IU basketball: Here's how much Archie Miller's contract buyout is
BLOOMINGTON – IU coach Archie Miller’s buyout currently stretches into eight figures but will fall substantially in spring 2022.
According to the terms of his contract, signed upon his hiring in 2017, Miller would be owed 100% of remaining base, deferred and outside, marketing and promotional income, were he to be terminated without cause before March 31, 2022.
However, the terms of his buyout change dramatically beginning April 1, 2022. From that point forward, were he terminated without cause, Miller would only be owed 50% of all the aforementioned remaining income.
Miller currently earns $550,000 a year in base salary, plus another $1 million in deferred compensation. His outside, marketing and promotional income (OMPI) escalates over the course of his deal. Miller earned $1.65 million in OMPI in his first season in charge in Bloomington, that number rising by $50,000 each year of his seven-year contract.
Were Indiana to terminate Miller’s contract without cause before March 31 of next year, he would be owed whatever remained of those three pools of compensation. For reference, on April 1, 2021, that number would add up to approximately $10.35 million, that number subject to change as portions of Miller’s compensation are paid out monthly across the life of the contract.
IU would be required to pay the whole of Miller’s buyout within the timeframe of his current contract, which runs through March 31, 2024. Mitigation language in Miller’s contract could reduce that number, were Miller to obtain another job in basketball during the intervening period.
After April 1, 2022, the contract would include $1.1 million in base salary, $2 million in deferred compensation and $3.85 million in OMPI, all added together and divided in half.
Thus, from April 1, 2022, Miller’s buyout would fall to less than $3.5 million. It would continue decreasing over time via scheduled monthly salary payments. Both base salary and OMPI are paid monthly, while deferred compensation is paid annually.
IU’s assistants would be owed the remainder of their salaries as defined by their own contracts in the event of termination without cause. Similar mitigation language exists in their contracts as well.
Termination with cause would release IU of any further financial obligation, according to Miller’s contract.
Follow IndyStar reporter Zach Osterman on Twitter: @ZachOsterman.