Budget crunching: Here's how much top-tier PGA Tour players spend a year (hint: a lot) (2024)

FAQs

Budget crunching: Here's how much top-tier PGA Tour players spend a year (hint: a lot)? ›

However, they even get 10 percent of prize money if they win, 8 percent on a top-10 finish, and 6 percent on the remaining. Hence, these are a few expected expenditures of a Tour pro. And if you calculate everything, it goes up to around $1.88 million to $2.08 million a year, which is astounding.

However, they even get 10 percent of prize money if they win, 8 percent on a top-10 finish, and 6 percent on the remaining. Hence, these are a few expected expenditures of a Tour pro. And if you calculate everything, it goes up to around $1.88 million to $2.08 million a year, which is astounding.

Players get 55 percent of revenue

“Financial rewards and other benefits—not just for the top players but for the entire membership—are growing at an extraordinary pace,” Monahan wrote to players in the memo.

The average PGA Tour player's salaries are about $1.5 million. While many PGA golfers may not make much money, the highest-paid PGA Tour golfers can earn more than some of the best-paid athletes in the world. For example, in 2022, Phil Mickelson earned $102 million on the course and $36 million off the course.

What about the lowest-paid players? The lowest-ranked PGA Championship contestant generally takes home around $19,000 for the tour, although the most recent last place Championship finisher, David Muttitt, received just a $3,000 payout.

Yes, they do. And it can be pretty expensive. Some estimates place the annual expenditures on travel (including room and board) at upwards of $200,000 for a golfer who plays in events worldwide. In addition, pro golfers also have to pay their caddies each week.

Paying for all expenses related to your job comes with being an independent contractor. This means professional golfers pay for their airfare, meals, lodging, tournament entry, and more. Multiply many of those costs by two to pay for a caddie.

As has been reported over the years, that status allows the PGA to avoid hundreds of millions in taxes over the last few decades despite allegations that it spends well under 20 percent of its tour revenue on charity and that its executives are highly salaried in the millions per annum,” Singer told InsideSources.

Not-for-profit tournaments under the PGA TOUR umbrella donate their net proceeds to support local organizations, totaling more than $3.64 billion in donations to date. These tournaments wouldn't be possible without the 100,000 volunteers annually who commit their time to ensure each event is a success.

As for the number of golfers who have earned at least $1 million in PGA Tour events during their careers, well that number is now at 556 and counting.

Do caddies get paid if player misses cut? ›

Yes, caddies still get paid even if their player misses the cut. Typically, caddies and their players agree on their base pay for the week.

The individual winner of each event will take home $4 million, while the winning team adds $3 million - $750,000 per player. Last place, 48th, in the individual standings will still take home $120,000. The winning team from the Team Championship takes home $16 million, or $4 million per player.

Do Golfers Get Paid For Missing The Cut? The simple answer to this question on most professional golf tours, including the PGA Tour and the DP World Tour, is no, they don't.

How he got to $10 million: Tringale became the all-time money leader without a PGA Tour win in May 2021. In his 12 years on the PGA Tour, he averaged 25.9 starts a season, making 338 career starts before deciding to join LIV Golf in August 2022 and give up the chance to finally grab career win No. 1.

PGA Tour players do not get a yearly salary. But things did change in the 2022-23 season. Starting that season, exempt players will now receive $500,000 against earnings. It is not a salary but instead a base level.

First, the caddie receives a regular base salary to work for a player, usually between $1,500 to $3,000 per tournament. This is important because most PGA Tour caddies pay their travel expenses, including lodging, food, etc. The caddie is making financial investments in each tournament played, just the like the player.

Masters week

A landmark Augusta hotel since 1910, the Partridge Inn is the closest hotel to the famed Augusta National Golf Club and has a long history with the Masters Golf Tournament.

We stay in hotels or rented condos/ homes. We have daily meals and we normally pay for two of them. We usually eat one meal at the course. We may have to pay for laundry, gas, yardage books, tips and other daily things.

