Picture this: You’ve just wrapped up another busy tax season, and you’re celebrating with your favorite latte (extra shot of espresso—because tax season). Suddenly, your phone pings. It’s a college freshman—an up-and-coming basketball star—asking if you “do taxes for TikTokers.” Turns out, he’s both a student-athlete and an influencer with a rapidly growing following. And, guess what? He’s flush with new endorsement deals and no clue how to handle them.

The game has changed. If your firm is still only marketing to the same old W-2 crowd, you’re missing out on the entire playing field of 18- to 22-year-olds who have a surprising amount of money on the line: from scholarships to grants to their brand-new NIL (Name, Image, Likeness) income.

No, they might not yet be rolling in major-league salaries (give them a few years). But thanks to NCAA rule changes and fresh legal precedents, your most lucrative client base just got a whole lot younger. Let’s break down exactly why (and how) you should pivot your marketing strategy to attract and serve this new wave of clients.

Why Student-Athletes Are Your Next Big Opportunity

NIL (Name, Image, and Likeness) Has Opened the Floodgates
Not too long ago, student-athletes were barred from getting paid beyond scholarships and small stipends. Then came the NCAA vs. Alston case—and the NCAA did a near 180° overnight. Now, college athletes can profit from endorsements, sponsorships, social media, autograph signings, and more. For the first time, these 18- to 22-year-olds can sign deals worth tens—or even hundreds—of thousands of dollars. Suddenly, you’ve got a brand-new audience of young earners who need someone to say, “Hey, taxes matter.”

To give you some concrete data, the New York Times reports that a Power 4 NCAA quarterback at a “blue-chip” program like Alabama or Ohio State can expect to make somewhere in the neighborhood of $500,000 to $800,000 annually thanks to NIL deals. Top performers – with the top names (think Arch Manning) – have the potential to earn millions.

They’re Influencers, Too
We’re living in a world where a college gymnast can have millions of TikTok followers, and a basketball rookie can sign with a major sportswear brand at 19. Their public persona is an asset and so is their income. If you understand how to structure your marketing approach so it speaks to them, you could be signing your next loyal client for years to come.

Good thing we know exactly how you can hook Gen Z.

They Need Financial Guidance NOW
Let’s face it, most teenagers aren’t taught how to balance a checkbook, let alone how to manage multi-state tax filings or self-employment taxes. These are brand-new concepts for them. But once they realize the power of actually keeping more of what they earn (thanks to proper tax planning), you’ll become their go-to financial resource.

The Tax Ramifications (A Quick & Dirty Rundown)

Scholarships & Grants: What’s Taxable, What’s Not

• Non-Taxable: If used for qualified education expenses (tuition, fees, books, etc.), scholarships and Pell Grants generally stay out of taxable income.
• Taxable: Anything fun (room and board, meal plans, and travel) often tips into the taxable side.
• Why It Matters: Many athletic scholarships involve a combination of qualified and non-qualified expenses. If student-athletes don’t track their expenditures carefully, they could owe more taxes than expected.

NIL Earnings: Hello, Self-Employment Taxes

• Independent Contractor Status: When a student-athlete gets paid for an appearance, an endorsement, or social media post, it’s self-employment income. Translation: They’re on the hook for the full 15.3% in SE tax if net earnings exceed $400.
• Deductible Expenses: Travel to a sponsored shoot? Bought equipment for a brand promo? Paid professional fees to an agent or lawyer? All potentially deductible if you know the rules (which you do, even if your student-athlete clients don’t).
• Multi-State Madness: A college athlete living in one state, going to school in another, and traveling to a third for a game or event could owe taxes in multiple states. It’s messy, but with the right guidance, it’s manageable.

The Crypto Curveball

• Payment in Cryptocurrency: Some big-time boosters or trendy sponsors might pay out in Bitcoin or another crypto. That’s still income, recognized at fair market value the moment it hits the athlete’s wallet.
• Capital Gains: If they decide to HODL and later sell for a profit (or loss), that triggers capital gains rules.
• Record Keeping: If they’re not tracking every transaction’s date, cost basis, and sale price, the tax forms become a nightmare.

State Tax Considerations

• Who’s Coming After Your Money? Some states don’t tax income. Others do. Student-athletes might owe taxes in their home state, their university’s state, or even a state where they did a single sponsored appearance.
• NIL-Specific Legislation: A growing number of states have their own spin on NIL rules, which sometimes include unique tax implications.

The Time Value of Money (Yes, They Need to Hear This)

If you’re talking to a 20-year-old about “time value of money,” you might lose them. But if you say, “Hey, you could turn that $10,000 endorsement deal into a million-dollar nest egg if you structure it right,” they’ll perk up. Young athletes and influencers need to know about:

• Compound Growth: Paying the least amount in taxes now frees up more cash to invest, fueling long-term growth.
• Retirement Savings: Even if they’re not balling in the NBA, they can still open a Solo 401(k) or SEP IRA for NIL income.
• Brand Longevity: Their athletic career might cap at four years of college. Their brand can last a lifetime if they build the right financial foundation.

