NFBC Prize Payment Update and Timeline

[Greg Ambrosius]

2010 is in the books for the NFBC and 2011 will be here before you know it. This year we will be able to coincide payment of prizes from last year with signups for next year so that everyone can plan ahead. Here's the timetable for all of this:



Fanball has thousands of winners through all of their baseball contests and the process of paying each of them will begin the first week of November, including the NFBC. All Fanball baseball prize winners from the NFBC, Diamond Challenge, Draft & Play and other contests will be paid simultaneously, involving thousands of winners and millions of dollars in prizes. All of this is being verified now and set up for each individual winner so that all of the totals match.



We are automating the NFBC system right now so that everything will be right on your NFBC Home page and done electronically. Just go to HOME at nfbc.fanball.com and MY ACCOUNT to update your mailing address and contact info. Click on Prizes and you'll see if we have your social security number and a W-9 on file. If not, you'll be prompted to fill out a W-9 once the Claim Prizes link is live the first week in November (it's not there now). Fill it out online once your total prizes are listed and you'll be good to go.



The Claim Prizes link will be available the week of Nov. 1st with a listing of your NFBC winnings and prize total. Double check each amount to make sure all of this is correct and then claim the prize. That will start the process to get checks processed and in the mail to our winners.



To coincide with the prize payments, we'll also unveil our NFBC web site for 2011 and begin taking signups that week. New for this year: We'll allow you to transfer some of your 2010 winnings to 2011 payments if you'd like. Sign up for any 2011 NFBC event and we'll transfer any of your winnings to cover your payment if that's what you'd like to do. But even if you don't want to do that, the Registration page for 2011 will open then and we'll officially begin taking signups the first week of November. Look for all of that soon.



Congrats to all of our NFBC winners from Fanball.com and look for your prize money soon.

[Gekko]

Originally posted by Greg Ambrosius:

2010 is in the books for the NFBC and 2011 will be here before you know it. This year we will be able to coincide payment of prizes from last year with signups for next year so that everyone can plan ahead. Here's the timetable for all of this:



Fanball has thousands of winners through all of their baseball contests and the process of paying each of them will begin the first week of November, including the NFBC. All Fanball baseball prize winners from the NFBC, Diamond Challenge, Draft & Play and other contests will be paid simultaneously, involving thousands of winners and millions of dollars in prizes. All of this is being verified now and set up for each individual winner so that all of the totals match.



We are automating the NFBC system right now so that everything will be right on your NFBC Home page and done electronically. Just go to HOME at nfbc.fanball.com and MY ACCOUNT to update your mailing address and contact info. Click on Prizes and you'll see if we have your social security number and a W-9 on file. If not, you'll be prompted to fill out a W-9 once the Claim Prizes link is live the first week in November (it's not there now). Fill it out online once your total prizes are listed and you'll be good to go.



The Claim Prizes link will be available the week of Nov. 1st with a listing of your NFBC winnings and prize total. Double check each amount to make sure all of this is correct and then claim the prize. That will start the process to get checks processed and in the mail to our winners.

Not exactly the news we were all hoping for (The Claim Prizes link will be available the week of Nov. 1st). Probably means Sunday, Nov 7th at 11.59pm



So, what's the bottomline here? My W9 is on file and my address hasn't changed. When should I expect to see a check? I was hoping by the end of October, but that seems like a no-go now.



[ October 15, 2010, 03:32 PM: Message edited by: Gekko ]

[Glenneration X]

Quick question on this....



There are other contests I play that also have accounts from which prize winnings can be claimed, checks can be requested, and account funds can be utilized to enter future contests.



In those accounts, 1099's are only issued at the end of the year for any checks that are requested, not for funds that remain in the account or for funds that remain in the contest via new entries into future contests.



Will this be the case here as well?



