Friday, July 13, 2012

Quick Hit: A Look at Brees' Contract

This is a fun game...let's try to figure out how much Drew Brees $100,000,000 contract is really worth, shall we?

-Alright, let's pretend he'll be taxed 35% as a baseline (just to make it simple) my favorite Boiler of all time only starts with $65,000,000 (wah-wah).

-Let's also pretend that he doesn't have a penny to his name (which isn't close to true) he's starting out at zero.

-The King of New Orleans is currently 33 years old...and the average life expectancy is 78.2 years (it's less for NFL players, but since he's not a lineman, his life will probably be near the US average).  So, let's say Brees has around 45 years left to live.

-If that's the case, Andrew Christopher Brees can spend $3,348.55, each day for the rest of his life...and still leave $10,000,000 to his wife and two children to help them get by.

This calculation takes into account no these numbers would come from the J Money form of saving- stuffing it in a couch cushion in your parents' basement and taking it out as needed.

Now, it does sound like it'd be difficult to spend $3,348/ I have an idea- A fellow Purdue alum, let's call him "Doilerbowd" recently started a clothing company along with a few friends.  If Purdue's (arguably) greatest football player ever wanted to invest a mere $100,000 in this venture...he'd still have  $3,342.46 to spend per day...and is there any doubt he'd get a return on that investment?  I think not.

Just something to chew on, Drew & Mickey (because I'm sure they regularly visit this site).

Hey, if someone's gonna get paid a boatload of money, I'd prefer it'd be someone who gives back and is easy to cheer for...Brees is both.  I also like seeing guys who are great get what they deserve.  According to the market value, Brees is getting precisely what he deserves.

Congrats to Drew and family.

1 comment:

zlionsfan said...

He could pay all the expenses of the entire athletic department in 2010-11 ... and have over $40 million left in pre-tax dollars. (Purdue's expenses were about $59.3 million.)

He could reimburse every single Purdue ticketholder ... for almost 10 years. (Ticket revenue was $10.2 million in 2010.)

He could pay the salary of every Saints player in 2011, including himself ... twice. (Fox Sports lists their payroll as $49.447 million.) He may need to think about that - somewhere in that contract, the Saints will have a high cap number and significant needs.

Good for him. Teams don't hesitate to dump players they don't need: players shouldn't feel bad about getting every dollar they can while they still have leverage.