When you’re a student-athlete, everyone talks about the importance of practice. It’s where champions are built—not under the game day lights, but in the quiet, repetitive grind of preparation.
The same is true with your finances.
These college years are your practice season—the time to get your reps in with budgeting, saving, and learning how money works. One of the most powerful financial plays you can run during this season? Open an account. Or better yet, open two: a checking/savings combo to manage your daily income and expenses, and a long-term investment account like a Roth IRA or brokerage account to build wealth for your future.
Let’s break down why that move matters—and how it impacts your financial “game day.”
The Reps You Take Today = The Wins You’ll Celebrate Tomorrow
Just like in sports, the earlier you start putting in financial reps, the better your performance down the road. NIL money can come fast—but it can disappear even faster if you don’t have a plan.
When you open a Roth IRA or brokerage account early, you’re giving your money time to grow and compound. The dollars you put in during your college years might seem small, but they can grow into something huge with consistency and time.
Let’s Look at the Numbers
Here’s a comparison between two athletes:
| Athlete | Starts Contributing at Age | Monthly Contribution | Stops Contributing at Age | Total Contributions | Value at Age 60 (Assuming 8% Annual Return) |
|---|---|---|---|---|---|
| You – The Early Starter | 18 | $100 | 28 | $12,000 | $168,000+ |
| Your Teammate – The Late Starter | 28 | $100 | 60 | $39,600 | $150,000+ |
Even though your teammate contributed more over time, your early start gave you the edge—thanks to compound interest.
Why a Roth IRA is Your Financial MVP
A Roth IRA is ideal for student-athletes with NIL income because:
- Your income is (probably) low, so you’re in a low tax bracket now.
- You contribute after-tax money, and your growth and withdrawals in retirement are completely tax-free.
- You can withdraw your contributions (not earnings) at any time, giving you flexibility.
It’s a rare win-win: short-term flexibility and long-term tax-free growth.
Take Action During Practice Season
The biggest mistake you can make? Waiting. Thinking you’ll “get to it later.” That’s like skipping workouts and expecting to dominate on game day.
Here’s your financial training checklist:
- Open a checking account to manage your NIL income.
- Open a Roth IRA and set up automatic contributions—even if it’s just $50/month.
- Track your spending to stay in control of your cash flow.
- Learn the basics of saving, credit, and investing.
- Talk to a financial professional—just like you have a coach, you need someone guiding your financial game plan.
Final Thoughts: Prepare Like a Pro
You wouldn’t show up on game day unprepared. So don’t show up to your future financially unprepared either. Whether it’s buying your first home, launching a business, or having the freedom to say no to a bad opportunity—those moments are won during your financial practice years.
Get your accounts open. Get your plan in motion. Make the most of your NIL opportunity by making moves that set the “future you” up to win.
Your future self—on financial game day—is counting on you to do the work now.
For more tools, checklists, and student-athlete financial resources, visit www.FinancialLiteracyForNIL.com.