BoxRec

koolkc107 wrote:The effective tax rate for 1 percenters is about 25%.

That means Floyd will clear about 190 to 205M and Manny 130 to 145M if the 5.6M buys figure holds up

http://www.msn.com/en-us/sports/more-sp ... ailsignout

By Steve DelVecchio

The pay-per-view numbers for Floyd Mayweather Jr.’s win over Manny Pacquiao have started to roll in, and the results are more incredible than anyone expected. In the end, both fighters are going to end up with a payday that is nearly impossible to wrap your brain around.

What type of dough are we talking? Mayweather could conceivably make over $250 million.

As noted previously, the pay-per-view buys could double the previous high and wind up somewhere near 5.625 million. John Branch of the New York Times explained last month that 30-40 percent of the PPV revenue goes to cable, satellite and telephone providers, 7.5 percent is split by HBO and Showtime and the remainder is split 60-40 between Mayweather and Pacquiao.

Based on an estimate of 5.625 PPV buys, Mayweather would make somewhere in the range of $167 million to $195 million on PPV sales alone, according to Business Insider’s Cork Gaines. Pacquiao would likely take home more than $115 million based on that scenario. Branch notes that other revenue streams were expected to pull in $140 million for the fighters to split. That could put Mayweather over $250 million, with Pacquiao — the “loser” — taking home a measly $170-190 million.

For some context, the previous PPV record was set by Mayweather and Oscar De La Hoya in 2007 with 2.48 million buys.

While many like to point out that Mayweather will likely make $250 million for an hour’s worth of work, let’s not forget the lifetime of training and preparation that is also involved. Still, our eyes popped out of our heads when Alex Rodriguez signed a 10-year contract worth $275 million with the Yankees. Mayweather could make that in a single fight.

Remind us again why Mayweather had this to say about a potential rematch earlier this week? It’s tough to turn down a paycheck like that.

Wow! Crazy numbers. Oh they gonna do rematch

KBB wrote:

koolkc107 wrote:The effective tax rate for 1 percenters is about 25%.

That means Floyd will clear about 190 to 205M and Manny 130 to 145M if the 5.6M buys figure holds up

http://www.msn.com/en-us/sports/more-sp ... ailsignout

By Steve DelVecchio

The pay-per-view numbers for Floyd Mayweather Jr.’s win over Manny Pacquiao have started to roll in, and the results are more incredible than anyone expected. In the end, both fighters are going to end up with a payday that is nearly impossible to wrap your brain around.

What type of dough are we talking? Mayweather could conceivably make over $250 million.

As noted previously, the pay-per-view buys could double the previous high and wind up somewhere near 5.625 million. John Branch of the New York Times explained last month that 30-40 percent of the PPV revenue goes to cable, satellite and telephone providers, 7.5 percent is split by HBO and Showtime and the remainder is split 60-40 between Mayweather and Pacquiao.

Based on an estimate of 5.625 PPV buys, Mayweather would make somewhere in the range of $167 million to $195 million on PPV sales alone, according to Business Insider’s Cork Gaines. Pacquiao would likely take home more than $115 million based on that scenario. Branch notes that other revenue streams were expected to pull in $140 million for the fighters to split. That could put Mayweather over $250 million, with Pacquiao — the “loser” — taking home a measly $170-190 million.

For some context, the previous PPV record was set by Mayweather and Oscar De La Hoya in 2007 with 2.48 million buys.

While many like to point out that Mayweather will likely make $250 million for an hour’s worth of work, let’s not forget the lifetime of training and preparation that is also involved. Still, our eyes popped out of our heads when Alex Rodriguez signed a 10-year contract worth $275 million with the Yankees. Mayweather could make that in a single fight.

Remind us again why Mayweather had this to say about a potential rematch earlier this week? It’s tough to turn down a paycheck like that.

My estimates are AFTER taxes.

koolkc107 wrote:The effective tax rate for 1 percenters is about 25%.

Because of capital gains. This isn't capital gain income, it's ordinary income.

cletomex wrote:

koolkc107 wrote:The effective tax rate for 1 percenters is about 25%.

Because of capital gains. This isn't capital gain income, it's ordinary income.

So, you think a guy that is pals with a financial wizard like Warren Buffet or a shrewd lawyer like Arum (or Haymon for that matter) is going to pay the full 39%?

OK if you say so...

koolkc107 wrote:

cletomex wrote:

koolkc107 wrote:The effective tax rate for 1 percenters is about 25%.

