New era begins: House v. NCAA settlement opens pay-for-play

June 7, 2025

College sports will never be the same as pay-for-play is officially here.  

On June 6, 2025, Judge Claudia Wilken granted final approval to the House v. NCAA settlement, signaling a landmark moment for college sports. The agreement resolves three federal antitrust lawsuits that accused the NCAA of unfairly limiting athletes’ earning power, and it redefines the financial future for student-athletes, schools, and the NCAA.

The NCAA will pay nearly $2.8 billion in back damages over the next 10 years to Division I athletes who competed from 2016 on, with the majority (about 95%) going to football and basketball players in power conferences. Schools can now pay athletes directly, starting with an annual revenue-sharing cap of roughly $20.5 million per school, expected to increase each year for a decade. These payments are on top of scholarships and existing benefits.

The settlement affects all Division I athletes and institutions, although its effects will be felt most by power conference schools and their athletes. Under the new system, which takes effect July 1, 2025, schools can offer athletic scholarships to every athlete on their team up to the new roster limit. For golf, this means nine players per team for both men and women.

The NCAA logo at the NCAA Golf Championships now also marks a turning point in college sports with the arrival of pay-for-play | Phelan M. Ebenhack/AP Photo

All sports will now operate under an equivalency model that allows coaches to divide scholarship dollars among more athletes. In addition, student-athletes will benefit from increased compensation and clearer NIL guidelines, with deals over $600 now subject to stricter reporting requirements.

Athletes are set to gain long-overdue financial recognition and more stability, with the new rules paving the way for the first direct payments to athletes beginning that same month. However, these changes come with potential hurdles. As schools adjust their budgets, golf and other non-revenue sports risk cuts, further dividing high-budget programs from those operating with less.

Ultimately, the rules have changed, and college athletics has officially turned a new page.