s rights belong exclusively to the selecting team. NFL Draft Contracts NFL rookie contracts are governed by the Collective Bargaining Agreement and follow a league wide rookie wage scale. This is important because unlike veteran contracts, rookie compensation is largely predetermined by draft position. All drafted players sign four year contracts. First round picks also include a team controlled fifth year option. The primary area of negotiation in an NFL rookie contract is not how much the contract is worth. It is how much of that contract is guaranteed. As a general rule: First-round rookie contracts are fully guaranteed Most second-round contracts, particularly early second-round picks, are also largely or fully guaranteed As the draft progresses beyond Round 2, guaranteed money declines meaningfully and becomes more concentrated in signing bonuses NFL Rookie Contract Values By Draft Round Because rookie contracts are slotted, compensation follows a predictable pattern by round. As the draft moves forward, total contract value and guaranteed money decline. Below is a simplified round-by-round view of typical rookie contract ranges. Round Approx. Total Contract Value Signing Bonus Round 1 ~$16M–$55M ~$8M–$36M Round 2 ~$7.5M–$13M ~$2M–$6M Round 3 ~$6.6M–$7.2M ~$1.2M–$1.8M Round 4 ~$5M–$5.5M ~$750K–$1.2M Round 5 ~$4.6M–$5M ~$360K–$750K Round 6 ~$4.4M–$4.6M ~$200K–$360K Round 7 ~$4.3M–$4.4M ~$115K–$175K Signing Bonus vs. Salary While total contract value often receives the most attention, signing bonuses represent the most meaningful guaranteed money in an NFL rookie contract. Signing bonuses are typically paid upfront and are not dependent on weekly roster status. Base salaries are earned week to week and can be impacted by roster decisions or injuries. There is also an important tax distinction between signing bonuses and salary that many athletes and families overlook. In general, signing bonuses are taxed based on your state of residency at the time the bonus is paid, not the states where games are played. Base salary, however, is subject to so called jock tax rules and is allocated across the states where games and team activities occur. This difference can materially impact an athlete’s tax bill. For example, establishing residency in a low or no income tax state before a signing bonus is paid can result in significant tax savings compared to being domiciled in a high tax state. Over the course of a rookie contract, that planning decision alone can be worth hundreds of thousands of dollars. From a financial planning standpoint, signing bonuses form the foundation of an athlete’s early career strategy not just because they are guaranteed, but because when and where they are paid matters. Because signing bonuses are taxed based on residency, establishing proper state residency before draft night and before a contract is signed can be one of the most impactful planning decisions an athlete makes early in their career. Why Draft Position Matters Because rookie contracts are predetermined, even small differences in draft position can result in meaningful differences in guaranteed compensation. As draft position moves later, guaranteed money becomes more limited and financial margins tighten. This makes preparation and planning ahead of draft night increasingly important. Understanding how contracts change by round allows players and families to approach the draft with clarity rather than uncertainty. Final Thoughts The NFL Draft is not just a football milestone. It is the starting point of an athlete’s professional and financial life. Draft position sets the structure. Planning determines the outcome. Understanding how rookie contracts work, where guaranteed money comes from, and how compensation changes across the draft allows athletes and families to make better decisions long after draft weekend ends. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How many rounds are there in the NFL draft? In 2026, there are 7 rounds in the NFL draft. How long are NFL rookie contracts? Drafted players sign four year rookie contracts. First round picks also include a team controlled fifth year option. What part of an NFL rookie contract is negotiable? The total contract value is largely determined by draft slot under the rookie wage scale. The primary negotiable component is how much of the deal is guaranteed. Are signing bonuses taxed the same way as salary? In general, signing bonuses are taxed based on your state of residency at the time of payment, while base salary is typically allocated across states where games and team activities occur. How does Moment Private Wealth help MLB draftees? Our role in the draft process is to educate families about the financial elements of the draft and work with the players to maximize their signing bonus. Having walked in the player's shoes we know how hard it is to earn significant money in sports and our goal is to help players make the most of that. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.

