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COMPLIANCE & LEGAL EDUCATION

Navigate NIL with Confidence

Everything you need to know about NCAA rules, state laws, taxes, and contracts—explained in plain English

Important Disclaimer

This educational content is for informational purposes only and does not constitute legal advice. NIL rules vary by state, school, and conference. Always consult your school's compliance office and consider seeking professional legal counsel before signing any deals.

NCAA Rules & Guidelines

What's Allowed

  • Use Name, Image, Likeness

    Profit from your own NIL in advertisements, endorsements, appearances

  • Sign with Agents/Advisors

    Hire representation for NIL deals (check state rules)

  • Social Media Monetization

    Earn from sponsored posts, YouTube, TikTok, etc.

  • Group Licensing

    Video games, trading cards (with proper agreements)

  • Camps & Lessons

    Run your own training sessions or camps

What's NOT Allowed

  • Pay-for-Play

    Cannot be paid based on athletic performance or as recruiting inducement

  • School Marks/Logos

    Cannot use school trademarks without permission

  • Prohibited Products

    Alcohol, tobacco, cannabis, gambling, adult entertainment

  • Conflicting Sponsors

    Cannot conflict with school's existing sponsorships

  • Quid Pro Quo

    Deals cannot be tied to enrollment or transfer decisions

Key NCAA Policies to Remember

Disclosure Required

You must disclose all NIL activities to your school's compliance office, typically within 7 days of signing a deal

No Class/Practice Conflicts

NIL activities cannot interfere with academic or athletic obligations

Eligibility Protection

Violating NIL rules can result in loss of eligibility and forfeiture of games

Conference Rules Vary

Your conference (SEC, Big Ten, etc.) may have additional restrictions

State-by-State Laws

Important: NIL laws vary significantly by state. Some states have permissive laws, while others have strict limitations—especially for high school athletes.

GamePlan's Eligibility Engine automatically checks your state's rules and only shows you compliant opportunities.

Permissive States

Few restrictions, high school NIL allowed

• California

• Texas

• Florida

• New York

+ 36 more states

Moderate States

Some restrictions, high school rules vary

• Illinois

• Michigan

• Pennsylvania

+ several others

Restrictive States

High school NIL prohibited or limited

• Ohio (OHSAA ban)

• Kentucky

• Wisconsin

+ a few others

Not Sure About Your State's Rules?

Use our Eligibility Engine to see what's allowed in your location

High School NIL Rules

High school NIL is the most complex area with huge variations between states. Here's what you need to know.

High School = Different Rules

Even if your state allows high school NIL, your school's athletic association might ban it. Always check BOTH before accepting any deals.

GamePlan's Eligibility Engine automatically checks your state + association rules

Allowed

40+ States

High school athletes CAN earn NIL income

Examples:

California - Very permissive

Texas - Allowed with disclosure

Florida - Allowed, few restrictions

New York - Allowed since 2023

Georgia - Allowed with limits

Illinois - Recently allowed

Still requires school disclosure

Limited

Some States

Allowed but with significant restrictions

Common Restrictions:

• Can't use school name/logo

• Can't wear uniform in deals

• Must get school approval first

• No deals during season

• Geographic limitations

• Dollar amount caps

Rules change frequently - check often

Banned

~10 States

High school NIL is prohibited

States with Bans:

Ohio - OHSAA ban

Kentucky - KHSAA ban

Wisconsin - WIAA ban

Vermont - Not allowed

Iowa - Restricted

+ a few others

Wait until college to earn NIL

High School vs. College NIL: Key Differences

Rule High School College
Permissibility Varies by state + association Allowed nationwide
School Logo Use Usually BANNED Requires permission
Uniform in Deals Usually BANNED Check conference rules
Parental Consent REQUIRED (under 18) Not required (18+)
Disclosure to School Required in most states Required
Penalties for Violation Loss of eligibility Loss of eligibility

DO's for High Schoolers

  • Check Your State First

    Use GamePlan's Eligibility Engine before accepting ANY deal

  • Get Parent Approval

    If you're under 18, parents MUST co-sign contracts

  • Disclose to Athletic Director

    Tell your AD before signing—transparency prevents issues

  • Use Personal Accounts Only

    Post NIL content on YOUR social media, not team accounts

  • Keep It Simple

    Start with small, local deals—test the waters first

DON'Ts for High Schoolers

  • Don't Assume It's Legal

    Just because your friend does it doesn't mean it's allowed in YOUR state

  • Don't Wear Your Uniform

    Almost always banned—wear personal clothes in brand content

  • Don't Use School Name/Logo

    "Lincoln High point guard" = risky. Use your name only.

