taxes

[ronnbee]

when they get 1.7 million direct deposit--taxes taken out ?

[Hawkeye77]

17 minutes ago, ronnbee said:

when they get 1.7 million direct deposit--taxes taken out ?

 

LOL, why?

 

 

U.S. resident vs. non resident, different state laws re state income taxes and on and on.  You could suggest generally if they are getting a 1099 there is no withholding but . . . not necessarily the case. If the law requires it, they'll be withheld. 

[ShortGolfer]

https://www.forbes.com/sites/nathangoldman/2025/06/13/the-tax-benefit-of-winning-the-us-open-at-oakmont-country-club/

37% top IRS tax rate right now.  JJ Spaun benefitted for Pennsylvania's 3% tax rate on his winnings.

[Hawkeye77]

2 minutes ago, ShortGolfer said:

https://www.forbes.com/sites/nathangoldman/2025/06/13/the-tax-benefit-of-winning-the-us-open-at-oakmont-country-club/

37% top IRS tax rate right now.  JJ Spaun benefitted for Pennsylvania's 3% tax rate on his winnings.

But depending on Arizona's rate, he may still owe Arizona tax - PA tax may be a credit back but not necessarily a benefit. 

[ShortGolfer]

The US tax code changes every year.  

One has to balance taking advantage of the rules to the fullest with avoiding hassles by choosing a simpler calculation.

[Jayjay_theweim_guy]

Michael Kim, when asked by Claire Rogers, blanched at the idea of him doing his own taxes, and pointed out that each state they earned in required a tax filing.  Probably played in, as well, depending on how the player's tax particulars are set up: are they an LLC, among a gazillion other questions tax people would need to know. Probably also filing estimated quarterly taxes too.

[TiScape]

4 hours ago, ronnbee said:

when they get 1.7 million direct deposit--taxes taken out ?

Try the ‘tax code’ sub.
I believe it’s a sub category of the ‘rules of golf & etiquette’ sub

[aabcuue]

10 hours ago, ronnbee said:

when they get 1.7 million direct deposit--taxes taken out ?

Basic taxes of federal, ss but all taxes esp state

Most players have accountants as they often have to file in 30 or more states and internationally everywhere a tournament is held

 

Remember they also do outside course work which is taxed, lessons, outings/events, publicity for sponsees, etc.

 

[UncleJohn’sBand]

PGA tour direct deposits every Tuesday (as of 2017) and you’re responsible for the taxes in the state the funds were won in, the country the funds were won in. 
 

Accountants love professional golfers. 

[iBanesto]

13 hours ago, ronnbee said:

when they get 1.7 million direct deposit--taxes taken out ?

 

[WesternRacing]

My guess is that the PGA Tour files a composite return for all its members, but if not they just need to pay the state taxes for each state in which they received money from an event, as well as the federal taxes.  It’s not as complicated as it sounds. 

[Hawkeye77]

7 hours ago, WesternRacing said:

My guess is that the PGA Tour files a composite return for all its members, but if not they just need to pay the state taxes for each state in which they received money from an event, as well as the federal taxes.  It’s not as complicated as it sounds. 

 

It is not a pass through entity.  

[Jayjay_theweim_guy]

9 hours ago, WesternRacing said:

My guess is that the PGA Tour files a composite return for all its members, but if not they just need to pay the state taxes for each state in which they received money from an event, as well as the federal taxes.  It’s not as complicated as it sounds. 

Aren't the players classified as independent contractors?  Working for (what used to be) a not-for-profit entity?

 

Dig deeper into tax law and accounting details, and we'll all start wishing this was a Rules discussion instead...

[Hawkeye77]

3 minutes ago, Jayjay_theweim_guy said:

Aren't the players classified as independent contractors?  Working for (what used to be) a not-for-profit entity?

 

Dig deeper into tax law and accounting details, and we'll all start wishing this was a Rules discussion instead...

There's a little more to it with how the tournaments are set up and so forth, but . . .

the answer's been given as you indicated - the players have a bunch of returns that need to be filed as a consequence of earning money in a variety of states and if withholding is required for whatever reason it is taken out of the check a player receives for the tournament.  Pretty simple but the mechanics are complicated come tax time for the players.

[goaliedad30]

I believe Joe Walsh covered this perfectly for touring pros like Wyndham Clark:

 

"I live in hotels, tear out the walls; I have accountants pay for it all!"

