FIFA has announced total prize money fund for World Cup 2022 with a massive increase of 29% taking total to $1 billion of which $440 million will be distributed between 32 teams according to how they finish in the world Cup. Rest of $660 million will be used as solidarity payments for less developed federations, clubs benefit and club insurance/player protection plans. We guide you through entire prize money fund breakdown.
FIFA has announced the 2022 World Cup total prize money fund where $1 billion allocated for distribution among football federations around the world who have qualified for world cup and who failed to do so. However the actual prize money available for the final tournament is $440 million which is $40m more then compared to 2018 world cup where finals prize money was $400 million.
The biggest increase in this world cup payment and distribution pyramid comes in the money to be distributed as solidarity payments and insurance payments to clubs whose players will be playing the world cup or the ones who get injured.
$1 billion Prize Money Fund Distribution System:
As the final prize money fund is announced, FIFA also revealed the breakdown how this $1 billion will be distributed.
This $1 billion fund is divided into four pillars of payments to be made.
- World Cup 2022 Prize Money ($440 million)
- Preparation Payments ($70 million)
- Club Benefit Program ($310 million)
- Club Protection and Insurance Fee (220 million)
Why 29% Increase In Total Prize Money Fund ?
Prize money fund is generated after FIFA sign TV broadcasting and sponsorship deals for the 4-year cycle for different competitions In this case from 2019 to 2022. Fifa signed extensive TV and online streaming rights for all their major competitions and that helped increase the revenue from TV/streaming broadcasting deals.
FIFA is expected to clear over $7.89 in total revenue from the current 4-year cycle. Where $3.5 billion comes from TV & media rights sale, $2.4 billion in sponsorship and other commercial activities and another $1.1 million from ticket sales & hospitality packages plus another $890 million from licensing fee making it a grand total of $7.89 billion.
From this $7.89billion, FIFA cover their many costs like $500 million as administration costs, around $520 million for TV coverage production costs, another $450 million to be invested to help organize the world cup 2022. Another $180 million was awarded to Qatar football federation for organizing next tournament. Other then that the yearly payments to different federations to help develop football in countries which lack infrastructure.
From $7.89b total revenue $1 billion is allocated as FIFA World Cup prize money fund. So as FIFA’s total revenue from 4-year cycle increased the total prize money fund for 2022 world cup also increased by 29% taking total to $1 billion.
The Final Prize Money Fund For 2022 World Cup – $440 million
$440 million will be awarded as prize money payments among teams according to two pillar payment system.
- A). Guaranteed Fee – This is participation fee paid to every qualified nation.
- B). Performance Based Payments: Higher the team finish in 2022 world cup more prize money they will be paid. Below is the official breakdown of 2022 World Cup prize money.
|Participation Fee (for all 32 qualified teams)||$2.5 million (each)|
|Group Stage (16 teams which get eliminated)||$8 million (each)|
|Round of 16 (8 eliminated teams)||$12 million (each)|
|Quarterfinals (4 eliminated teams)||$16 million (each)|
|Fourth Place||$22 million|
|Third Place||$26 million|
FAQ’s Regarding World Cup Prize Money
$45 million will be paid to the team who wins the final. $32 million for runners-up.
yes. Every team who qualify for World Cup 2022 will be paid guaranteed sum of $2.5 million.