Does the PGA Tour own a private jet? ›

Many other top golfers like Tiger Woods, Ernie Els, Rory McIlroy, and Sergio Garcia own private jets but hire a crew to fly them.

Despite some chatter to the contrary, the PGA Tour is not a public charity. However, it has ties to four related charitable organizations: PGA Tour Charitable & Education Fund, PGA Tour Charities Inc, PGA Tour Employees Emergency Relief Fund, and Pro Caddies Assistance Foundation.

The PGA Tour is a $1.5-billion business that earns the majority of its revenue from five categories—tournament revenue ($660 million), domestic and international media rights ($634 million), Tournament Players Clubs ($142 million), corporate licensing ($65 million) and investments ($21 million).

“The PGA Tour reserves are $225 million,” he said. “They were at a high watermark — about $300 million — prior to Covid. We think that's a reasonable range to keep our reserves in, in the event of any event like we've experienced the last couple years.

The numbers are Astounding!

Golf annually donates more through its charitable activities than Major League Baseball, the National Football League and the National Basketball League combined. Although golf is portrayed as an elitist sport, which limits the ability of less fortunate Americans to participate in the sport.

PGA of America revenue is $110.0M annually. After extensive research and analysis, Zippia's data science team found the following key financial metrics. PGA of America has 1,141 employees, and the revenue per employee ratio is $96,406. PGA of America peak revenue was $110.0M in 2022.

Sponsoring a regular PGA Tour event costs in the neighborhood of $7 million per year. That money covers a portion of the purse, a television advertising commitment, a fee to the PGA Tour and to the tournament.

The Tour announced on Tuesday that last year's record amount of $203.4 in charitable giving pushed the all-time total past $3 billion.

Rory McIlroy Net Worth: $150 Million.

Tiger Woods, who has won 15 major championships and 82 PGA Tour events, is the richest golfer in the world, being the only golfer to touch the billion mark. In 2022, Tiger Woods' net worth reached a milestone of $1.1 billion. Noticeably, he has been the highest-earning athlete for many years.

Is Jack Nicklaus a billionaire? ›

Is Jack Nicklaus a Billionaire? Jack Nicklaus is not a billionaire. According to Forbes, has earned around $1.15 billion.

Caddies may not walk on greens when checking hole locations, nor may they interfere with play, during Championship rounds. Caddies are only allowed on the practice putting greens to retrieve chip shots or long putts, provided that the putting green is not crowded.

Matt Kuchar concedes he made a mistake last year when he didn't reward David Giral Ortiz, his fill-in caddie during his victory at the Mayakoba Golf Classic, with a fitting tip for a job well done.

Tiger Woods' caddie typically earns a five to 10 percent share of his golfer's earnings, according to Golf Week. A caddie can earn between $1,500 and $2,500 per week during golf tournaments, Forbes reports.

When asked if he came close to joining LIV, Fowler said: "No, no, no. I just looked at it and wanted to learn as much as I could." Fowler's concluded that the PGA Tour had no equal.

Mickelson's career earnings from prize money, sponsorships, course design and appearance fees topped $1 billion after LIV gave him a reported $200 million bonus spread over multiple years to join the tour last year.

LIV Golf maintains that each player has received his prize money won on the course, in addition to his respective signing bonus, rather than applying the prize money against a player's contract.

Each year, the 125 players with the most points are given a card for the next season. Those with a PGA Tour win in the last two years or those in the top 25 or top 50 in all-time earnings on the PGA Tour can also get year-long exemptions and access to the tour.

The estimated base pay is $55,641 per year.

In the document, it stated Monahan's use of a Tour-owned private jet for both business and personal travel, and also mentioned the Commissioner's 2020 compensation of $14.2 million.

How much of their winnings do golfers keep? ›

Traditionally, the PGA Tour awards 18 percent of the total purse to the winner, with second place receiving about 11 percent, third place 7 percent, and so on.

It's a base level. Exempt PGA Tour players will receive $500,000 (rookies can claim it up front) and they only start to collect prize money when they earn more than that $500,000 base. The key is though, if they don't reach that $500,000 threshold, they don't have to give the money back.

