Professional athletes fund their charities one of two ways — with their own money or with someone else’s.
Some philanthropy experts emphasize that charity is the same whether funds come from an athlete who started a charity or from another source, be that fans, sponsors or a professional team or league.
“I don’t think that we are in a place of judgment to believe that just because a celebrity has started a nonprofit, that they should have to be the ones to sustain it,” said Ebonie Johnson Cooper, faculty director of nonprofit executive education and training of the Do Good Institute at the University of Maryland.
Yet not everyone agrees with that sentiment. Temple University sports management associate professor Thilo Kunkel said: “When I see an athlete who launches a foundation and does not make a [significant] financial contribution … I then question their authenticity and whether they actually care about it.”
Over the last 10 years, at least 60 former and present players who spent time on rosters of professional teams in the DMV have started public charities or private foundations, according to a four-month review by the Shirley Povich Center for Sports Journalism.
The Povich Center’s review showed that athletes who established public charities often donated less than 50% of total funds raised. Instead, athletes used their status as celebrities to encourage others to donate. That information is disclosed on Form 990, a document that public charities are required to file each year with the Internal Revenue Service.
Alex Smith, a quarterback for the Washington Commanders from 2018 to 2020, relied on public support for more than 99% of funds raised in 2021 for his nonprofit Alex Smith Foundation, according to public documents. Vernon Davis, also a former Washington Commanders player, used money provided by others for roughly 52% of revenue for his Foundation for the Arts public charity in 2016. Public charities are not required to disclose a list of donors or the amounts of their contributions. Both tax forms for the Davis and Smith charities were the last filed.
One common way for athlete-led charities to take advantage of the name recognition of their founders is to hold an event like a golf tournament or a charity dinner or auction. The idea is to appeal to fans who are eager to support a cause that matters to their favorite player.
Two-time WNBA MVP Elena Delle Donne uses an annual golf event to raise money for her nonprofit. The Elena Delle Donne Charitable Foundation, started in 2013, raises awareness of Lyme disease research and animal welfare. Delle Donne, who won a championship with the Mystics in 2019, was diagnosed with Lyme’s Disease more than a decade ago. She has spoken publicly about the health challenges she has faced.
From 2015 to 2020, former Washington Wizards star Russell Westbrook hosted a bowling event for his Why Not? Foundation. The foundation hosted a poker event in Las Vegas each of the past four years. According to the foundation’s website, there was a $7,500 registration fee. The payment included a seat at a poker tournament, one added guest, a one-night stay at the Wynn Las Vegas hotel and attendance to the cocktail party that followed the poker night.
There are two major pathways for those who want to establish charitable organizations. One is to start a public charity like the ones headed by Smith and Davis. Public charities rely for financial support on the general public, according to the IRS. The leaders of the charity often also contribute money as well as by spending time organizing fundraising events.
The other option is to create a private foundation; it differs from a public charity in that it requires one person to make a large initial donation. That gift results in an endowment that allows the foundation to make grants to organizations that align with its charitable goals.
Athletes who’ve reached the top in their sports and have earned rich contracts are ones who are more likely to start private foundations. John Wall, who played for the Washington Wizards from 2010 to 2019, and former Washington Commanders quarterback Kirk Cousins began their private foundations following large contract extensions.
The John Wall Family Foundation’s first fiscal year ended in 2014, the same year Wall signed a five-year, $84 million contract extension with the Washington Wizards. The Julie and Kirk Cousins Foundation’s first fiscal year ended in 2018. Cousins signed a three-year, $84 million contract extension with the Minnesota Vikings that same year.
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For athletes who choose public charities, the challenge and opportunity is to creatively seek donations that help the organization pursue its mission. Fans usually are a part of that strategy and so are the athletes’ corporate sponsors. Sports brands are on the lookout for athletes they can partner with for charity events, said Amanda Bonzo, a senior director of communications at DICK’S Sporting Goods.
In 2023, Carmelo Anthony and Davante Adams were among athletes picked by DICK’S and Nike for a program that made $75,000 grants to youth organizations across the country. The athletes got to choose the organizations, which made it personal for them. The Sports Matter Grant program generated a total of $5.6 million in donations to the youth organizations, per a DICK’s press release.
“There’s a lot that goes into choosing which athletes participate [when consumer brands stage charity programs],” Bonzo said. “It’s usually an alignment of interest and also scheduling. When all the stars align, it’s a great moment for the kids.”
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