The line between amateur athletes and professional athletes is blurred. It used to be: ·       One is paid ·       One is not paid Today it is: ·       Both are paid ·       Each are paid in different ways Welcome to the ever-changing world of amateur sports, where players are (finally) compensated for the revenue they bring to their schools. Something that has taken far too long, but has provided athletes today with financial opportunities not seen by previous players. Those financial opportunities used to all be bundled into three words, NIL. NIL stands for Name, Image, and Likeness and allows athletes to profit off their star power both on and off the field. Today, it has expanded to include the term revenue sharing. Revenue sharing is the process that schools go through to allocate funds from their allocated budget of $20,500,000 towards players. Today's landscape for players includes money coming from both NIL opportunities (think of this as individual things) and revenue sharing (think of this as contracts with the school). With these increased opportunities comes increased responsibility as a player to correctly manage this money. When it comes to athlete wealth management , athletes need to make sure they have a financial team that understands all the details of their situation. In this guide, I break down everything college athletes need to know about maximizing their money moves. I will discuss how taxes work, ways players can maximize their money, and things to look out for. NIL & Revenue Sharing Guide: Contracts The compensation system for college athletes has been the Wild Wild West. Remember, this was entirely new territory just a few years ago. Today, the system has become a bit more regulated, though I would argue perhaps more confusing. Players have two distinct paths when it comes to signing compensation agreements. NIL - These are typically contracts a player signs with a business, and in return for their name, image, and likeness, they are compensated. Revenue Sharing - These are contracts signed directly with the school and based on the ~ 22%, schools can allocate towards athletic programs. To understand what it is like this let's compare these contracts (or offers) to that of a professional sports contract. In professional sports, teams and players work under a collective bargaining agreement. This agreement is one that is agreed to by both the owners (offering the contract) and the players (accepting the contract). Each league, whether it is MLB, NFL, NBA, or the NHL, has unique clauses, structures, and details to their contracts. However, what is consistent is a standard template that must be adhered to. This protects both the ownership group and the players signing the contract. While revenue sharing has elements of a standard process, NIL contracts are still all across the board. Players need to be sure that contracts are just that, contracts, and not just handshake agreements. We have seen players firsthand get burned by deals they thought they had in place, only to find out the money wasn't there. So what do you need to know as an athlete? Not all contracts are created equal It pays to have legal representation You need to understand the pros and cons of an offer Before signing anything, make sure you have protections Look, these contracts are becoming life-changing sums of money. The thing I want you to realize as a player is that this creates an additional responsibility for you to vet these deals. Now look, you don’t have to be the expert here, but you do need to be responsible for what you are signing. I encourage every athlete to run any of these offers past their agent, legal representation, and financial team. This three-pronged approach ensures that you have all of your bases covered. The old adage certainly applies here, trust but verify. This is your career; take ownership of it. Now let's talk money… NIL & Revenue Sharing Guide - Taxes It will be your largest lifetime expense, and it is your responsibility. You are going to hear me say that a lot throughout this guide ~ your responsibility. The reason is simple: I see too many athletes, both amateur and professional, fail to take ownership of their careers. This includes their money. The best outcomes come from taking ownership and combining it with a team specializing in you. Athlete wealth management requires an understanding of how less than .0001% of the population earns money ~ through sports. To understand how to maximize this income, we have to understand how it is taxed. All of this "off the field" income is taxed as 1099 income. This means it is labeled as self-employment income. In simple terms - You as the athlete, are making the money, you are your own little business, thus making it self-employment income. Think about it, you are not working for another company to earn this income, you are working for yourself. 