The one thing that entertained me about the Lebron story came from Cowherd...

[TerryP]

...when he was talking about the reasons why James wouldn't leave Miami.

"There's no state tax in Florida."

About two years ago there was a "30 for 30" episode on ESPN that cited 60% of NBA players are broke five years after they retire. A quick google search will yield a plethora of article about both NBA and NFL guys who simply don't know how to manage their money.

While James looks like he'll continue in the league for several years to come the notion that something like the amount of tax he pays was going to factor in the decision made no sense to me.

 

[alabama mike]

According to reports from SI and local new stations here in Ohio, King James is coming back to Cleveland. To put this in perspective, remember how the news stations broke in when Coach Saban came to Bama. Big news here in Ohio!

 

[planomateo]

Not exactly true, Cowherd should know about the Jock Tax.

So I was going to look up the rules to explain it but its complex. Basically you get taxed on the away games, every location is different. Sure it still works out better for him in Miami...but something tells me he's going to get a nice "bump in pay" in Cleveland.

I was looking up a way to explain this and found an article from 2010 which does a decent job > http://taxfoundation.org/article/state-jock-taxes-lebron-better-miami

I want to say endorsements are taxed based on your state of residence...and that can be anywhere. So all the real money he's making would be tax free and I imagine he'll claim another state as his residence to save some money on taxes.

Kinda ironic the IRS makes such a big deal about this stuff when our corporate tax code does the opposite...pushing business to move their engineering overseas to lower tax rates to save money. Seems like someone in the government would wake up and realize that ~38% (current corporate tax rate) of nothing is worse than ~28% of trillions/billions...

LeBron should have stayed in Cleveland, he'll always have an * beside his name in my book.

 

[planomateo]

Miami sees something in Bosh that I haven't, $118M for 5 yrs.

Good thing Houston traded Lin and next years 1st round pick to the Lakers.

Wade, Bosh, and LeBron have a few teams by the short hairs...kinda funny if you think about it.

 

[EuroTide]

as a Browns fan ive always followed the Cavs to some extend, i`m glad he is back.
they are in a good position to bring winning back to the city.

 

[bama alum]