Part 2: FIFA Solidarity Mechanism – ARTICLE 21
Calculating Solidarity Contributions 🧮
Remember it’s ➡️ “5% of the transfer fee”
I usually find that it’s easier to explain solidarity contributions with an example. If you haven’t watched my video on Electronic Player Passports or EPPs (as they are called these days) and you don’t know what one is, this may be a good time to watch the video below, as you will need it 😉
Once you are equipped with the knowledge and information on EPPs, you can follow the example below ⏬
A 26 yr old Ghanaian player was transferred from a club in France to a club in the EPL for €50m.
What is the solidarity contribution available for the training clubs ⁉️
5% is €50m x 0.05 = €2.5m
He played for three clubs between the ages of 12-23.
Club A: 12-16yrs in Ghana
Club B: 17-20yrs in Ghana
Club C: 21-23yrs in France
Where would you find this information⁉️
On a player passport/EPP, which is why I asked you to watch the video! 👊🏽📺
In Part 1 we learnt that clubs involved in the training and education of a player between the ages of 12-15 receive 5% of the 5% and between 16 to 23, the training club receives 10% of the 5%.
Going back to our example we have:
Club A: Year of 12th birthday ➡️ 5% of €2.5m = €125k
Club A: Year of 13th birthday ➡️ 5% of €2.5m = €125k
Club A: Year of 14th birthday ➡️ 5% of €2.5m = €125k
Club A: Year of 15th birthday ➡️ 5% of €2.5m = €125k
Club A: Year of 16th birthday ➡️ 10% of €2.5m = €250k
Club B: Year of 17th birthday ➡️ 10% of €2.5m = €250k
Club B: Year of 18th birthday ➡️ 10% of €2.5m = €250k
Club B: Year of 19th birthday ➡️ 10% of €2.5m = €250k
Club B: Year of 20th birthday ➡️ 10% of €2.5m = €250k
Club C: Year of 21st birthday ➡️ 10% of €2.5m = €250k
Club C: Year of 22nd birthday ➡️ 10% of €2.5m = €250k
Club C: Year of 23rd birthday ➡️ 10% of €2.5m = €250k
Club A receives €750k
Club B receives €1m
Club C receives €750k
✳️ Total 🟰 2.5m (this is always a good check of your calculations)
That’s it 👌🏽
Admittedly, some are more complex to calculate than others especially if the player has been with lots of clubs and for incomplete seasons, which means you would have to pro rata. But if you’re good at maths (or spreadsheets 🙌🏽) you’ll be ok.
I think the Solidarity Mechanism is an amazing process implemented by FIFA, but we just need to get it working better in some countries. Under the old process, training clubs were continuously chasing buying clubs for their share of solidarity contributions. Under this new FIFA Clearing House SAS process, things should have been a little bit easier and more automated but we’re still not seeing that. That said I’m watching and waiting to see how it all pans out! 🫶🏽
I would love to hear your solidarity contribution stories, both under the old process and the new process…
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To enjoy the full benefit of this post and some interesting comments, you can also view it on LinkedIn: