Colleges are raising tuition fees to pay athletes

College students are increasingly being asked to help pay the Piper—last name Williams, an incoming five-star 6-ft-5 women’s basketball center from Bloomington.

The University of South Carolina last week announced a new $300/year athletics auxiliary fee will be added to students’ tuition bills, following a similar move by rival Clemson in October. Other universities are also looking into adding or increasing athletics-focused tuition fees, according to college sports officials and insiders.

The driving factor: The recently approved House v. NCAA settlement, effective July 1, which includes changes expected to result in a multimillion-dollar hit to schools’ bottom lines:

• The settlement establishes revenue sharing with athletes. D1 schools will be able to pass on a max of $20.5 million to players in 2025-2026, with this figure increasing 4% YoY for at least the first three years afterward.
• Colleges will be able to offer more scholarships across sports, a change expected to add ~$29 million/year in costs.
• The NCAA will be decreasing the amount it pays to the 350+ D1 schools annually.

To make the math math and stay competitive: Athletic departments are looking to juice their incomes, whether by securing additional school funds, charging extra fees on tickets/concessions, or trying to plop QR codes on football helmets to solicit donations.

But…These moves may not be well received—and also may not even be enough. The median FBS athletic department experienced a ~$19.3 million budget deficit in 2022, according to NCAA figures.