[TiScape]

2 hours ago, goaliedad30 said:

I believe Joe Walsh covered this perfectly for touring pros like Wyndham Clark:

 

"I live in hotels, tear out the walls; I have accountants pay for it all!"

And his Maserati does 185.

[Ferguson]

On 7/5/2025 at 10:41 AM, goaliedad30 said:

I believe Joe Walsh covered this perfectly for touring pros like Wyndham Clark:

 

"I live in hotels, tear out the walls; I have accountants pay for it all!"

 

Eagles, as a band - overrated.  However, I had an Aunt that looked like Joe Walsh.  I will see if i can find and post an old picture.   

[Ghostwedge]

1 hour ago, Ferguson said:

 

Eagles, as a band - overrated.  However, I had an Aunt that looked like Joe Walsh.  I will see if i can find and post an old picture.   

"Overrated" compared to..... lol

[TiScape]

2 hours ago, Ferguson said:

 

Eagles, as a band - overrated.  However, I had an Aunt that looked like Joe Walsh.  I will see if i can find and post an old picture.   

As opposed to… 

 

😂

[Shilgy]

On 7/5/2025 at 10:13 AM, TiScape said:

And his Maserati does 185.

Yeah…but he lost his license and now he don’t drive.🤩

[bcjim]

4 hours ago, Ghostwedge said:

"Overrated" compared to..... lol

Compared to the number of times the average radio station still plays "Hotel California" each day in the year of our Lord 2025

💀😵‍💫

[AZBRONCFAN]

Look up jock tax.

[Pepperturbo]

On 7/4/2025 at 5:48 AM, ronnbee said:

when they get 1.7 million direct deposit--taxes taken out ?

Golfers are independent contactors; thus they are 1099, no taxes taken out.  And most high-income earners pay quarterly.

[smashdn]

5 hours ago, TiScape said:

As opposed to… 

 

😂

 

National symbols?

[ATXGolferGuy]

I'd play every tournament I could in Texas, Florida, Tennessee, and Nevada. If the tour every scheduled stops in Wyoming, Washington, New Hampshire, and South Dakota I'd play all those too.  

 

I wonder about the players endorsement contracts...if those get taxed in their home state or in every state they play in on a % basis.  I would hope the former if you're in one of those states above. 

 

I would assume they get to deduct the cost of the PJ flights, caddy fees etc, etc against their earnings. 

[Ferguson]

6 hours ago, TiScape said:

As opposed to… 

 

Rush

 

 

[Mr.Cleeks]

On 7/4/2025 at 9:00 PM, UncleJohn’sBand said:

PGA tour direct deposits every Tuesday (as of 2017) and you’re responsible for the taxes in the state the funds were won in, the country the funds were won in. 
 

Accountants love professional golfers. 

So if you’re a rookie skip Hawaii and California? 

[mizuno player]

I'm a 1099 independent contractor. I get a check and I am responsible for all taxes. 

 

Depending how much you make will dictate when you pay. 

 

Ex: currently I pay quarterly. I'd be willing to bet these guys pay monthly. The government want their money asap. 

 

PGA tour also has a retirement plan and I think health insurance. I would think they keep a portion of the winnings for those benefits? But I'm not sure. 

 

I personally like being a 1099. Many tax deductions to take advantage of. 

[Shilgy]

14 minutes ago, mizuno player said:

I'm a 1099 independent contractor. I get a check and I am responsible for all taxes. 

 

Depending how much you make will dictate when you pay. 

 

Ex: currently I pay quarterly. I'd be willing to bet these guys pay monthly. The government want their money asap. 

 

PGA tour also has a retirement plan and I think health insurance. I would think they keep a portion of the winnings for those benefits? But I'm not sure. 

 

I personally like being a 1099. Many tax deductions to take advantage of. 

They keep a portion of the FedEx money for pension but not regular events.  Cuts made is the biggest factor.

 

https://www.nationalclubgolfer.com/tour/pga-tour/pga-tour-retirement-plan-how-do-the-stars-pay-into-their-pension/#:~:text=Doerfler wrote that if a,Plan fund after turning 50.

 

https://www.marketwatch.com/story/hundreds-of-pro-golfers-have-over-1-million-in-their-pga-tour-retirement-accounts-2019-04-24

[TiScape]

3 hours ago, Ferguson said:

 

Rush

 

 

Never a fan.