Glenn



[ October 16, 2010, 11:57 AM: Message edited by: Glenneration X ]

[Layin'theSmackDown]

in the past the fanball timeline for cheques has been stated as 6-8 weeks after you claim your prize online.

[Red Sox Nation]

This is certainly later than last year and my recent memory. I deposited my check on 10/22 last year.



Greg once the window opens up on 11/1 how soon after that will the checks get mailed?

[Gekko]

Originally posted by Layin'theSmackDown:

in the past the fanball timeline for cheques has been stated as 6-8 weeks after you claim your prize online. 6-8 weeks AFTER you "claim your prize online"??? i very much hope that is NOT the case here. that would put checks in December.

[Greg Ambrosius]

Originally posted by Red Sox Nation:

This is certainly later than last year and my recent memory. I deposited my check on 10/22 last year.



Greg once the window opens up on 11/1 how soon after that will the checks get mailed? I don't remember the exact timeline for NFBC checks in the past, but I'm pretty sure it took about 3-4 weeks. If I recall we got checks out at the end of October because I remember people at the AFL Symposium in early November thanking me for their checks. The process always took a few weeks to verify all prize winners, get everyone in the system and get checks issued.



But again, that was for one contest. Fanball has several contests and is working hard to get all prize winners paid on a very timely basis. That means winners for Diamond Challenge, Draft & Play, NFBC, etc., all getting everything done as soon as possible. The timeline hopefully isn't much different than in the past if we can issue checks quickly after everyone has claimed prizes.



I don't know how quickly checks will be issued after prizes have been claimed, but I'll ask Ryan for an update and post here when I know. We're not far off from years past.

[Greg Ambrosius]

Originally posted by Gekko:

quote:Originally posted by Layin'theSmackDown:

in the past the fanball timeline for cheques has been stated as 6-8 weeks after you claim your prize online. 6-8 weeks AFTER you "claim your prize online"??? i very much hope that is NOT the case here. that would put checks in December. [/QUOTE]Let us post the facts before everyone starts speculating on things. We have this process automated pretty nicely now and no longer have to mail W-9s or mail checks to the wrong addresses or have the wrong totals. Everything is right there now on your team page and I'm confident that this process is better than we've had in the past with KP/F+W. Let's get to the Claim Prizes step and let St. Louis acknowledge the time line after that. We're right here with the time line and certainly eager and open about getting all winners their prize money. I'm sure we'll have an update as we get to the next step. Heck, you can ask here and someone will provide the latest update.

[Greg Ambrosius]

Originally posted by Glenneration X:

Quick question on this....



There are other contests I play that also have accounts from which prize winnings can be claimed, checks can be requested, and account funds can be utilized to enter future contests.



In those accounts, W-6's are only issued at the end of the year for any checks that are requested, not for funds that remain in the account or for funds that remain in the contest via new entries into future contests.



Will this be the case here as well?



Glenn I don't know the answer to that Glenn and honestly I don't even know what a W-6 is, but I'll find out. I'll post an answer when I get one first thing next week.

[Glenneration X]

Originally posted by Greg Ambrosius:

quote:Originally posted by Glenneration X:

Quick question on this....



There are other contests I play that also have accounts from which prize winnings can be claimed, checks can be requested, and account funds can be utilized to enter future contests.



In those accounts, W-6's are only issued at the end of the year for any checks that are requested, not for funds that remain in the account or for funds that remain in the contest via new entries into future contests.



Will this be the case here as well?



Glenn I don't know the answer to that Glenn and honestly I don't even know what a W-6 is, but I'll find out. I'll post an answer when I get one first thing next week. [/QUOTE]Just a brain fart. I meant to reference the 1099, though I'm sure you knew where I was headed.



Glenn

[Thunder]

it's not a big deal to me as i have very little coming to me this year, but i have a copy of a check from the Chicago auction in 2009 dated 10/16/09.

