For many student-athletes, NIL opportunities provide the first real chance to earn—and manage—significant income. While it may be tempting to spend it all now, learning the basics of investing can set you up for success long after your playing days are over. Investing isn’t just for Wall Street—it’s for anyone who wants to grow their money, protect their future, and build long-term wealth.

Here’s a simple guide to help you get started.

Step 1: Understand Why Investing Matters

Money sitting in a checking account loses value over time due to inflation—the rising cost of goods and services. Investing allows your money to grow faster than inflation, helping you stay ahead.

For example, $1,000 in the bank today might only buy $800 worth of goods 10 years from now. But if invested wisely, that same $1,000 could grow to $2,000, $3,000, or more over time.

Step 2: Know the Basic Types of Investments

Before diving in, it’s important to understand the main building blocks:

• Stocks: Ownership in companies. Higher risk, but potential for higher returns.

• Bonds: Loans you make to governments or companies. Lower risk, but usually lower returns.

• Mutual Funds & ETFs: Baskets of stocks and/or bonds that spread out your risk.

• Retirement Accounts (IRA, Roth IRA): Tax-advantaged accounts designed to help you grow wealth for the future.

Step 3: Start Small, Start Early

You don’t need thousands of dollars to invest. Many apps and online brokerages let you start with as little as $5 or $10. The key is to start early. Thanks to compound growth, even small investments can multiply over time.

Example: If you invest $100 a month from age 20 to 30 and then stop, you’ll often have more money at retirement than someone who waits until 30 and invests $100 a month for 30 years.

Step 4: Don’t Overlook Taxes

As a student-athlete earning NIL income, you may qualify to open a Roth IRA if you have earned income reported on a 1099. A Roth IRA allows your money to grow tax-free, and withdrawals in retirement are also tax-free. For young athletes, this can be one of the most powerful investment tools available.

Step 5: Keep It Simple

When you’re busy balancing sports, classes, and NIL commitments, you don’t need a complicated investment strategy. For beginners, a low-cost index fund or ETF that tracks the overall stock market is often the best place to start. It gives you instant diversification (spreading your money across many companies) and keeps costs low.

Step 6: Avoid Common Pitfalls

• Don’t chase hype: Avoid “hot” stocks, crypto trends, or risky get-rich-quick schemes.

• Don’t invest money you need soon: Investments can go up and down. Keep short-term money in savings.

• Don’t panic during downturns: Markets rise and fall—what matters is the long game.

Step 7: Get Help When You Need It

Just like you wouldn’t train without a coach, don’t be afraid to seek guidance with investing. A qualified financial advisor—especially one who understands NIL—can help you build a plan that fits your goals.

Final Thoughts

Investing isn’t about luck—it’s about discipline, patience, and consistency. As a student-athlete, your NIL earnings give you a rare head start. By learning the basics, starting early, and avoiding common mistakes, you can turn today’s opportunities into long-term financial security.

Your athletic career may only last a few years—but smart investing can set you up for a lifetime.