1099 income has several key tax features to understand:   It is subject to self-employment taxes It has unique retirement account options It provides more planning opportunities than traditional (W2) Income Self-Employment Taxes These are taxes imposed by the IRS to cover the costs of Medicare and Social Security. For most W2 earners, they pay one side of this, or 7.65%, while their employer covers the other side of this. For those earning 1099 income, such as NIL money, you cover both sides of this, thus doubling the amount of self-employment taxes paid. That is the bad news, now here is the good news. You can and should be planning around this to minimize this liability. One of the most common ways ($100,000 or more) is by setting up an LLC and electing S Corp tax status. This is something we help many of our college athletes at Moment execute on. The salary you pay yourself is subject to those self-employment taxes, but money above and beyond that is not. Thus saving you a potential 15.3% in self-employment taxes. If you are interested in a deeper dive into tax planning for professional athletes , check out our full guide. Retirement Accounts Ok, so it is not all bad news if you are earning 1099 income. In fact, this type of income allows you to contribute to one of my favorite retirement accounts. A Solo 401(k) Now, a Solo 401(k) is just like a company-sponsored 401(k) except it is restricted to companies that only have one employee (you) and their spouse. The vast majority of college athletes have the ability to open and utilize a Solo 401(k). Here is an example of the power of a Solo 401(k): You are earning $300,000 in NIL money. By maxing out a Solo 401(k) contribution, you reduce your projected taxable income by up to $72,000 (2026 amounts). This could save you north of $20,000 in taxes. Retirement accounts for professional athletes are like a puzzle. To complete the puzzle in the best fashion, you need to start with the core pieces. The Solo 401(k) is that core piece.   Planning Opportunities In 2017, the Trump tax cuts reduced the federal tax rates but also removed many of the deductions athletes (or any W2 earner) could take. Many of those deductions still apply to those earning 1099 income. They include most expenses incurred through earning that income: Legal Fees Agent Fees Travel Costs Remember, you are your own little business, and the tax code in America favors the business owner. NIL & Revenue Sharing Guide – Investments There are a million ways to invest money, but they can all be broken down into two buckets. Ways that work Ways that don’t work In short, the ways that work are often boring, take time, and don’t provide great stories. The ways that don’t…well you can probably figure it out…they make good campfire stories. As an athlete earning off the field income, my recommendation is that you focus on investments that work. You need to treat this money just like we treat money for our professional athletes, as if it could be your last from sports. This means considering the downside of any investment just as much (probably more) than the potential upside. While this guide is not a deep dive into investments, to me, it needs to pass two tests for you to consider it. Test 1 - Does this investment have a track record of working? Test 2 - Does the potential reward equal the amount of risk I am taking? Most investments never pass those two tests, and if they don’t, just move on. Investing is about stacking the odds in your favor. Do that, and you win the game. NIL & Revenue Sharing Guide – Perfect Outcome You need to treat every dollar that you make as if it could be your last from sports. The athletes with the best financial outcomes build this mindset. The reason is simple, you have already defied all the odds to make any money from sports. To keep making money, you have to keep defying the odds. When I think about the athletes who are optimizing this off-the-field income, two words come to mind. Protection - Contracts that protect players' rights and money. Planning - They are proactively planning with a financial team that understands them. Remember, the goal is that NIL income is just the start of your journey to earning money through sports. It is a way for you to start building the habits necessary to maximize further career earnings. Yet, we also must remember it could be your last money earned through sports. The good news is the roadmap doesn’t change, whether it is the beginning or the end of your earning power. If you are a college athlete earning NIL or revenue-sharing money and have questions on how to maximize it, schedule a call with our team. At Moment, our mission has stayed the same since day one. To build the firm that I wanted as a professional athlete. One with a singular focus on helping the people we know the best, athletes and entrepreneurs. Get in Touch With An Advisor Frequently Asked Questions Here are some answers to questions I received frequently about this topic. How does Moment Private Wealth help college athletes? Moment works to help athletes ensure they have the proper professional on their team first. The second step is helping educate athletes about what they should be considering. The third step is helping athlete implement the necessary strategies, planning, and investment to maximize their NIL earnings. What is the first step to take when receiving an NIL or revenue-sharing contract? My recommendation is to ensure you have the contract reviewed by your attorney or agent. Are all contracts the same? No, each contract is unique, and it is important for athletes to understand what they are agreeing to before signing any NIL contract. How are the earnings taxed? All of the field income is taxed as 1099 or self-employment income. What investments should I consider with off-the-field income? Before considering any investments, players should first consider what accounts further optimize potential tax savings. This is like a puzzle, with the planning coming first and the investments coming second. *Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.