There has been little “luck of the Irish” for the Notre Dame football team in recent years, and recent decades. One of the most historic programs in U.S. college football claims 11 national titles, but none since 1988, when quarterback Tony Rice led the Fighting Irish to the championship with a 34-21 win over West Virginia in the Fiesta Bowl.
While the university has endured a 36-year championship drought, it has laid foundations for where it stands today. On Thursday Notre Dame will play Penn State in the Orange Bowl in Miami, Florida in one of two semifinals in the College Football Playoff system that for the first time this season started with 12 teams.
And then there were four. With each of Notre Dame’s victories in the new postseason format, it has earned a payout that has nothing to do with luck, but with a decision that has remained as part of the program’s staunch tradition.
Unlike its rivals in the CFP semifinals – and in almost all of college football – Notre Dame is an independent, unassociated with a conference. The conference system has shaped the dynamics and finances of college football, enticing lucrative contracts from American broadcast television, network and cable.
But Notre Dame has created its own TV money through its famous name and history and now stands to profit greatly from its CFP success. The prize money afforded to the teams goes to the conferences. Notre Dame’s payout goes directly to the school.
Each of the four teams – Notre Dame, Penn State, Ohio State and Texas – in the semifinals will receive USD $6 million for its appearance. The Big Ten Conference will collect that money on behalf of Penn State and Ohio State, the Southeastern Conference (SEC) collects for Texas. Each conference then distributes the money among its member teams, based on conference charters.
Each team will also receive an additional $3 million to cover expenses such as travel, accommodations, food, etc.
The four teams have already earned $4 million for making the original 12-team playoff field, and $4 million for advancing to the quarterfinal. They made $3 million per round they played in.
The winners of the two semifinals will earn an additional $6 million, not to mention a spot in the National Championship game.
This means the two teams in the championship game will have picked up $20 million in prize money along the way. In Notre Dame’s case, this money goes directly to the university’s coffers, untouched by any competing teams and schools along the way.
According to Sportico, Notre Dame’s football budget in the 2022-23 season was $71.9 million. Among the 12 teams in this year’s CFP, this would rank second behind only Ohio State. But the Fighting Irish will earn a base payout from the CFP of $12 million annually and have a TV deal for all their games to be on NBC through 2029.
These sums come before ticket and concession sales for home games, not to mention team merchandise. When the team travels, Notre Dame is paid by the hosting team to play. Yahoo Sports reported Notre Dame was paid $500,000 to play at Purdue in September of 2024.
According to a report from Villanova University Sports Law, Notre Dame football generated over $65 million in 2021, nearly $11 million per home game.
A run to the championship game would result in the school collectively capturing anywhere from 20-35% of its annual revenue, just in the one month of playoff competition, a staggering amount for even the most powerful football programs in the country.
Some luck on the field might come in handy. No four-leaf clover is required for the team’s financial fortunes though. A tried, tested and true decision to remain independent has seen to that.
Follow: @dgontheroad
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Notre Dame takes on Penn State in the Orange Bowl, Thursday, January 9 at 7:30 pm eastern time on TSN 1/3/5. In the other semifinal, Ohio State faces Texas in the Cotton Bowl, Friday, January 10 at 7:30 pm eastern time on TSN 1/4/5.