Skip to main content

Reply to "2020 High School players signing as Undrafted Free Agents"

@PitchingFan posted:

Don't get caught up in the educational incentive.  It is not as it appears completely.  It is taxed as a luxury item since it is part of a package so it can be taxed as high as 40%. 

Son's (CEP reimbursement) was listed as regular wages on his W-2, combined with his milb wages. In a lump.

Not sure how it could be a luxury item.  

(Sorry for so many posts, but we are going through it now and learning as well and I am posting for others that may want the info.  Plus, I do his taxes.)

×
×
×
×