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NCAA Approves Direct Payments to College Athletes in Historic Rule Change

Mississippi Rebels and Xavier Musketeers players run by the logo at mid-court during the second round of the 2015 NCAA Men's Basketball Tournament
Photo by Mike Ehrmann/Getty Images

In a big change, the NCAA will now allow colleges to pay their athletes directly from school money. The new rule starts July 1, once a court gives final approval. This is a huge shift that breaks from 50 years of strict rules against paying players.

Next year, major Division I schools can share up to 22% of their sports revenue with student athletes. This setup looks a lot like how pro sports teams share money.

The old complicated payment rules are gone. Now, there's a simpler system to keep tabs on money going to athletes. A new digital system monitors both school payments and outside deals.

Schools have until June 15 to decide if they're in. Not everyone's on board - the Ivy League is sticking to their old approach, refusing to change.

Getting paid isn't guaranteed. Players need to take full classes, keep their grades up, and stay on track to graduate.

Team sizes will change too. While old scholarship limits are gone, each sport now has specific roster caps. Women's teams might get twice as many scholarship spots.

Athletes can still make money from outside sources, but there are limits. The NCAA banned certain deals - like money from school supporters or related groups.

Power conferences got more say in these changes. It's part of a bigger effort to simplify how college sports are run.

All money has to go through proper channels. A new online system will track both school payments and outside earnings going to athletes.

Before payments can start, a judge needs to approve everything this summer. Then everything kicks off when fall classes begin.