*Taxes may be applicable
Winning an Olympic medal is an amazing accomplishment that deserves to be rewarded. The US Olympic Committee prize money for winning an Olympic gold medal is $25,000, $15,000 for silver, and $10,000 for bronze. Many countries do not award their medal winners, and if they do, the amounts are often less (though some are higher, such as Brazil). What may seem surprising is that with those thousands of dollars in prize money earned, comes a hefty tax bill, depending on the athlete’s income tax bracket. If a US Olympian is in the highest tax bracket (39.6%), then they will owe $9,900 in income taxes on his or her gold medal. This amount drops to $6,250 if the gold medal winner is in the 25% tax bracket.
Continue reading “Go for the Gold (Medal)*”