# Educate me on the economics of American university athletics **URL:** \ **Category:** Factual Questions\ **Created:** [January 17, 2011, 4:28am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906 "2011-01-17T04:28:24Z")\ **Posts on this page:** 11\ **Page:** 3
**Author:** ![hajario](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/hajario/32/171_2.png) [@hajario](https://boards.straightdope.com/u/hajario)\ **Post date:** [January 18, 2011, 3:20am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/41 "2011-01-18T03:20:02Z")
A lot of engineering professors have side consulting businesses and spin off companies. A know a few who became quite wealthy. ---
**Author:** ![statsman1982](https://avatars.discourse-cdn.com/v4/letter/s/e79b87/32.png) [@statsman1982](https://boards.straightdope.com/u/statsman1982)\ **Post date:** [January 18, 2011, 3:26am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/42 "2011-01-18T03:26:17Z")
> [@President\_Johnny\_Gentle](#): > > I wasn’t planning on getting involved in this thread, but this really needs a cite. I am a college professor, and of all of the other professors I’ve met at several dozen universities, I don’t know a single one making over $200,000. In fact, the vast majority makes under $70,000. (Yes, even tenured full professors). I understand all I have is anecdotal, but the “guild-like” structure of academia drives salaries down. When I took my current position, I had two tenure-track offers, both below $45,000. I had an offer to interview for a non-academic position which would have paid over $80,000. This is the rule in academia, not the exception. $200,000 seems high to me too, but salaries for business professors are usually in the high 5-low 6-figure range. I know several people who got PhDs in marketing and accounting, and most of the tenure track offers they entertained were in this range. ---
**Author:** ![President\_Johnny\_Gentle](https://avatars.discourse-cdn.com/v4/letter/p/5f9b8f/32.png) [@President\_Johnny\_Gentle](https://boards.straightdope.com/u/President_Johnny_Gentle)\ **Post date:** [January 18, 2011, 3:36am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/43 "2011-01-18T03:36:26Z")
> [@statsman1982](#): > > $200,000 seems high to me too, but salaries for business professors are usually in the high 5-low 6-figure range. I know several people who got PhDs in marketing and accounting, and most of the tenure track offers they entertained were in this range. Okay, I can see where those figures come from. Unfortunately, math professors only see numbers like these at major research schools. Writing a [best selling textbook](http://www.maa.org/news/061809stewart.html) works as well. ---
**Author:** ![lindsaybluth](https://avatars.discourse-cdn.com/v4/letter/l/90db22/32.png) [@lindsaybluth](https://boards.straightdope.com/u/lindsaybluth)\ **Post date:** [January 18, 2011, 3:37am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/44 "2011-01-18T03:37:17Z")
> [@OldGuy](#): > > This is a rather absurd claim. First, almost every college and university in the U.S. is explicitly non-profit. Ahh, see there are many entities waltzing around that are “non profit” that are very hinged on making tons of cash and not paying taxes. Non profit implies they’re not taxed, not they’re not raking in bucks. I’ll give you an example in my own back yard UPMC, the University of Pittsburgh Medical Center, had a meager [93 million in profit](http://www.pittsburghlive.com/x/pittsburghtrib/news/s_708976.html) last year. I don’t even need to provide cites for the Catholic church or think tanks et al. If UPMC were in the business of “non profit” work, they’d have kept a [hospital open in a poverty stricken neighborhood.](http://www.post-gazette.com/pg/10030/1032343-100.stm) “Non profit” does not mean charity, it also does not mean “whatever comes in goes out”. Non profit means not paying taxes. Plain and simple. ---
**Author:** ![Do\_Not\_Taunt](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/do_not_taunt/32/2968_2.png) [@Do\_Not\_Taunt](https://boards.straightdope.com/u/Do_Not_Taunt)\ **Post date:** [January 18, 2011, 5:54am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/45 "2011-01-18T05:54:19Z")
> [@lindsaybluth](#): > > “Non profit” does not mean charity, it also does not mean “whatever comes in goes out”. Non profit means not paying taxes. Plain and simple. “Non profit” means profits are not distributed to shareholders, and are instead plowed back into the mission of the institution. As an effect of this, there are certain tax advantages. Now, sometimes, rather than supporting the mission, you see salaries at the upper levels of the organization start to balloon, but if that gets too out-of-control, the IRS does start asking uncomfortable questions. ---
**Author:** ![anson2995](https://avatars.discourse-cdn.com/v4/letter/a/c77e96/32.png) [@anson2995](https://boards.straightdope.com/u/anson2995)\ **Post date:** [January 19, 2011, 6:28am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/46 "2011-01-19T06:28:18Z")
You can find details of every school’s athletic budget at this website: [http://ope.ed.gov/athletics/](http://ope.ed.gov/athletics/) As someone said upthread, very few schools make significant money from athletics. ---
**Author:** ![Omar\_Little](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/omar_little/32/269_2.png) [@Omar\_Little](https://boards.straightdope.com/u/Omar_Little)\ **Post date:** [January 19, 2011, 1:54pm UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/47 "2011-01-19T13:54:57Z")
@ OP - Your head coach just an extension on his contract and a raise to $2 million per year. [NBC Sports - news, scores, stats, rumors, videos, and more](http://nbcsports.msnbc.com/id/41143094/ns/sports-college_football/) 🙂 ---
**Author:** ![statsman1982](https://avatars.discourse-cdn.com/v4/letter/s/e79b87/32.png) [@statsman1982](https://boards.straightdope.com/u/statsman1982)\ **Post date:** [January 19, 2011, 5:42pm UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/48 "2011-01-19T17:42:32Z")
> [@anson2995](#): > > You can find details of every school’s athletic budget at this website: [Equity in Athletics](http://ope.ed.gov/athletics/) > > As someone said upthread, very few schools make significant money from athletics. I was not aware of this site. Thanks for the link! ---
**Author:** ![etv78](https://avatars.discourse-cdn.com/v4/letter/e/d78d45/32.png) [@etv78](https://boards.straightdope.com/u/etv78)\ **Post date:** [January 19, 2011, 8:26pm UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/49 "2011-01-19T20:26:57Z")
> [@statsman1982](#): > > I was not aware of this site. Thanks for the link! Me either, ditto the thanks! ---
**Author:** ![SCSimmons](https://avatars.discourse-cdn.com/v4/letter/s/e495f1/32.png) [@SCSimmons](https://boards.straightdope.com/u/SCSimmons)\ **Post date:** [January 20, 2011, 2:54am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/50 "2011-01-20T02:54:56Z")
Also, [Mack Brown seems to be earning his salary](http://sports.excite.com/news/01192011/v3957.html). 🙂 ---
**Author:** ![Chessic\_Sense](https://avatars.discourse-cdn.com/v4/letter/c/7c8e57/32.png) [@Chessic\_Sense](https://boards.straightdope.com/u/Chessic_Sense)\ **Post date:** [January 20, 2011, 3:18am UTC](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906/51 "2011-01-20T03:18:48Z")
> [@Martin\_Hyde](#): > > and et cetera…and et cetera. ::Twitch:: “Et” means “and”. Just sayin’. [Previous page](https://boards.straightdope.com/t/educate-me-on-the-economics-of-american-university-athletics/567906.md?page=2)