In an effort to prepare NFL players for the possibility of a lockout in 2011, the NFL Players Association has advised players to commit to saving a minimum of 50 percent of their 2009 and 2010 salaries as part of the union’s new 50/50 financial preparedness campaign.
“It’s essential that players are financially prepared to withstand the loss of income due to a lockout,” NFLPA Financial Programs Director Dana Hammonds said. “A financially sound membership represents a strong bargaining group.”
New York Giants center and Player Representative Shaun O’Hara thought launching the 50/50 campaign was a good first step, but that players now need to execute it.
“If you can save more, all the better,” O’Hara added. “It’s a good opportunity to give guys direction and a tool to better serve them in the future. Having the ability to plan two years in advance will alleviate a lot of stress down the road.”
Hammonds recommended that players start their 50/50 campaign immediately. She suggested they consult their advisors to create a plan that addresses their family’s financial needs. In addition, it is a good idea to look at their overall financial goals and review their credit history.
Enrolling in the Union Plus Mortgage Program is another strategy players can utilize to plan ahead. In the event of job loss or lockout, Union Plus will pay a player’s mortgage for up to six months. But in order to receive benefits, players must be enrolled in the program for a minimum of one year. For more information about Union Plus, visit www.UnionPlus.org.
Houston Texans guard and Player Representative Chester Pitts said he thinks that 50/50 is “doable” and suggested that players look into alternative money-saving strategies as well.
“Don’t take on any debt that you don’t need,” he said. “If you haven’t purchased a house yet, that’s OK. And put away even more money if you can.”
Pitts said he plans to talk to the handful of guys in his locker room who would be considered at-risk financially and make sure they understand the importance of 50/50.
“The minimum salary for the NFL puts you in the top one percentile of salary and wages in the United States,” Pitts said. “So yes, [50] can be done.”