NIL
WEALTHSTRATEGIES

Understanding NIL Income & Tax Responsibility

NIL income works differently than a traditional paycheck. Most athletes are paid through 1099-NEC agreements, which means taxes are not automatically withheld. Instead, the responsibility to understand tax obligations, set money aside, and file on time falls on the athlete.

Without clear guidance, this often leads to confusion, missed deadlines, and unexpected tax bills — especially for first-time filers or during income changes.

Areas of Focus

  • Income Types & Tax Responsibility

    Most NIL and self-employed income does not have taxes withheld automatically. We help athletes understand the types of income they receive, when taxes are owed, and why planning ahead matters.

  • Organization & Filing Readiness

    Many tax issues stem from lack of organization or unfamiliarity with the filing process, especially for first-time filers or during income changes. We help athletes understand what documents matter, how to stay organized, and how to prepare for filing before deadlines become an issue.

  • Understanding Business Structures

    Athletes often hear about LLCs or S-corporations without understanding how they work. We provide clear, high-level explanations of common business structures and how they affect taxes, including how income is treated and what responsibilities come with different setups.

  • Long-Term Decision Context

    A clear understanding of taxes and income structure helps athletes and families better evaluate financial information, recognize misleading advice, and engage confidently with qualified professionals over time.

How We Support Athletes

NIL Wealth Strategies provides education, planning insight, and coordination support related to federal tax responsibilities. We help athletes anticipate obligations, stay organized, and ask the right questions as income grows.

We do not provide legal services or replace a CPA or attorney. When needed, we help coordinate with licensed professionals and ensure athletes understand the decisions being made.

Education Is Always the Starting Point

Educational resources, guides, and explanations are provided to help athletes and families gain clarity and confidence around their financial responsibilities.

Additional support is offered only when appropriate and aligned with an athlete's specific situation.

We help athletes and families understand NIL taxes early — including the difference between W-2 and 1099-NEC income, what to set aside, key deadlines, and what counts as taxable income.

This guidance helps you stay organized, avoid penalties, and make smarter decisions so NIL income doesn't turn into tax problems later.

Continue Learning

For athletes and families who want a clearer understanding of NIL income, tax responsibilities, and common mistakes to avoid, we provide educational resources designed to explain these topics in plain language.

You can review the information on your own or reach out if you have questions about your specific situation.

Download the Tax Education Guide

A clear, easy-to-follow overview covering NIL income, 1099-NEC taxes, organization basics, and structure awareness — designed for athletes and parents.

View Tax Guide

Have questions or need clarification?

If you'd like to discuss how tax education and income clarity apply to your situation, you're welcome to get in touch.

Get in Touch