When You Fight For A million how much do you got home with?

Take this with a grain of salt but I remember De La Hoya saying when he was with Arum he was bringing home after taxes, fees, etc 350k for every million he made in a fight. Meaning if he ‘made’ 10 mil he was bringing home 3.5 million. He then said when he left Arum and became self promoted he was bringing home close to 600k for every million he made. He explained that being self promoted a boxer has certain tax and expense advantages they can claim to keep more of their check. He said obviously you want to be self promoted to maximize your income but added that it isn’t easy to do and only why a handful of guys can really do it.

 

I fully believe that is almost spot on bro. After paying your trainers (all corner men), sparing partners, dietitian or nutritionist , and the evil promoter you are lucky to get 35% of the total.
Self promotion comes with an LLC and that comes with certain tax write offs so you can then bank another 15-25%

 

So the promoter gets 20 percent of the purse? Kind of strange. Why would a promoter get a percentage? Maybe it’s to cover their own rear in the event of a flop.

 

Fighters are already on LLC's and similar denominations since they're paid as independant contractors. You would pay higher taxes by self-promoting since you wouldn't be deducting the 20%. You would pay more tax dollars on a larger adjusted gross assuming your personal expenditure was less than the example of 20% i gave, which work out to a larger after tax net. And that's without taking into account that the dollars collected by self-promoting aren't capped, which is where the Mayweather money comes from.

 

Trump pays no taxes, so he should get advice from him.................

 

Damn
1099 you to death for every buck

 

This. There isn't a one size fits all answer, since no two fighters have the same managerial and promotional situation. I've seen this first hand not only with fighters, but also with other athletes and actors.

Also, Oscar and Floyd are the exception. Some talent do learn how to represent themselves well, but in most cases I've seen talent are best off finding some good representation.

 

This.