  • Don't Hide Deals from Coaches

    Coaches finding out later = trust issues + potential violations

  • Don't Sign Long Contracts

    You'll be in college soon—keep deals short (3-6 months max)

For Parents of High School Athletes

Your Legal Role

  • • You MUST co-sign all contracts (athlete under 18)
  • • You're legally responsible for contract terms
  • • You must ensure compliance with state laws
  • • You're liable for taxes on athlete's earnings

Questions to Ask Before Signing

  • • "Is this legal in our state?"
  • • "Does this violate school rules?"
  • • "Will this affect college eligibility?"
  • • "What are the tax implications?"

Transitioning from High School to College NIL

If you currently have high school NIL deals and you're going to college, here's what happens:

Existing Deals

Most high school deals should END before college enrollment. Check contract terms carefully.

College Compliance

Your NEW school's compliance office will review all deals. Disclose everything on day one.

More Freedom

College NIL is much more permissive—you'll have more opportunities and fewer restrictions.

Tax Guide for NIL Income

NIL income is taxable. Here's everything you need to know to avoid surprises at tax time.

The $4,200 Surprise

If you earn $12,000 in NIL deals and don't set money aside for taxes, you could owe $4,200 at tax time (35% effective rate for self-employment + income tax).

GamePlan Solution: Our GamePlan Card automatically withholds 30% and transfers it to your savings—so you're never caught off guard.

What You'll Owe

Federal Income Tax

10-37%

Based on your total income bracket

Self-Employment Tax

15.3%

Social Security + Medicare (on first $160K)

State Income Tax

0-13%

Depends on your state (TX, FL have 0%)

Effective Rate: 25-40% total

Smart Tax Strategies

  • Set Aside 30% Immediately

    GamePlan Card does this automatically

  • Track All Expenses

    Content creation costs, travel, equipment—all deductible

  • Pay Quarterly Estimated Taxes

    If you earn $1K+, pay IRS every 3 months

  • Hire a CPA

    Worth it if you earn $5K+ to maximize deductions

  • Keep Records for 3 Years

    All contracts, payments, receipts—IRS can audit

Common Deductible Expenses

Content Creation

  • • Camera/phone equipment
  • • Editing software subscriptions
  • • Props and backgrounds
  • • Lighting equipment

Business Expenses

  • • Agent/advisor fees
  • • Legal/accounting fees
  • • Business insurance
  • • Website/social media tools

Travel & Events

  • • Mileage to appearances
  • • Hotel for events
  • • Meals (50% deductible)
  • • Parking/tolls

Important Tax Deadlines

Apr 15

Q1 Estimated Tax

Jun 15

Q2 Estimated Tax

Sep 15

Q3 Estimated Tax

Jan 15

Q4 Estimated Tax

Contracts 101

Never sign anything you don't understand. Here's what to look for in every NIL contract.

Compensation

How much you'll be paid and when

Look for:

  • • Exact dollar amount
  • • Payment schedule (upfront vs. milestones)
  • • Bonuses or incentives
  • • Who pays taxes (usually you)

Deliverables

What you're required to do

Look for:

  • • Number of posts/appearances
  • • Specific platforms (IG, TikTok, etc.)
  • • Deadlines and timelines
  • • Approval process for content

Term & Exclusivity

How long the agreement lasts

Look for:

  • • Contract length (avoid multi-year)
  • • Auto-renewal clauses (red flag)
  • • Exclusivity restrictions
  • • Termination rights

Usage Rights

How brand can use your content

Look for:

  • • Where content can be used
  • • Duration of usage rights
  • • Whether they can edit/modify
  • • Transfer of ownership (avoid)

🚨 Contract Red Flags

No Payment Terms

If compensation isn't clearly stated or says "TBD," don't sign

Perpetual Rights

"Forever" or "in perpetuity" means they own your content forever—negotiate limits

Vague Deliverables

"As many posts as needed" gives them unlimited power—get specific numbers

Broad Exclusivity

"No other endorsements" blocks all future deals—limit to direct competitors only

No Termination Clause

You should be able to exit if brand doesn't pay or acts unethically

Verbal-Only Agreement

ALWAYS get it in writing. Verbal promises are unenforceable

Negotiation Tips

Things You CAN Negotiate:

  • Payment amount and timing
  • Number of posts/appearances
  • Contract length (shorter is better)
  • Exclusivity scope (narrow it down)
  • Usage rights duration

Questions to Ask:

  • "What happens if I transfer schools?"
  • "Can I work with [competitor]?"
  • "Do I get approval before content goes live?"
  • "What if I can't meet a deadline due to games?"
  • "Can I get this reviewed by my compliance office?"

Never Review Contracts Alone

GamePlan's AI Playbook tool reviews contracts and flags red flags automatically—plus connects you with legal help when needed