The House v. NCAA settlement introduces a revenue sharing model that allows participating institutions across the country to directly pay student-athletes beginning July 1, 2025. Schools can distribute each year up to 22% of the average revenue among schools in the ACC, Big Ten, Big 12, Pac-12 and SEC from media rights, ticket sales and sponsorships – known as the revenue sharing cap.
The cap is estimated at $20.5 million per school for the 2025-26 academic year, pending final confirmation. With a few potential exceptions, the cap will then increase 4% the following two years and will be re-evaluated every three years over the duration of the 10-year settlement period.
Student-athletes can receive this direct compensation in addition to their athletic scholarships, third-party NIL earnings and other previously permitted educational benefits.
The College Sports Commission and LBi Software, a leading sports management software provider, have developed a comprehensive cap management system known as the College Athlete Payment System (CAPS). Participating institutions are required to use CAPS to manage and report their revenue sharing payments to student-athletes when revenue sharing goes into effect on July 1, 2025.
The platform will enable schools to:
- Allocate cap funds to student-athletes
- Monitor payments and track progress against the cap
- Manage compliance with revenue sharing rules
- Track roster allocations
More information about the official revenue sharing rules and policies will be made available pending discussions with House class counsel.
LBi and the College Sports Commission will provide participating institutions with many opportunities for education on the CAPS platform and the revenue sharing rules to ensure that administrators fully understand the new model and are prepared to comply with the new rules.
CAPS Website