NIL Knowledge Hub
What is NIL? Name, image and likeness, explained
NIL stands for name, image and likeness: an athlete's right to be paid when a business uses their identity to promote something, from a social media post to an autograph signing. College athletes have been allowed to earn NIL money since July 1, 2021, and most states now allow high school athletes to as well, under their own rules.
Federal NIL legislation is moving: the Protect College Sports Act passed the Senate on September 28, 2026, and the House has not acted. If it becomes law it would replace much of the state-by-state patchwork described here.
Key facts
- NIL covers a person's name, nickname, picture, likeness, signature, voice and other identifiable features, as the College Sports Commission defines it.
- The NCAA began allowing NIL on July 1, 2021, under an interim policy adopted by all three divisions on June 30, 2021.
- Since July 1, 2025, schools that opt in to the House settlement may also pay athletes directly, up to a cap of $20.5 million per school in 2025-26 and about $21.58 million in 2026-27.
- Division I athletes must report third-party NIL deals worth $600 or more, in total, to the NIL Go clearinghouse within five business days.
- High school NIL is set state by state, mostly by the state high school association; a few states still do not allow it.
- There is no federal NIL law yet. The Protect College Sports Act passed the U.S. Senate 77-22 on September 28, 2026, and is waiting on the House.
On this page
What NIL means
Your name, image and likeness are the parts of your identity a business might want to use: your name and nicknames, photos and video of you, your signature, your voice and anything else that identifies you. An NIL deal is an agreement in which a business pays you, in money or in goods, for using them.
NIL is not pay for playing. A deal pays you for promoting a business, not for joining a team, staying on a roster or how you perform in a game. That line runs through every set of NIL rules, from the NCAA's to every state high school association's.
Common NIL deals include:
- Sponsored social media posts, videos and livestreams.
- Appearances at a business, camp, clinic or charity event.
- Autograph signings and selling your own merchandise.
- Commercials, print ads and product endorsements.
- Licensing your likeness for trading cards, video games or apparel, often through group licensing.
- Teaching lessons or running a camp, where your state's rules allow it.
How NIL started
For most of its history the NCAA barred athletes from earning money from their own name, image or likeness. That changed in 2021 under pressure from three directions at once.
- State laws: States began passing laws that stopped colleges from penalizing athletes for NIL deals, and several took effect on July 1, 2021.
- The courts: On June 21, 2021, the U.S. Supreme Court ruled unanimously in NCAA v. Alston that NCAA limits on education-related benefits violated federal antitrust law.
- The NCAA: On June 30, 2021, all three NCAA divisions adopted an interim NIL policy that let athletes earn NIL money starting July 1, 2021, while keeping the bans on pay for play and recruiting inducements.
The next big change came from the House v. NCAA settlement, approved on June 6, 2025, which let schools share revenue with athletes directly and created the College Sports Commission and the NIL Go clearinghouse. See the House settlement and revenue sharing.
Who sets the NIL rules
There is no single NIL rulebook. Which rules apply depends on where you play and at what level.
- College athletes: the NCAA and its bylaws, the College Sports Commission (which enforces the rules that came out of the House settlement), your state's NIL law if it has one, and your school's own policies.
- High school athletes: your state high school association (such as the UIL in Texas or the CIF in California), and in some states a state law or a state board of education rule.
- Everyone: federal and state tax law, contract law, and the advertising rules that require paid endorsements to be disclosed.
Start with NIL rules and compliance, then look up your state under NIL rules by state.
| Level | Main rule-setters | Where to start |
|---|---|---|
| NCAA Division I | NCAA bylaws, College Sports Commission, state law, your school | College NIL |
| NCAA Divisions II and III | NCAA bylaws, state law, your school | College NIL |
| High school | State high school association; sometimes state law or a state board rule | High school NIL |
NIL deals versus revenue sharing
Since July 1, 2025, a college athlete's NIL money can come from two different places, and the rules for each are different.
- Third-party NIL deals come from businesses, collectives and people outside the school. There is no cap on them, but Division I athletes must report deals worth $600 or more to NIL Go, which checks that each deal has a valid business purpose and, for deals with associated entities, pays within a reasonable range.
- Revenue sharing is money the school pays the athlete directly, often in exchange for a license to use the athlete's NIL. It counts against the school's annual cap and is reported by the school, not the athlete.
Schools can no longer promise or guarantee a third-party NIL deal to an athlete, a rule in place since July 1, 2025.
What to know before you sign a deal
Before you agree to an NIL deal, check five things:
- Your rules: Your state association or school may ban certain categories (alcohol, tobacco, gambling and adult content are common), school logos and uniforms, or deals tied to recruiting.
- Reporting: College athletes in Division I report deals of $600 or more to NIL Go within five business days. Many high school associations and colleges also require you to tell your school within a set number of days.
- The contract: Know what you must do, by when, for how long, and who owns the content you make. See NIL contracts.
- Taxes: NIL income is taxable, including products you receive. See NIL taxes.
- Minors: If you are under 18, a parent or guardian usually has to sign, and some states require it. See NIL for parents.
Frequently asked questions
What does NIL stand for?
NIL stands for name, image and likeness. It refers to an athlete's right to be paid when a business uses their identity, such as their name, photo, signature or voice, to promote something.
When did NIL start?
College athletes have been able to earn NIL money since July 1, 2021, when the NCAA's interim NIL policy took effect, alongside the first state NIL laws.
Is NIL the same as getting paid to play?
No. NIL pays an athlete for promoting a business. Pay for play, meaning money for joining a team or for athletic performance, is still barred, although since July 2025 colleges that opt in to the House settlement may pay athletes directly through revenue sharing.
Can high school athletes make NIL money?
In most states, yes, under rules set by the state high school association. A few states still do not allow it, and nearly every state bars using school logos or uniforms. Check NIL rules by state.
Is there a limit on how much an athlete can earn from NIL?
There is no cap on third-party NIL earnings for college athletes. Deals involving people or groups associated with a school must still pass a range-of-compensation review in NIL Go, and revenue sharing from a school counts against that school's annual cap.
Is NIL money taxable?
Yes. NIL income, including the value of free products and services, is generally taxable income. Most athletes are treated as independent contractors, which can mean self-employment tax. See NIL taxes.
Next steps
Sources
- Glossary: Name, Image, Likeness (NIL) — College Sports Commission
- NCAA adopts interim name, image and likeness policy (June 30, 2021) — NCAA
- NCAA v. Alston, 594 U.S. 69 (2021) — Supreme Court of the United States
- About the House Settlement — College Sports Commission
- Student-Athlete NIL Deals — College Sports Commission
- Frequently Asked Questions — College Sports Commission
- S.4668, Protect College Sports Act of 2026 — Congress.gov
This is general information, not legal advice. NIL rules differ by state, school, association and sport, and they change often. Check the official sources linked on this page and talk with your school's compliance office, your state association or a licensed attorney before you sign anything.