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Why Financial Literacy Is The New Game Plan For Athletes When you think of professional athletes, a picture of luxury cars, mansions, and multi-million-dollar contracts might pop in your mind. But this picture hides a harsher reality. Many athletes, especially those outside of the top tier of major leagues, struggle with managing their money to ensure it lasts throughout their career and life. Research from the Global Financial Literacy Excellence Center (GFLEC) found that 16 percent of NFL players file for bankruptcy within 12 years of retirement, and many face financial instability within two years of leaving the game. This problem is rooted in a lack of financial education, short career spans, and poor guidance for the players. Tom Zheng, cofounder of The Players Company, recognized this while working in the NFL as a sport scientist, and he set out to help athletes with their financial literacy skills. Financial Literacy As Zheng explained to me, “a professional athlete’s earning window is typically very brief. The average NFL career lasts just over three years, and contracts are rarely guaranteed, no matter how headline grabbing they are. Once a player gets injured or cut from the team, their income can disappear overnight.” Without financial literacy skills, many of these athletes experience devastating outcomes. MORE FOR YOU The Players Company addresses the need to be prepared financially through a three-pillar model: education, connection, and opportunity. The organization helps athletes understand money management, investment principles, and the realities of entrepreneurship. It connects athletes to vetted professionals, family offices, and peer mentors. Athletes as Entrepreneurs Over the past decade there has been a notable rise in athlete led ventures, from tech startups to consumer brands. But without a financial foundation or a foundation in business operations, many of these athlete-preneurs will struggle to sustain success. The rise of athlete entrepreneurs marks a powerful shift from endorsement deals to stakes in equity, with many players launching businesses, investing in startups, and building their own brands. This new generation of athlete-preneurs understand that their name carries weight, and they create platforms and influence, all which are assets with real market value. Social media contributes to this potential. With millions of engaged followers, athletes are reaching audiences directly and converting attention into ownership. For women athletes in particular, entrepreneurship is another path to financial equality. With shorter playing careers and lower salaries, building a business and investing early can provide lasting financial security. By thinking like entrepreneurs, athletes are proving that success off the playing field can be just as rewarding. Leveling the Playing Field for Women Athletes Women’s professional sports are experiencing high growth and becoming one of the most rapidly expanding sectors in the global sports industry. Once overlooked and underfunded, women’s sports is now attracting record audiences, corporate sponsorships, and investor interest. Deloitte stated that women’s sports exceeded expectations and will generate over $2.3 billion in global revenue in 2025, which is nearly double of the pre-pandemic levels. The WNBA, NWSL, and PWHL have become proof that visibility and profitability can grow together. But as money floods in, a new challenge emerges: ensuring that women athletes are equipped to manage, grow, and protect their earnings. Historically, women’s salaries were nominal and left little room for investing. Now with higher pay, endorsement opportunities, and media deals, the opportunity for female athletes has never been better. For women athletes, financial literacy is leverage. Understanding contracts, taxes, and wealth building strategies can mean the difference between a financial windfall or lifelong financial security. Many female athletes are already leading this shift. Tennis legend Serena Williams is building her fortune through venture investing and soccer star Megan Rapinoe turned her stardom into business ventures. These are examples that show the modern athlete’s path to wealth lies in ownership, equity, and entrepreneurship. As women’s sports continue to rise, the next phase of progress will depend on how well athletes secure their financial foundations. Equal pay is one part of the equation, but true equity happens when women in sports not only earn more, but they learn more about financial literacy and ownership of assets that pay you over time. The Bottom Line As the business of sports evolves, pay equity advances, and new opportunities emerge, financial literacy will determine who turns short-term income into generational wealth. The rise of women’s sports isn’t only about visibility and fair pay; it’s also about financial empowerment. Because the real win isn’t the championship but owning your financial future long after the game is over. Melissa Houston, CPA, is the author of Cash Confident: An Entrepreneur’s Guide to Creating a Profitable Business, the founder of She Means Profit, and creator of ProfiVise — the “CFO in your pocket” that helps small business owners grow profit, manage cash flow, and make smarter financial decisions. She Means Profit is dedicated to advancing women entrepreneurs with the financial education, strategic coaching, and business resources they need to break financial barriers, scale profitably, and build sustainable wealth. Our mission is to increase the number of women-owned businesses generating $1 million+ in revenue, ensuring that more women achieve financial independence and long-term success. The opinions expressed in this article are not intended to replace any professional or expert accounting and/or tax advice whatsoever. Editorial StandardsReprints & Permissions
