In the growing world of Name, Image, and Likeness (NIL) deals, the Big Ten and the payment company, PayPal, agreed to a deal that will allow student-athletes to be paid directly through the app. The Big 12 is the other conference to sign the agreement.
With student-athletes able to receive compensation, the agreement will allow the programs, such as the USC Trojans, to pay its students exclusively through PayPal.
“We’re proud to help lead this transformation in college athletics by making it easier and faster for student-athletes to get paid and continue to bring trusted and innovative commerce solutions to the heart of campus life,” PayPal President and CEO Alex Chriss said in a statement.
In addition to paying student-athletes directly, PayPal will be introducing conference-branded debit cards with each school’s logo. This is a way for not only the players to get involved with the deal, but college students and fans as well.
The agreement will be going into effect quickly. On June 6, Judge Claudia Wilken approved the deal to allow programs to pay their athletes directly. With the House Settlement taking effect on July 1, PayPal claimed the initial rollout is expected to start this summer.
With the approval, programs will be allowed to pay student-athletes, with the annual cap beginning at roughly $20.5 million per school in 2025-2026. It will be broken up by each sport, with college football players expected to earn the most. Both men’s and women’s basketball will also earn a share with the remainder being spread among the other sports.
The USC Trojans are planning to share the maximum allowed with its student-athletes right away, per a statement released shortly after the settlement.
“Since the preliminary approval of the house settlement in Fall 2024, USC Athletics leadership has worked diligently to develop a road map to ensure we win the new era of college athletics. With today’s final approval of the settlement, we are ready to invest even more in our student-athletes to the maximum allowable levels, and we look forward to what comes next.”
In the NIL era of college sports, the USC Trojans have been one of the most successful programs. USC coach Lincoln Riley is outspoken about his excitement for the new landscape and what the future holds for the sport.
The USC Trojans hold the No. 1 ranked recruiting class of 2026 and have been able to land commitments from top players through NIL. While the baseline of recruiting is still getting to know recruits and showing how they can fit in with a program, when a prospect is down to a couple of schools, NIL can play a role.
USC received a commitment from four-star edge Luke Wafle recently. While USC was in the lead for Wafle, the Ohio State Buckeyes made a last-second push, boosting their NIL offer. USC was able to one-up Ohio State, landing the No. 1 recruit from New Jersey.
With the Trojans' excitement around NIL, the program can continue to bring in and spend money on top recruits. The deal with PayPal will provide USC with an organized method of paying their student-athletes.
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