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FIFA World Cup 2022

FIFA has Announced 29% increase in 2022 FIFA World Cup Prize Fund taking total to $450 million for the finals event.

FIFA World Cup 2022 will be taking place in Qatar starting from 21st November and will be played through 18th December 2022. 32 teams will take part in the tournament which will be confirmed by summer 2022 before the group stage draw takes place. FIFA however has already announced total prize money fund for FIFA World Cup with a massive increase of 29% taking total to $1 billion.

FIFA has announced the 2022 World Cup Prize Money where $1 billion allocated as payments to nations participating or failed to qualify for world cup. $450 million will be allocated for the finals prize money where eventual winners are expected to take home as much as $50 million.

We take a look at how $1 billion prize money fund will be distributed by FIFA to not only qualified teams for world cup but also as solidarity payments to federations which failed to qualify for World Cup.

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.

World Cup 2022 Prize Money pool increased

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.

$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.

  1. World Cup 2022 Prize Money
  2. Preparation Payments
  3. Club Benefit Programe
  4. Club Protection and Insurance Fee

The Final Prize Money Fund For 2022 World Cup – $450 million

$450 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
Group Stage (16 teams which get eliminated)$8 million
Round of 16 (8 eliminated teams)$12 million (each)
Quarterfinals (4 eliminated teams)$16 million (each)
Fourth Place$22 million
Third Place$26 million
Runners-up$32 million
Champions$45 million
Eventual winners can take home as much as $47.5 million while teams getting knocked out in group stages are guaranteed a $10.5 million sum.

Written By

Writes about financial aspects of major sports specially the ones in motorsports like Formula 1, MotoGP.

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