Final answer:
Interviewed athletes often focus on financial management, especially tax payments, after getting paid–and typically save about one-third of their net income. Colleges and student athletes have a symbiotic relationship regarding the payment of athletes, with each party potentially benefiting in various ways.
Step-by-step explanation:
The first thing that many interviewed athletes tend to do upon getting paid is to manage their finances, often including the payment of taxes. Since athletes can be high earners with potentially short career spans, they typically are advised to save a significant portion of their after-tax income. It is common for them to save about one-third of their after-tax earnings.
When discussing how colleges and student athletes benefit or not from student athletes being paid, a complex array of financial and ethical considerations come into play. Colleges may benefit by attracting higher caliber athletes, which can enhance their sports programs and increase revenue from ticket sales, merchandise, and potentially more successful performance, which often leads to broader media exposure. Conversely, student athletes can benefit from having a source of income to support themselves and possibly their families, gain financial stability, and provide compensation for their time and effort dedicated to their sport, which they would otherwise give for free, representing a significant investment in terms of time and physical risk.