They say winning fixes everything—except Ohio State’s bank account. Do you remember when Ryan Day seemed on the verge of leaving after that loss to Michigan? His buyout was a hefty $37 million, and now, irony strikes louder than a Kanye West rant. Even though the Bucks went all-in, won the championship, and yet found themselves in the same $37 million debt. Turns out that achieving success has a price, and Ohio State’s cost has increased significantly.

Well, Ohio State’s athletic department recently encountered rough waters, accumulating a deficit of $37.7 million for the fiscal year ending on June 30, 2024. So, according to The Columbus Dispatch, recent revelation on Ohio State shows that they spared no expense, spending a record-breaking $292.7 million. But their revenue couldn’t keep up, only reaching $254.9 million, a decrease of $24.6 million from the previous year. While this may have surprised some, the recent significant investments made by the Buckeyes shed light on this sudden decline.

Now let’s get straight to the point. A large portion of the spending spike came from severance payments, as $9 million was used to dismiss former basketball coach Chris Holtmann. Coaching salaries also soared, with Ryan Day and his assistants earning $28.5 million, up from $21.8 million the previous year.

And let’s not forget the flashy hire they made in February, snatching Chip Kelley from UCLA, who now earns a minimum of $2 million. It appears that Ohio State is not shy about writing checks, but sometimes taking risks is necessary to compete with the big leagues.

Moreover, there is another aspect to consider. The football ticket sales have taken a hit. With only six home games in 2023—the fewest since 2004—they experienced a $16.5 million decline in revenue. Fewer games resulted in fewer fans filling the stands, equating to lost money. But it doesn’t end there. They also suffered a loss of $8.7 million from royalties, licensing, and sponsorships, as well as an additional $5.3 million from donations. Their financial situation had holes, and the problem was escalating rapidly.

The dip is massive, but wait, it appears that Ohio State’s Athletic Director Ross Bjork has a backup plan ready.

Ross Bjork’s plan of success for Ohio State

Well, the silver lining in all those expenditures is that Ohio State clinched the national championship. Without that win, it would’ve felt like all that spending went for nothing, right? However, with that triumph, Ohio State’s financial outlook has become a bit brighter. Nonetheless, they still have work to do. If they want to maintain this momentum, they need to step up their game and achieve a significant increase in revenue next season.

And Ross Bjork is all in for turning this around. Ohio State isn’t throwing in the towel. Seems like they have already devised a plan to address the $37.7 million deficit by utilizing reserve funds and future earnings. “While last year’s budget impact is not ideal and there were unique circumstances at play, we have a robust expense and revenue plan that has been implemented and have made great progress in this ever-changing landscape of college athletics. We will make sure we operate with a balanced budget moving forward.”

In fact, Ohio State’s financial future could receive a significant boost in the years to come. As Projections show the department surpassing $300 million in spending, primarily due to a new settlement involving the NCAA and major conferences. Now if the federal judge approves the settlement this April, schools will start sharing roughly $22 million with athletes next fall. Ohio State intends to fully commit to this by paying athletes the maximum amount allowed, which could revolutionize its revenue strategy.