Do College Athletes Need an Estate Plan? The Legal Reality of NIL in Nebraska

When I was a college swimmer, my biggest concerns were morning practices, staying healthy, and making it through the season academically eligible. Estate planning wasn’t on my radar, and at the time, it didn’t need to be.

College athletics has changed. With the rise of Name, Image, and Likeness (NIL) rights, today’s student-athletes are no longer just competitors. Many are business owners, brand partners, and income earners before they can legally buy a drink. In Nebraska, that reality collides with state-specific laws that create real legal gaps for athletes and their families.

This article explains why estate planning is now a critical but overlooked part of NIL, how Nebraska’s age-19 rule affects student-athletes, how Nebraska NIL law limits contracts to active participation, and what documents help protect an athlete’s income, brand, and decision-making authority.

How NIL Changed the Legal Reality for Student-Athletes

NIL transformed college sports by allowing athletes to monetize their name, image, and likeness while retaining eligibility. Income now commonly comes from sponsorships, merchandise, appearances, social media partnerships, and content licensing, often held through an LLC or similar business structure.

From a legal standpoint, this means many student-athletes now own enforceable contracts, intellectual property rights, business interests, and ongoing tax obligations. These are real assets. If an athlete is injured, incapacitated, or otherwise unable to manage their affairs, those assets do not automatically pause. Without planning, accounts can be frozen, contracts can lapse, and value can be lost.

The Nebraska Nuance: Why Age 19 Matters

Nebraska has a legal distinction that catches many families off guard: the age of majority in Nebraska is 19, not 18 (Neb. Rev. Stat. § 43-2101).

This creates a unique gap for college athletes. A freshman or sophomore may be treated as an adult by the NCAA and their university, yet still be a minor under Nebraska law for certain purposes. Parents may need to be involved in contracts, but federal privacy laws like FERPA (education records) and HIPAA (medical information) can restrict parental access unless proper authorizations are signed.

Once an athlete turns 19, the situation flips. Parents automatically lose legal authority. If a 19-year-old athlete is injured or hospitalized, parents cannot access bank accounts, manage NIL income, or make medical decisions unless the athlete has signed appropriate legal documents. Estate planning fills this gap before a crisis forces court involvement.

Nebraska NIL Law and the Participation Limitation

Nebraska’s NIL statute adds another critical layer. Under Neb. Rev. Stat. § 48-3603, NIL contracts generally may not extend beyond the athlete’s participation in the athletic program.

This matters for estate planning because NIL income streams are legally tied to active participation. If an athlete’s career ends unexpectedly due to injury, incapacity, or death, NIL contracts may terminate or require immediate renegotiation. A proper estate plan ensures someone trusted has legal authority to step in, communicate with sponsors, and protect whatever value remains.

Why Estate Planning Is Necessary Even for Young Athletes

Estate planning for NIL athletes is not about pessimism. It is about continuity and control. It answers practical questions: who can sign contracts, who can pay bills, who can talk to doctors, and who can protect the athlete’s brand if something goes wrong.

Nebraska’s default laws are rarely aligned with an athlete’s wishes. Planning allows student-athletes to opt out of those defaults and choose who has authority before courts are involved.

Core Documents Every NIL Athlete Should Have

A thoughtful plan does not need to be complex, but it does need to be intentional.

A durable power of attorney allows a trusted person to manage finances, sign contracts, file taxes, and interact with sponsors if the athlete cannot. Without it, families may be forced to seek a conservatorship simply to access NIL income.

A healthcare power of attorney and HIPAA authorization allow the athlete to choose who can receive medical information and make healthcare decisions. In Nebraska, this authority does not automatically belong to parents once the athlete turns 19.

A will with digital-asset authorization directs what happens to savings, intellectual property, and online accounts. Nebraska has adopted the Revised Uniform Fiduciary Access to Digital Assets Act (Neb. Rev. Stat. §§ 30-501 to 30-518), which means fiduciaries cannot access emails, social media accounts, or digital platforms unless permission is explicitly granted in writing. For NIL athletes, these accounts often are the business.

Coordinating Estate Plans With NIL Business Entities

Many NIL athletes form LLCs to manage income and limit liability. Business continuity depends heavily on how operating agreements and estate planning documents work together. Without clear provisions, an athlete’s death or incapacity can leave no one authorized to manage the entity or its contracts.

Rather than relying on assumptions, NIL athletes should ensure their estate plan and business documents are coordinated so someone can lawfully step in and keep things running if needed.

A Note for Parents, Agents, and Advisors

Parents often assume they can step in during an emergency. Under Nebraska law, that is not true once an athlete turns 19. Agents and advisors focus on compliance and deal-making, but they are not positioned to solve incapacity or authority issues.

A short planning conversation early can prevent a family emergency from becoming a legal crisis.

Final Thoughts: Protect the Brand You Built

NIL has created opportunities my generation of swimmers never imagined. But opportunity without protection is fragile. Estate planning is not about planning for the end. It is about making sure everything an athlete is building can survive interruptions they never expected.

Athletes train with discipline and compete with intention. Their legal planning should reflect that same mindset.

FAQ: NIL & Estate Planning in Nebraska

Do I really need an estate plan if I don’t have much money yet?

Yes. Estate planning is about authority and access, not just wealth. It determines who can act for you if you cannot.

Can my parents manage my NIL income if something happens to me?

Not automatically. Once you are 19 in Nebraska, parents have no legal authority without a power of attorney.

What happens to my NIL contracts if I’m injured or stop playing?

Nebraska law limits NIL contracts to participation. Without planning, contracts may terminate with no one authorized to negotiate or protect your interests.

What counts as a digital asset for NIL athletes?

Social media accounts, email accounts, content libraries, and platforms where brand deals are negotiated. Without written authorization, access may be legally blocked.

Do NIL athletes need a trust?

Sometimes, but many start with foundational documents and add complexity as income and exposure grow.