2023 is a ways away and things will likely change but worth a read for perspective:
Legal challenges not withstanding, collegiate student athletes in California can begin earning money from their name, image and likeness on January 1, 2023. But will there be a market for them?
www.forbes.com
>>First, student athletes will likely be prohibited from signing deals with companies either not already an athletic department sponsor or in direct competition with a current sponsor. Professional athletes often derive a large portion of sponsorship money, especially in early years, from lucrative shoe does, which will likely be unavailable to student athletes.
“As I understand it, students cannot sign endorsement deals that conflict with the school’s endorsement contracts, which takes the shoe money off the table,” said Powell. “Footwear deals are where the big money is.”<<
>>Second, even if a student athlete finds a potential brand sponsorship that avoids conflict with university and athletic department deals, it’s unlikely they’ll have the right to use any university or athletic department intellectual property. That means no jerseys, logos or other related apparel or marks in any content they produce with the sponsor. That would likely limit the pool of student athletes who could benefit from the new law, as they’d have to rely on name or facial recognition alone.<<
>>It’s also worth noting that student athletes will be taxed on any revenue derived from licensing their name, image or likeness.
“Whatever they receive in terms of compensation, whether salaries, incentives, royalties, etc., will be taxable as of the time they receive it,” said Paul Creasy, a partner at independent compensation consultancy Organizational Consulting Group, by email. “This may prove fertile ground for financial planners, tax attorneys, et al.”<<