How Much Do NASCAR Drivers Get Paid?

Posted on August 15, 2009. Filed under: NASCAR Drivers | Tags: diecast cars, how do nascar drivers get paid, how much do nascar drivers get paid, NASCAR, NASCAR driver |

A common question among young aspiring NASCAR drivers is, “How much do NASCAR drivers get paid?” Nowadays, a popular NASCAR driver can make upwards of $20 million dollars per year! But that income isn’t coming from a single source, you see, NASCAR has positioned itself well as an advertising platform for major domestic businesses.

So maybe the question isn’t so much “how much do NASCAR drivers get paid” as “how do NASCAR drivers get paid?” The answer to that is not quite so simple, but let’s break it down a little.

All drivers get paid a salary or specific dollar amount to drive for the year regardless of how well they do. This is typically in the $700,000 to $1,000,000 range. Some drivers demand a higher salary and others less but that’s about the median. The drivers also negotiate the percentage of each purse they take. These can range from 25-40% depending on the driver and the team. If the driver wins the race he might take as much as 50% of the purse.

Another source of revenue for the drivers comes from the large corporate sponsor. These are the guys that like to plaster their logos all over the car. These major sponsors could contribute up to as much as $20 million to the team, a good portion of which would go to the driver.

Even more revenue is generated for the high-profile NASCAR drivers through what are called “incidentals.” Check out this quote I found:

“Drivers and teams then share in other “incidentals,” like personal appearances, endorsements and highly profitable ancillary sales, which include diecast cars, shirts, hats, jackets, pins, model kits, trading cards and other collectible items. A popular driver can make more on these deals than his salary, with the superstars making way, way more than their usual driving contract deals.” – http://www.spokesmanreview.com/allstories-news-story.asp?date=052904&ID=s1524501

So now you know how much NASCAR drivers get paid. But not only that, you also know how they get paid which is as much a lesson in business as it is in NASCAR!