The Indian Premier League (IPL) has grown into one of the most lucrative cricketing tournaments globally, offering players staggering paychecks. Among the stars who benefit significantly from this league is Rishabh Pant, one of India's finest wicketkeeper-batsmen. In IPL 2024, Pant is reportedly set to earn ₹27 crores. However, this massive sum is not entirely his to keep. Various deductions, including taxes, and his current injury status, affect how much he takes home. Let’s dive into the details.
Breakdown of ₹27 Crore: How Much Does Pant Take Home?
The ₹27 crore figure is the gross amount that Rishabh Pant earns from the IPL. However, this sum is subject to multiple deductions.
1. Tax Deductions
In India, cricketers fall under the highest income tax slab due to their high earnings. Here’s how taxes impact Pant's income:
- Income Tax Slab: Cricketers earning over ₹10 lakh annually are taxed at 30%. Additionally, there are surcharges and cess.
- Surcharge for High Earners: For individuals earning over ₹5 crore, a surcharge of 37% applies on the tax amount.
- Education Cess: A 4% cess is applied to the total tax and surcharge.
Calculation:
- Gross Earnings: ₹27 crore
- Taxable Income: ₹27 crore
- Base Income Tax (30%): ₹8.1 crore
- Surcharge (37%): ₹2.997 crore
- Education Cess (4%): ₹0.44 crore
- Total Tax Deduction: ₹11.537 crore
After paying ₹11.537 crore in taxes, Rishabh Pant’s take-home amount reduces to approximately ₹15.463 crore.
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2. Additional Deductions
Apart from taxes, Pant may also face deductions for:
- Agent/Management Fees: Most players employ agents to negotiate contracts and endorsements. These agents typically charge 10-15% of the gross earnings. Assuming a 10% fee, Pant might pay around ₹2.7 crore to his agent.
- Expenses Related to Training and Fitness: Maintaining peak fitness and hiring personal trainers or physios can also cost players significantly, though these costs vary.
If we account for agent fees, Pant’s earnings further reduce to ₹12.763 crore.
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Impact of Injury on Earnings
Rishabh Pant has been recovering from a car accident that sidelined him for most of 2023. While he is reportedly on the road to recovery, his injury status can influence his IPL earnings in the following ways.
1. Retention Fee
The IPL contract system protects players against sudden injuries to some extent. If a player is injured after being retained, they are still entitled to the full salary, provided the injury occurred before the tournament and is medically verified. In this case, Pant should receive the entire ₹27 crore if the Delhi Capitals retain him despite his injury.
2. Insurance
Franchises often insure their players. If Pant cannot participate due to his injury, the franchise can claim insurance, but this doesn’t impact Pant’s earnings.
3. Missed Endorsements
An injury can result in missed opportunities for brand endorsements, which form a substantial part of cricketers’ overall income. While this doesn’t directly affect IPL earnings, Pant might have faced a dip in his total income in 2023 due to reduced appearances and campaigns.
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Comparison With Other Players
At ₹27 crore, Rishabh Pant is among the highest-paid players in IPL history. Let’s compare his earnings with other top earners.
- Virat Kohli: ₹15 crore per season (RCB retained him for this amount for several years).
- MS Dhoni: ₹12 crore in IPL 2023.
- Rohit Sharma: ₹16 crore (Mumbai Indians).
While Kohli, Dhoni, and Sharma are also subject to similar tax deductions, their longer availability for endorsements often balances their overall income. Pant’s injury might place him at a slight disadvantage in 2024.
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Advantages and Disadvantages of Injuries in Contracts
Being injured while under contract has its own set of benefits and drawbacks for players.
Advantages:
- Guaranteed Pay: Retained players like Pant are guaranteed their salary even if they miss games due to injury.
- Focus on Recovery: Players can fully focus on recovery without worrying about losing their earnings.
Disadvantages:
- Loss of Form: Being away from active cricket might affect Pant's match-readiness for the next season.
- Missed Bonuses: Players often receive performance-related bonuses (e.g., for runs scored or matches won), which injured players cannot earn.
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What Lies Ahead for Pant?
As Pant prepares to return to competitive cricket, the ₹27 crore IPL earnings secure his financial standing. However, he will need to balance his fitness, on-field performance, and endorsements to maximize his earning potential in the coming years. Given his young age and immense talent, Pant is expected to continue being a key player for India and in the IPL, ensuring sustained income streams.
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Conclusion
While ₹27 crore is a colossal amount, Rishabh Pant's take-home pay significantly reduces after taxes, agent fees, and other expenses. After deductions, he is left with approximately ₹12.763 crore, a still-impressive figure by any measure. The IPL's robust contract system ensures that players like Pant are financially protected even in challenging times, such as injuries. As he gears up for his comeback, Pant remains one of the highest earners in the league, showcasing the financial rewards of excelling in the world’s premier T20 tournament.
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