How Much NBA Agents Get Paid?
Contents
Find out how much NBA agents get paid and how they are able to make a commission off of each player they represent.
NBA Agent Commissions
NBA agents typically get paid between 4 and 10 percent of a player’s salary, depending on the player’s experience and the NBA agent’s experience. NBA agents also typically get paid a portion of a player’s endorsement deals. So, how much do NBA agents make? It depends on the player’s salary and endorsement deals, but NBA agents typically make between 4 and 10 percent of a player’s salary.
Standard NBA agent commission
The standard NBA agent commission is 4 percent of the player’s total contract, whether it is fully guaranteed or not. The agent also gets a percentage of any endorsements the player may receive. For example, if a player signs a $50 million contract and gets a $5 million endorsement deal, the agent would get $2.5 million ($50 million x .04 + $5 million x .04).
Maximum NBA agent commission
As of September 2019, the maximum NBA agent commission is set at four percent (4%) of the player’s gross salary. This is a decrease from the five percent (5%) commission that was previously in place. The four percent commission is still higher than the three percent commission that is common in other major North American professional sports leagues such as the MLB, NFL, and NHL.
NBA Agent Salaries
NBA agents typically get paid a percentage of their clients’ contracts, so their salary can vary greatly from year to year. The average salary for an NBA agent is about $2 million, but the top agents can make much more. For example, the top agent in the NBA, David Falk, made $40 million in one year.
Top NBA agent salaries
While the average NBA agent salary is just over $122,000, the top NBA agents in the business can earn much more. The top three NBA agents by salary are all above $2 million, and the highest-paid agent in the NBA earns nearly $4 million.
The top-paid NBA agent is Dan Fegan, who represents some of the biggest names in the league. Fegan’s clients include John Wall, Dwight Howard, and DeMarcus Cousins. He also represented LeBron James during his time with the Miami Heat. In total, Fegan has earned more than $65 million in commissions from his clients’ contracts.
Second on the list is David Falk, who is best known for representing Michael Jordan during his playing career. Falk has also represented other big names like Jerry Stackhouse and Alonzo Mourning. He currently works as a TV analyst but still commands a large salary thanks to his past successes as an agent.
Third on the list is Arn Tellem, who is one of the most respected agents in the business. Tellem has represented many high-profile players including Kobe Bryant, Dwayne Wade, and Carmelo Anthony. He also worked as an NBA executive for a brief period before returning to representing players full-time. In total, Tellem has earned more than $40 million in commissions from his clients’ contracts.
Average NBA agent salaries
The average NBA agent salaries are between $100,000 and $300,000. However, top agents can make over $1 million per year. The best way to increase your salary as an NBA agent is to represent multiple clients who are high-profile players.
NBA Agent Fees
NBA agents get paid a lot of money. In fact, they are one of the highest-paid groups of professionals in the world. NBA agents typically charge between 3% and 5% of a player’s total contract value. So, for a player who signs a $100 million contract, the agent would earn between $3 million and $5 million.
Standard NBA agent fees
In general, Standard NBA agent fees are between 1 and 4 percent of the player’s total contract, depending on the length and value of the deal. For example, if a player signs a four-year, $40 million deal, the agent’s fee would be $1.6 million. If the same player signs a five-year, $50 million extension with the same team, the agent’s fee for negotiating the extension would be $2 million.
Maximum NBA agent fees
The Maximum NBA agent fees are 4% of the player’s salary. The agent fee is paid by the team, not the player.
NBA Agent Contracts
The NBA collective bargaining agreement (CBA) between the league and the players’ union stipulates that player agents must be certified by the National Basketball Players Association (NBPA). In order to become certified, agents must adhere to a strict set of guidelines and pass an extensive background check.
Standard NBA agent contract
New NBA agents must sign a Standard NBA Agent Contract with the National Basketball Players Association (NBPA) before representing any players in the NBA. The current Standard NBA Agent Contract is valid from October 1, 2012 through September 30, 2016.
The minimum term of the Standard NBA Agent Contract is three years, and the maximum term is five years. There is no provision for early termination of the contract by either party.
Under the terms of the contract, NBA agents are paid a commission of 4% of their players’ NBA salaries, plus any bonuses that their players may earn. Agents are also entitled to 10% of any endorsement deals that their players may sign, and 5% of any other income that their players may earn from basketball-related activities.
Maximum NBA agent contract
The maximum amount that an NBA agent can get paid is 4% of the first 4 years of a player’s rookie contract, and 3% of any money beyond that. For example, if a player sign’s a 4 year, $40 million rookie contract, the agent can earn a maximum of $560,000. If that same player then sign’s a 5 year extension for $50 million, the agent would then be able to earn a maximum of $850,000.