For the longest time, the Olympic Games were all about embracing amateur participation. Competing for national pride and the love of the game was paramount instead of for financial incentives. But in 1992, the doors for professionals to compete opened. However, the chance to earn prize money from the Olympics didn’t. Until now.

“World Athletics becomes the first international federation to award prize money at the Olympic Games,” the organization announced. For the first time in history, every gold medal-winning athlete in the 48 track and field events will receive a $50,000 cash prize. “It is important we start somewhere and make sure some of the revenue generated by our athletes at the Olympic Games are directly returned to those who make the Games the global spectacle it is,” said World Athletics President Sebastian Coe. While this is a significant step for the likes of Sha’Carri Richardson, Simone Biles will likely have a comparable stat to 2023.

The bizarre situation of Simone Biles’ prize money ahead of the Paris Olympics

In December 2023, Sportico released a list of the highest-paid female athletes of the year. Topping the list was tennis sensation and US Open champion Coco Gauff, who was estimated to have earned $16 million from endorsements. More importantly, she earned close to $7 million in prize money. On the other hand, Simone Biles (ranked 9th) earned $8.5 million from sponsorships but practically nothing from prize money. It’s important to note that the 26-year-old made modern-day history last year by becoming the most decorated gymnast ever.

Registered with the FIG, Biles competes without a salary. While it’s no secret that representing your country on the global stage is all about upholding the spirit of competition and honoring your nation, it does mean that most athletes don’t earn anything from the events they participate in. However, this new ruling by the International Olympic Committee (IOC) changes that. But only for track and field athletes, meaning that if both Sha’Carri Richardson and Simone Biles were to win gold medals at the Paris Olympics, only one would receive monetary benefits. And it won’t be the most decorated gymnast in history. 

Per the Washington Post, “The prize money will come out of the share of Olympic revenue the IOC distributes to World Athletics.” It’s also been revealed that the IOC redistributes 90% of its generated revenue to national Olympic committees. After that, it’s up to the committees to decide how to use those funds. Following the 2021 Tokyo Olympics, the US Olympic Committee rewarded $37,500 for a gold, $22,500 for a silver, and $15,000 for a bronze medal. 

After clinching gold in the 100m at the 2023 World Athletics Championship in Budapest, Sha’Carri Richardson said, “I’m ready, mentally, physically, and emotionally. And I’m here to stay. I’m not back; I’m better.” The world champion is gunning for that gold crown (among others) even in Paris, just as Biles is in gymnastics. But considering the US Olympic Committee’s previous rewards and the IOC’s new implementation, if Simone Biles were to finish on the top step of the podium in any event, she wouldn’t earn as much as Richardson would for the same result.

This fact brought back to light Sportico’s list from 2023, with the sad revelation about Simone Biles’ nearly $0 earnings from prize money making personalities like Heath Thorpe lash out at the FIG. World Athletics’ decision to introduce prize money is a considerable step, one that will extend to silver and bronze medalists in 2028. Considering the shifts the Olympic Games have seen over the years, Sebastian Coe shared his experiences, comparing them to the need of the hour right now.

World Athletics has recognized the changing Olympic environment

As the Olympics shifted from an avenue for amateurs to one where the best of the best competed, Britisher Sebastian Coe experienced how the Olympics were right before the doors opened up. As reported by the Associated Press, “I’m probably the last generation to have been on the 75-pence (95-cent) meal voucher and second-class rail fare, competing for my own country. So believe me, I do understand the nature of the transition we’ve been in,” the 1,500m gold medalist (1980 and 1984) said.

However, he recognized that the world has changed now. For athletes who don’t make the podium during the Olympics, it isn’t easy to make a living. Coe explained, “It’s a completely different planet from when I was competing, so it’s very important that this sport recognizes the change in that landscape and the added pressures on many competitors.”

Given World Athletics’ move, Coe is uncertain whether other sports will follow suit. While that’ll only get clearer with time, it gives sports like gymnastics (where prize money doesn’t come around as easily as it does in other sports) the room to figure out a way forward.