Around the nation, coaches in revenue sports make more money than most other college employees.
Purdue President Mitch Daniels has spoken before about how Division 1 athletic spending is “out of control.”
“Too much money is involved (in Division I sports),” Daniels said in an interview with The Exponent during the Fall 2013 semester. “For now, we have to try to conduct ourselves as honorably as a university can within that world.”
Purdue runs a different athletic program than other Division 1 institutions, as it remains one of seven schools in the country to take no subsidies in its athletic funding. As a result, according to athletic director Morgan Burke, Boilermaker programs rely on the money they receive from gate receipts and media revenue to pay coaches.
“We’re like any other business,” Burke said. “You’ve got to look at your revenue and your expenses and what you can afford to pay.”
The overall athletic budget Purdue works with is about $70 million a year, $3.5 million of which goes directly to the University for general academic usage.
Within a budget that ranks in the bottom half of Big Ten athletic programs, Purdue still has to find a way to pay competitive salaries in a market where there is a high demand for football and basketball professionals.
The two highest-paid employees on campus are men’s basketball coach Matt Painter, who was compensated $2,079,067 in 2013, and football coach Darrell Hazell, who made $1,866,207 during his first season at Purdue.
Hazell’s salary ranks in the bottom half of the Big Ten at No. 7, but in the top half among Division 1 football coaches nationally at No. 43 overall. Painter, who makes approximately $2.3 million per season in an eight-year contract that began in 2011, has a salary that ranks in the top half of Big Ten basketball coaches.
Not all athletic coaches at Purdue are compensated in the same way, however. For sports which don’t produce revenue, salaries are substantially lower.
Of the 11 non-revenue coaches that were at Purdue in 2013, the highest-paid was women’s golf coach Devon Brouse. He earned $181,606.53; his total compensation is the highest because his program won the school’s last national championship in 2010.
Brouse’s total compensation is still less than that of Hazell, who earned a base salary of $250,000 in 2013. Hazell and Painter both earn incentives for attendance, academic performance and championship accomplishments, which increase their total earnings.
In a national sports culture which greatly emphasizes football and men’s basketball, millions are made from the audiences who will either watch at home on TV or spend the money to attend games. Burke said he believes Big Ten fans are getting exposed to smaller sports through the Big Ten Network’s broadcasting of tennis, baseball, softball and other events.
The marketplace, Burke said, dictates how much coaches in different sports earn in the end.
“It’s no different than if you went out and got a job as a controller,” Burke said. “You might have the same job title, but if you’re the controller at General Motors, you’re probably going to make more than the controller of a small business in Lafayette. They may have some similar functions, but the degree of accountability and responsibility is going to be different.”