Because of capital gains. This isn't capital gain income, it's ordinary income.

So, you think a guy that is pals with a financial wizard like Warren Buffet or a shrewd lawyer like Arum (or Haymon for that matter) is going to pay the full 39%?

OK if you say so...

He has one bank account with 120 million sitting in it. Is that financial wizardry??

Is there some magical tax rate for fighter earnings?

cletomex wrote:

koolkc107 wrote: So, you think a guy that is pals with a financial wizard like Warren Buffet or a shrewd lawyer like Arum (or Haymon for that matter) is going to pay the full 39%?

OK if you say so...

He has one bank account with 120 million sitting in it. Is that financial wizardry??

Is there some magical tax rate for fighter earnings?

And I am sure lots of wealthy folks have even bigger accounts.

Doesn't mean they paid the full tax rate on the way to getting it parked there.

Care to make anymore definite statements on things you can't help but be clueless about?

cletomex wrote:

Chepppaaa wrote:general question: how much is tax in the us for big fights, is it something like 30 % or more?

tax 30 %
cable provider, so hbo and show ?
promoter/manager ?

Federal tax on that is 40%. Another 15% self employment tax. No Nevada state tax.

And BTW, the bolded is not accurate either

koolkc107 wrote:

cletomex wrote:

koolkc107 wrote: So, you think a guy that is pals with a financial wizard like Warren Buffet or a shrewd lawyer like Arum (or Haymon for that matter) is going to pay the full 39%?

OK if you say so...

He has one bank account with 120 million sitting in it. Is that financial wizardry??

Is there some magical tax rate for fighter earnings?

And I am sure lots of wealthy folks have even bigger accounts.

Doesn't mean they paid the full tax rate on the way to getting it parked there.

Care to make anymore definite statements on things you can't help but be clueless about?

Let's say Floyd comes to you have his taxes prepared. He gives you a 1099 with $300,000,000 of non-employee comp and some interest income on his bank account. What's his effective rate? He would need a half billion dollars in long term capital gains/qualified dividends to even bring his effective rate down to 30%. I doubt he is earning any significant dividends/capital gains.

koolkc107 wrote:

cletomex wrote:

Chepppaaa wrote:general question: how much is tax in the us for big fights, is it something like 30 % or more?

tax 30 %
cable provider, so hbo and show ?
promoter/manager ?

Federal tax on that is 40%. Another 15% self employment tax. No Nevada state tax.

And BTW, the bolded is not accurate either

Sorry, 15.3% on his net self-employed earnings.

cletomex wrote:

koolkc107 wrote:
And BTW, the bolded is not accurate either

Sorry, 15.3% on his net self-employed earnings.

Wrong again.

D

koolkc107 wrote:

cletomex wrote:

koolkc107 wrote:
And BTW, the bolded is not accurate either

Sorry, 15.3% on his net self-employed earnings.

Wrong again.

D

cletomex wrote:

koolkc107 wrote:

cletomex wrote:
Sorry, 15.3% on his net self-employed earnings.

Wrong again.

D

Glad you are wise enough to admit it.

There's hope for you yet...

DD

fergusg wrote:

Mensa07 wrote:Manny gets $200M for stinking the joint out, not bad eh.

Manny Pacquiao will be lucky to take home even a tenth of that sum, because Michael Koncz will want a percentage cut (somewhere between the 25% and 33.3% mark) and another 18% for the costs of his team and governing body fees. I’m not sure if Bob Arum will also take a 27% cut due to him acting as a promoter (to be verified)? Manny then has to pay 40% income tax from the remainder.

Manny also owes at least $75m in unpaid tax to the US & Filipino governments, with that sum excluding the inevitable legal fees to pay for the lawyers involved in the litigation. That $75m sum may be much higher, due to interest earned since last August.

In terms of Floyd, he’s in a much better position… I don’t believe that he technically has a manager, although Haymon is his “advisor” and he’ll want a 10% to 15% cut.

Mayweather Jr’s promotional company will provide him with some additional income, as they joint-promoted the event with Top Rank, so rather than paying a cost, he’ll receive additional money.

Floyd will then have to pay around 18% of his purse to his team (i.e. cutman, strength and conditioning coach etc.) and governing body fees. He’ll also have to pay 40% income tax.

So whatever the figures, both fighters will have an awful lot of costs to shell out for and will then have to pay 40% income tax on the remainder.