Marketing to the Gen Z Athletes and Influencers

So, how do you actually get these potential clients to notice your firm? Because let’s be honest, they’re not Googling “CPA near me” like their parents might.

1. Sponsor Their Teams or Clubs
   
   • Show up where they’re hanging out—on campus or at sporting events. A small sponsorship of a local college team or even a student-led business club can go a long way in building brand recognition.
2. Go Social (For Real)
   
   • Posting a tax tip here and there won’t cut it. Lean into short-form content (TikTok videos, Instagram Reels) explaining how to navigate multi-state taxes, or how to track crypto gains. Keep it interesting. Keep it short.
   • Partner with existing student-athlete influencers. Let them share how your advice saved them from a major tax headache. People trust people like them. You’re much more likely to attract the NIL crowd if you can get one of them to vouch for you from the get-go.

Pro Tip: If you’re struggling to secure a student-athlete “brand advocate,” reach out to sports agents who can help you partner with their roster.

3. Host Workshops and Webinars
   
   • Think “Taxes 101 for Student-Athletes” or “NIL Income: How Not to Lose it All to the IRS.” Promote it through the athletic department or campus email blasts.
   • Invite campus coaches and compliance officers—these pros will direct athletes your way when they’re bombarded with tax questions.
4. Create a Niche Brand for NIL
   
   • Develop a separate branch of your firm solely dedicated to NIL tax planning. Give it a catchy name. Brand it with bold fonts and fresh, sporty colors.
   • This dedicated brand can speak directly to their concerns: dealing with 1099-NECs, paying quarterly estimates, tracking influencer deals.
5. Leverage Alumni Networks
   
   • Many universities have robust alumni communities,and some of them are ex-student-athletes who understand the exact challenges of NIL (even if it didn’t exist when they were in school). Collaborate with those alums,especially if any of them are big names in the sports world.
   • Word-of-mouth among athletes is powerful; once you help one athlete avoid a big IRS bill, they’ll sing your praises to the rest of the team.

Educate, Educate, Educate (Then Educate Some More)

This younger demographic might see “tax advisor” and think “boring old suits.” It’s your job to shift that perception. The best way? Provide real value.

• Practical Examples: Show them how a $50,000 sponsorship can effectively turn into $42,500 if they don’t account for self-employment taxes. Or how they might be leaving $2,000 on the table by not maximizing an education credit.
• Use Storytelling: Tell cautionary tales of other young athletes who ended up owing thousands in back taxes. Then share success stories of clients who set up the right structure from day one.
• Align With Their Goals: College athletes are busy. Influencers are hustling. They want no-fuss, step-by-step guides to make sure they stay on the right side of the IRS (and NCAA eligibility).

Staying on the Right Side of the NCAA (and the IRS)

You also want to hammer home the importance of compliance:

• Income Reporting & FAFSA: Remind them that NIL income can affect need-based financial aid. Everything’s gotta be reported accurately on the FAFSA.
• NCAA Rules: While the NCAA has loosened up on NIL regulations, it still has guidelines. Breaking them could jeopardize a scholarship—or the athlete’s eligibility.
• Professional Guidance: Encourage them to consult with your firm (or any qualified CPA who understands NIL) before signing deals or ignoring 1099s.

Your Firm’s Next Steps: Strike While the Iron (or NIL) Is Hot

1. Develop a Dedicated NIL Package
   
   • Include multi-state filings, quarterly estimates, a budgeting consult, and maybe a quick “Crypto 101” session if relevant. Bundle it at a clear price.
2. Reach Out to Athletic Departments & Compliance Offices
   
   • They’re inundated with queries from confused athletes. Offer to be the firm that answers those queries. You’ll quickly become their recommended partner.
3. Create Engaging Content
   
   • A blog post is nice, but a punchy, story-driven eBook or interactive quiz on “How Ready Are You for NIL Taxes?” might convert more prospects.
4. Speak Their Language
   
   • Ditch the dense legalese. If you want to connect with 19-year-olds, meet them where they are. That means clarity, brevity, and a bit of humor.

The Bottom Line

Young athletes and influencers are starving for financial guidance. Their eyes are on what’s trending on Instagram, but the IRS is waiting around the corner if they slip up on taxes, and they may not even know it. With the NCAA’s new NIL freedoms, they’ve got more money than ever…and that means they really need someone who can keep them in line.

That’s where you come in. By becoming the go-to firm for student-athletes’ financial and tax needs, you’re not just acquiring new clients. You’re building long-term relationships with people who could become tomorrow’s sports (or social media) megastars. When you help them save money—or avoid a major compliance fiasco—they’ll remember you. And they’ll share your name far and wide.

Ready to expand your practice and become the tax MVP for this new generation? Create a specialized NIL brand, develop targeted marketing, and start educating these soon-to-be stars before they blow their first big endorsement on Uncle Sam’s bill. Because if you don’t swoop in, some other savvy CPA or EA firm will—and you’ll be left wondering where all the new talent (and revenue) went.

Need help setting up your firm’s NIL-focused offerings? Have questions about multi-state or self-employment taxes? Let’s chat. Contact us to see how you can turn this NIL revolution into your firm’s biggest growth opportunity yet.