Ohio Football Topic
Topic: Coaches pay may negate tax exempt status
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giacomo
1/11/2022 10:47 PM
https://www.bloomberg.com/news/articles/2022-01-11/democr...

It was just a matter of time. Pay a coach 95M and call yourself non profit??
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TWT
1/12/2022 12:49 AM
I see he didn't target Nick Saban who might actually be worth the money. Coach K in basketball I believe was paid in the 10 million per year neighborhood. But Cristobal earning $99 million at Miami Fl after losing his job at FIU raises some eyebrows. How is he now worth 100x more than a few years ago?
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TWT
1/12/2022 12:55 AM
Kiffin I thought was bad going to 7.25 million but Mississippi law limits the extension to 4 years so its only $30 million and total. He was promoted up to Ole Miss after winning at FAU at least instead of canned like Cristobal at FIU.

https://www.redcuprebellion.com/2021/12/6/22821313/ole-mi...
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OhioCatFan
1/12/2022 9:50 AM
I don't think market values are the issue here. It's just the level of these salaries -- totally out of line for a non-profit institution. This house of cards is about to implode.
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Mike Johnson
1/12/2022 11:15 AM
giacomo wrote:expand_more
https://www.bloomberg.com/news/articles/2022-01-11/democr...

It was just a matter of time. Pay a coach 95M and call yourself non profit??
Non-profit compensation can be generous. But non-profit status is only jeopardized if compensation is deemed excessive - which isn't clearly defined. It was some years ago when United Way's status was jeopardized because of what was deemed excessive compensation to its leader.
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BillyTheCat
1/12/2022 11:15 AM
OhioCatFan wrote:expand_more
I don't think market values are the issue here. It's just the level of these salaries -- totally out of line for a non-profit institution. This house of cards is about to implode.
What people are missing is the NON-Profit doesn't mean the organizations do not make money, in some cases ridiculous sums of money. There are quite a few non-profits who pay their CEO over $2Million
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Pataskala
1/12/2022 10:12 PM
BillyTheCat wrote:expand_more
I don't think market values are the issue here. It's just the level of these salaries -- totally out of line for a non-profit institution. This house of cards is about to implode.
What people are missing is the NON-Profit doesn't mean the organizations do not make money, in some cases ridiculous sums of money. There are quite a few non-profits who pay their CEO over $2Million
The misnomer here is "non-profit." Instead, these are "not-for-profit" ventures, which means they aren't INTENDED to make a profit. In the '80s and '90s I worked for a not-for-profit trade association that made bundles of money each year through its annual trade show, which was one of the largest in the country. They earned a tidy profit, a good chunk of which went for exec bonuses, and even the underlings got nice bonuses because for most their regular pay was tied to wage rates for similar federal jobs, which usually lag behind private sector pay for the same jobs. There was usually some left over at the end of the year, and there were limits on what could be earned through such side activities. But so long as it was funneled back into the organization for equipment, etc., the IRS never raised questions.
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colobobcat66
1/12/2022 10:14 PM
It does seem that whether a university is private rather than a state supported one makes a little difference in a way to me, but that’s really a different issue versus the non profit issue I guess.
Last Edited: 1/12/2022 10:15:28 PM by colobobcat66
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giacomo
1/13/2022 9:24 AM
This is why the players have their hands out. Can you blame them?
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