The NCAA News - News and Features

December 8, 1997

Legislative assistance

1997 Column No. 44

Employment

NCAA regulations governing financial aid preclude a student-athlete from participating in intercollegiate athletics if he or she receives financial aid that exceeds the value of a full grant-in-aid (i.e., tuition and fees, room and board, and books). Division I institutions are reminded that a student-athlete who is subject to individual financial aid limitations must include employment during semester or term time (which is an all-inclusive period from the opening to the closing of classes of the regular semester or quarter, except for vacation periods listed in the institution's official calendar) in determining whether a student-athlete's full grant-in-aid has been reached. Further, Division II institutions are reminded that per NCAA Bylaw 15.2.6.2, earnings from a Division II student-athlete's legitimate off-campus employment, in excess of a full grant-in-aid, shall be exempt, provided neither athletics department staff members nor representatives of the institution's athletics interests are involved in arranging the employment. Earnings from such employment by a representative of the institution's athletics interests may be exempted, provided the student-athlete secures the employment in the same manner as other members of the general public.

A student-athlete is subject to individual financial aid limitations if the student-athlete meets any one of the following criteria: (1) The student-athlete receives athletics aid from the member institution; (2) the student-athlete was recruited and receives any financial aid from the member institution; (3) the student-athlete was recruited and receives athletics aid that is administered outside of the institution in accordance with Bylaw 15.2.5.3 or 15.2.5.4; and (4) the student-athlete was not recruited but receives financial aid that is administered outside of the member institution per Bylaw 15.2.5.4. A student-athlete who does not satisfy any of the above-mentioned criteria may earn legitimate income in excess of a full grant-in-aid, provided neither members of the athletics department or representatives of the institution's athletics interests are involved in arranging the employment.

In addition, pursuant to Bylaw 15.2.6.4, a student-athlete receiving financial aid may obtain a job within seven days prior to the beginning of the institution's Christmas vacation period, provided it is a prerequisite to securing the employment. The income so derived from the additional week's employment does not need to be computed in determining the student's maximum allowable financial aid. However, any earnings for work performed after the first day of classes must be countable. Also, pursuant to Bylaw 15.2.6.6, earnings received by a student-athlete for employment during term time are not countable against the student's full grant-in-aid if these earnings are (a) deposited directly by the employer with the institution; (b) used by the institution as it determines; or (c) designated by the institution for a special purpose related to athletics (e.g., payment of travel expenses for the student-athlete to represent the institution in competition).

In accordance with Bylaw 15.2.6.5, employment earnings of a student-athlete who has exhausted eligibility in a particular sport during the prior academic year do not need to be included in determining whether a student-athlete has reached his or her full grant-in-aid limit for the academic year, provided the student-athlete subsequently does not practice or compete in intercollegiate athletics. Except as provided in Bylaw 15.2.6.5, a student-athlete who is ineligible for participation in intercollegiate athletics but is subject to individual financial aid limitations must include any employment income during the semester or term time in determining whether the student has reached his or her full grant-in-aid limit.

Finally, it is permissible for a student-athlete to receive legitimate summer employment earnings without any restriction on the amount of compensation received, even if the student is attending summer school as a recipient of institutional financial aid. [NOTE: Any compensation received by a student-athlete for employment must be consistent with the limitations set forth in Bylaw 12.4.]

This material was provided by the membership services staff as an aid to member institutions. If an institution has a question or comment regarding this column, such correspondence should be directed to Richard C. Perko or Kristen L. Davis, membership services representatives, at the NCAA national office. This information is also available on the Collegiate Sports Network.