The difference between Floyd & Manny though, is that Money May is self-managed and self-promoted… and in addition to his greater 60%-40% purse split, his costs are far smaller than Manny’s, coupled with the fact that his own Promotion company will also split the profits from co-promoting the bout with Top Rank.

it doesnt really work like this at the tope level, he will have agreed salary or fees with his team so as to avoid having to pay out based on his own income. They will still be paid very well but not as a %. If that was the case i would be a very rich person! With regards to th tax, the money will have been paid to foyd's company, of which he will personally take small amounts, usually as dividends and then all expenditure will be offset against tax. Again this is from experience of working with guys taking big purses, oviously not floyd size big though.

Exactly.

That money aint coming straight straight at him just so he can be taxed like some mark.

He has very likely taking that cash thru several moves so he can keep as much of it as possible.

This is guy that gets a cut from the damned POPCORN sold at his fights.

You think he is gonna sleep on loopholes?

Probably one reason he got in trouble before...

Cable, Satellite companies, Taxes


Poor Floyd will walk away with MAYBE $100,000,000. Poor guy

I don't think we will find out anywhere near the maximum amount generated for 2-3 months even longer, who bought who paid and so many other factors come into play I would have thought.
In certain countries yes a reasonable number can be estimated but we haven't got anything concrete yet it seems.
When it comes to Floyd my guess is that the real number or anywhere close to what he was paid will come from him at some point unknown.

Those crooked buffoons are still cooking the numbers to generate hype for the stinker rematch.

Likely sold over 3 million. The rest is bullshit.

JeanClaude Van Damme wrote:Those crooked buffoons are still cooking the numbers to generate hype for the stinker rematch.

Likely sold over 3 million. The rest is bullshit.

If they are going to lie it will be reporting a lower number than actual to reduce ppv payouts.
Everybody in line for money from this event needs to have their lawyers ready to call bullshit on the official numbers.
Make sure they are getting their agreed upon cut and not one penny less.

They won't release an official number that is too high because all the boxing haters and do-gooders that want the sport abolished are on hot standby just waiting to expose a lie.

JeanClaude Van Damme wrote:Those crooked buffoons are still cooking the numbers to generate hype for the stinker rematch.

Likely sold over 3 million. The rest is bullshit.

Please avail yourself of what I posted upthread from Yahoo.

They have 2.25M buys WITHOUT ONE CABLE COMPANY REPORTING.

The 2.25M alone makes it the 3 highest fight as far as buys.

And at least 60% (the part represented by buys on cable) hasn't been reported yet.

This was much more than 3 million.

Who gets the overseas PPV?

Good. Now Manny can let Arum distribute it. Pay taxes, his lawsuits, etc. Manny will end up with about 10-20 million clear. He will give half to charity.

Perseus wrote:

JeanClaude Van Damme wrote:Those crooked buffoons are still cooking the numbers to generate hype for the stinker rematch.

Likely sold over 3 million. The rest is bullshit.

If they are going to lie it will be reporting a lower number than actual to reduce ppv payouts.
Everybody in line for money from this event needs to have their lawyers ready to call bullshit on the official numbers.
Make sure they are getting their agreed upon cut and not one penny less.

They won't release an official number that is too high because all the boxing haters and do-gooders that want the sport abolished are on hot standby just waiting to expose a lie.

That would lead to a major lawsuit.

This is damage control for a stinker of a fight. They need to spin it positive.

Perseus wrote:

JeanClaude Van Damme wrote:Those crooked buffoons are still cooking the numbers to generate hype for the stinker rematch.

Likely sold over 3 million. The rest is bullshit.

If they are going to lie it will be reporting a lower number than actual to reduce ppv payouts.
Everybody in line for money from this event needs to have their lawyers ready to call bullshit on the official numbers.
Make sure they are getting their agreed upon cut and not one penny less.

They won't release an official number that is too high because all the boxing haters and do-gooders that want the sport abolished are on hot standby just waiting to expose a lie.

Looks like you might be right.

A few days ago, they had it trending to about 5.6M buys.

This was based on the fact that they already had 2.25M reported from the satellite and phone folks and the fact that cable companies usually make up 55 to 65 percent of total sales.

Well, the official number now stands at 4.4M buys...which means the cable companies underperformed immensely, accounting for less buys (2.15M) than the satellite folks.

I could be wrong, but I smell a rat.