By Flint Wheeler
If it seems like athletes today make more money, it’s because they do. In 1961, Mickey Mantle became the highest paid player in baseball when he signed a $75,000 contract with the New York Yankees. Calculated to inflation, that would be about $600,000 today.
In 2015, the average Major League Baseball salary surpassed the $4 million mark. The league’s highest-paid athletes — pitchers Jon Lester and Clayton Kershaw — are earning $30 million salaries each.
“It’s because of the rise of modern free agency,” said Mark Conrad, director of the sports business program at the Fordham University. “Free agency did not exist as we know it in team sports until the 1970s. Before that, players were restricted significantly from signing with other teams.”
According to data from Sporting Intelligence, NBA players make an average $4.6 million, NHL players $2.6 million, and NFL players $2.1 million. And, of course, some athletes make much, much more.
Kobe Bryant will earn $25 million for the 2015-2016 NBA season — his last with the Los Angeles Lakers. Green Bay Packers quarterback Aaron Rodgers will earn $22 million in the upcoming NFL season. Team sports aren’t the only ones where athletes are making bank. Individual competitions like boxing, tennis and golf are incredibly lucrative as well. Boxing’s Floyd Mayweather recently shattered golfer Tiger Woods’ record for highest athlete annual earnings.
Athlete salaries and competition earnings, by and large, account for most of their income. However, many make enormous amounts of money on endorsements as well.
“If a player is good for Wall Street, they will make money on endorsements,” said Michael Colangelo, assistant director of the USC Sports Business Institute. “Players such as LeBron, Tiger Woods, Peyton Manning, etc., do make most of their money outside of the sport they play, but that is due to the fame and endorsement deals they have garnered.”
And it isn’t always the best players who make the most on commercial deals. “Endorsements are a little bit different. You need the personality, the person, to sell, along with the success,” Conrad said. He pointed to women’s tennis stars Anna Kournikova and Maria Sharapova, who have at times been the sport’s highest earners even when they were not the best performers.
So which athletes are making the most? Here is a look at the 3 highest-paid athletes since the turn of the century.
Floyd Mayweather, Jr.: $300 Million, 2015
Boxer Floyd Mayweather, Jr. smashed Tiger Woods’ record as the highest-earning athlete in a single year in 2015. From June 2014 to June 2015, Forbes estimates he brought in $300 million.
Mayweather’s May 2 boxing match against Manny Pacquiao generated an estimated $600 million, including 4.4 million pay-per-view buys adding up to over $400 million in revenue. As for Mayweather, he brought in more than $200 million for the evening. “Floyd Mayweather just pulled off the biggest score in the history of sports and entertainment,” said Leonard Ellerbe, the head of Mayweather Promotions.
The large majority of Mayweather’s earnings come from salary and earnings rather than endorsements. However, ahead of the Pacquiao fight, he signed deals with Burger King, FanDuel and Hublot estimated to be worth about $1 million each.
Mayweather, who is undefeated, has said he plans to retire later this year after a match with Andre Berto in September.
Manny Pacquiao: $160 Million, 2015
He may have lost in the boxing ring against Mayweather, but in the bank, Pacquiao scored a major victory.
Mayweather and Pacquiao split the fight’s net revenues 60-40, meaning a major payday for the Filipino boxer as well. Pacquiao earned a total $160 million from June 2014 to June 2015.
With no Mayweather rematch in sight, Pacquiao may instead soon be facing a different opponent: Amir Khan. Whoever that is.
Tiger Woods: $115 Million, 2008
The year 2008 was a great one for golf sensation Tiger Woods. Not only did his $115 million earnings smash records, but he also made enormous strides both on and off the golf course.
He won the U.S. open just months after undergoing knee surgery, signed endorsement deals with companies like Nike, Accenture and Gillette, and was ranked by Forbes as the second most powerful celebrity — behind Oprah.
Woods was embroiled in scandal after admitting to infidelity and walked away from the game of golf for a handful of months in 2009 and 2010. He has regained footing since, though at times his game has suffered.
Still, it’s not bad to be Tiger Woods — he made Forbes 2015 highest-paid athlete ranking as well, bringing in $50.6 million.
