Burrow's Contract With Taxes And Other Fees......

[CJD]

Yep. If someone is making $100,000 per year, they're really only making about $75,000 per year and that's before you think about the pre- and post-tax deductions like healthcare, dental, vision, 401k, HSA, life insurance, AD&D/Critical illness insurance etc.

Out of curiosity, I checked my earning statements and taxes (federal, state, local, FICA, medicare) take up about 16 to 19%, depending on how much I choose to withhold (I recently adjusted my W4 because my second child was born, which lowers my tax burden due to credits) and my deductions like insurance, HSA, 401k etc are about 18 to 20%, depending on how much I send to 401k and HSA accounts.

So I'm only making about 61 to 66% of my annual salary in dollars hitting my bank account and, as you said, Joe has additional fees like his agent fees (which I think are set at 3% of the total contract in the NFL.)

He will also be in the maximum tax bracket for a single filer, which is 37% for everything he makes above $578,125 per year, which will be the majority.

So yea, I think 50% is a pretty reasonable estimate as to what he will make on any contract he signs.