This is how the pension plan for tennis players works, which Nadal will receive after his farewell to the Davis Cup

There are only 2 days left until Rafa Nadal’s last dance on the tennis court. At 38 years old, Rafa Nadal announced his final retirement on October 10 via a video on social media. “I’m very happy that my last tournament will be the Davis Cup final representing my country,” said the winner of 22 Grand Slam titles after a season in which he only managed 19 appearances. From 19 to 24 November at the Martin Karpen Pavilion in Malaga, the best Spanish tennis player of all time will say goodbye to his career.

A departure that has sparked a frenzy among fans who seem willing to do whatever it takes not to miss Nadal’s last breath on the tennis court. Since the Spaniard announced his retirement and set a date for it, ticket resale prices have been truly crazy. And the season tickets were sold out more than a month ago and no one wants to miss saying goodbye to the legend. What will happen next and what will be the end of Rafa Nadal’s career?

Last goodbye

As soon as the Davis Cup ends in Malaga, The Spaniard will put an end to his career and stop surprising with his play on the court. The Spanish legend leaves the sport having won 22 Grand Slam titles, including 14 at Roland Garros.

After a long 23-year career, Nadal grew as an athlete, and over time this brought him more and more money. As reflected on the official ATP website, his career total is $134,808,161 million, including earnings from singles and doubles. Forty million less than Novak Djokovic, one of his greatest rivals; specifically 176,231,853 million dollars, according to the same media. Roger Federer is below both with total earnings of over 130 and a half million.

According to Forbes, His assets are valued at almost 300 million euros.. But are you entitled to a pension when you retire? We tell you How the tennis pension plan works, to which Nadal will be entitled.

All the keys to a savings plan

Professional tennis players They have their own savings and pension plan. The ATP Players’ Retirement Plan aims to provide players with financial support during their retirement. This plan, which was officially created and launched in 1990, offers plan participants benefits for 20 years starting at age 50.

The start of the pension plan dates back to the first years of ATP’s existence. Influential player Jaime Fiyol played a key role in developing this plan in the late 1980s. With the launch of the ATP Tour in 1990, the plan became one of the key programs for ATP member players.

Financial resources for contributing to the pension plan are obtained from the income received from tournaments and players, on the one hand, from cash prizes, and from television or licensing rights to tournaments.

However To collect it, they must meet a number of requirements.

Until now, a tennis player must be among the elite of professional tennis for five years, among the top 125 in singles and among the top 40 in doubles. Additionally, an alternative plan was created in 2018 for those who contributed for three years. Each year, a certain number of players (most recently 300) are eligible for one year of credit (contribution) based on participation in ATP tournaments.

Each player eligible to participate in the plan has a personal account and Internet access where he can view information about his plan. In 2023, a total of $18.7 million was contributed to the ATP Players’ Pension Plan fund. The ATP is awarding the same amount of pension money each year to (so far) 165 eligible players.

The 2023 contribution brings the fund’s total assets under management to $270 million, representing a significant increase from the $37 million accumulated in 2000.

The 165 professional players who met the eligibility criteria last season received $113,600 (approx. €105,000) in fees for 2023.

The contribution in 2022 was €167,800 per eligible player. It increased from US$10,800 in 2010 to US$167,800 in 2022. This remarkable growth is due both to the contributions of the tennis players themselves, and to the growth of the ATP due to profits from tournament licenses. Starting this year, the pension plan was expanded to include 300 players.

Are you entitled to a state pension?

Yes, but not the maximum. The problem is that they don’t contribute for enough years to get the maximum pension, despite their income. That is, the size of the pension will depend on the contribution base chosen for deduction, as well as on the years of contributions, as in the case of any other pensioner. Currently, you need to contribute for at least 15 years to qualify for the minimum pension. In addition, two of these years must be in the 15 years immediately preceding retirement.

This latter requirement is a major disadvantage for most professional athletes, who typically retire no later than 40 years of age. Moreover, through salary and income, many tennis players earn enough to have a maximum pension but do not receive it. because they do not meet the age required to receive 100% of the labor pension.

To reach the maximum retirement benefit, which is the maximum limit allowed by Social Security, you must have at least 37 years and 6 months of service, a figure that will gradually increase to 38 years and 6 months by 2027.