It costs a minimum of $110,000 to compete for a year on the PGA Tour—$75,000 on the Nationwide—and there are no guaranteed paydays. Each week the worst-scoring half of the field is eliminated after the second day of the four-day tournament and earns nothing.

Tiger Woods, just like any other professional golfer, does not get paid if he withdraws from a tournament. Players are compensated solely based on their performance and finishing position in the event. If a golfer decides to withdraw, they forfeit any potential earnings from that specific tournament.

The Tour Championship technically has the biggest purse ($70 million) and winner's share ($17 million), but that represents the final event of the FedEx Cup playoffs. The event doesn't have its own purse and winner's share, rather paying out players for their performance that week combined with the rest of the season.

Last year, the 2022 PGA Championship purse increased to $15 million. And this year, the 2023 PGA Championship purse jumped yet again to a whopping total of $17.5 million. (The Players Championship remains the richest purse in golf at a total of $25 million.)

What about the lowest-paid players? The lowest-ranked PGA Championship contestant generally takes home around $19,000 for the tour, although the most recent last place Championship finisher, David Muttitt, received just a $3,000 payout.

(2021–2022 season) and are actively working for a member of the PGA TOUR, PGA TOUR Champions or Korn Ferry Tour - caddying in the 2022-2023 season (for PGAT, PGAT Champions or KFT), will be eligible for a yearly reimbursem*nt of up to $9,000 towards the purchase of health insurance.

For the 2022/23 season, all exempt players on the PGA Tour are guaranteed $500,000 against earnings. But it's not a salary. It's a base level. Exempt PGA Tour players will receive $500,000 (rookies can claim it up front) and they only start to collect prize money when they earn more than that $500,000 base.

First, the caddie receives a regular base salary to work for a player, usually between $1,500 to $3,000 per tournament. This is important because most PGA Tour caddies pay their travel expenses, including lodging, food, etc.

Do PGA players pay a membership fee? ›

Free memberships at international golf courses are another perk PGA golfers can cash in when they reach elite status. Membership fees are the single most prohibitive cost to being a golfer. Memberships at elite golf courses can be as high as $30,000 per year.

Unlike the NBA, MLB and NFL, the PGA Tour considers golfers to be independent contractors, and they have to pay their own expenses, including extensive travel, caddy and coaching costs, entry fees, and even a $50 charge to use a tournament locker room.

While every player/caddie agreement is different, generally speaking, most PGA Tour caddies make a base of between $1,500 and $3,000 per week. Based on a player's finish, a typical caddie rate is around 5% of the winnings for any finish outside the top 10.

A player must file a federal income tax form — likely 37% tax bracket.

1) Ted Scott

Ted Scott is the highest-paid caddy as of 2023. He has been working with former Masters champion Scottie Scheffler since 2021 and was carrying his bag when he won the major in 2022. Ted Scott reportedly has a base salary of $135K and has earned roughly $843,600 in 2023.

Daily grounds passes for The Masters cost $140 while practice round tickets for Monday-Wednesday are just $100, which is wholly reasonable. A weekly badge if you're lucky enough to get one would cost $450.

"Appearance fees" refers to money paid to a pro golfer just to show up and play a tournament. That means the golfer is guaranteed the amount of his or her appearance fee whether they cash a good check in the tournament or not.

The commonly held belief is that most caddies make around $1,500 to $3,000 per tournament. In addition to that, each caddie has a negotiated deal with the golfer to be paid a percentage of their winnings.

Accordingly, the PGA Tour golfers could be considered employees under the “control” factor, while this factor would tend to indicate that LIV Golf league members are independent contractors since they are free to work for competing entities.

The Professional Golfers' Association of America (PGA of America) is an American organization of golf professionals that was founded in 1916.

Why don't PGA players unionize? ›

Unlike other sports, which all have labor unions, golfers have technically maintained independent contractor status, and thus haven't worked together.