[Gekko]

Originally posted by Greg Ambrosius:

Let us post the facts before everyone starts speculating on things. We have this process automated pretty nicely now and no longer have to mail W-9s or mail checks to the wrong addresses or have the wrong totals. Everything is right there now on your team page and I'm confident that this process is better than we've had in the past with KP/F+W. Let's get to the Claim Prizes step and let St. Louis acknowledge the time line after that. We're right here with the time line and certainly eager and open about getting all winners their prize money. I'm sure we'll have an update as we get to the next step. Heck, you can ask here and someone will provide the latest update. I understand all of this. But when you say the "process is better than we ever had with KP/FW" it sounds like we are going to be getting our checks at least 3 weeks LATER than we did with KP/FW (3rd or 4th week of October). From a prize winner's standpoint, it sure looks like the process is worse.



let's end the 2010 season on a good note Fanball.



[ October 15, 2010, 07:46 PM: Message edited by: Gekko ]

[viper]

Over/under on checks not being available before Thanksgiving. My current guess is after Thanksgiving.



As far as 1099s go, they are required for all monies won in excess of $600 although they could be provided for any lower amount. If they are sent, the IRS will know and their computers will be matching your 1040s for that amount. Technically, if you had money kept for next season, it would really be two separate transactions. You won money and then you spent money. You should get a 1099 for the money won but, on your return, you could offset it. The problem would be next year when you would not have entry fees to offset winnings.

[Glenneration X]

Originally posted by viper:

Over/under on checks not being available before Thanksgiving. My current guess is after Thanksgiving.



As far as 1099s go, they are required for all monies won in excess of $600 although they could be provided for any lower amount. If they are sent, the IRS will know and their computers will be matching your 1040s for that amount. Technically, if you had money kept for next season, it would really be two separate transactions. You won money and then you spent money. You should get a 1099 for the money won but, on your return, you could offset it. The problem would be next year when you would not have entry fees to offset winnings. Not necessarily. That's not the way the two other major fantasy contests play it. They only issue 1099's for moneys cashed out. I think that makes sense.



My prize winnings for another contest have also already been placed in my account. I'm patient and in no rush, but I thought that was pretty cool.



Glenn

[Gekko]

Originally posted by Glenneration X:

That's not the way the two other major fantasy contests play it. They only issue 1099's for moneys cashed out. I think that makes sense.

Sorry, Glenn but those two contests are wrong IMO. If they get audited, I expect to see audits of many of the "rollover" crowd.



Think about it. Why do you have to report your stock earnings each year even if you keep all your money in your account? But fantasy earnings you don't have to report? Ya, right.



Those two companies are wrong, and if the IRS finds out (whistle-blower reward anyone), they will look to collect everything they are owed (plus penalties)



[ October 15, 2010, 09:11 PM: Message edited by: Gekko ]

[Glenneration X]

Originally posted by Gekko:

quote:Originally posted by Glenneration X:

That's not the way the two other major fantasy contests play it. They only issue 1099's for moneys cashed out. I think that makes sense.

Sorry, Glenn but those two contests are wrong IMO. If they get audited, I expect to see audits of many of the "rollover" crowd.



Think about it. Why do you have to report your stock earnings each year even if you keep all your money in your account? But fantasy earnings you don't have to report? Ya, right.



Those two companies are wrong, and if the IRS finds out (whistle-blower reward anyone), they will look to collect everything they are owed (plus penalties) [/QUOTE]You're wrong about the stocks my friend. Your stock value can increase ten-fold and you only have to pay taxes when you sell, not a second before.



Glenn

[Gekko]

Originally posted by Glenneration X:

quote:Originally posted by Gekko:

quote:Originally posted by Glenneration X:

That's not the way the two other major fantasy contests play it. They only issue 1099's for moneys cashed out. I think that makes sense.

Sorry, Glenn but those two contests are wrong IMO. If they get audited, I expect to see audits of many of the "rollover" crowd.



Think about it. Why do you have to report your stock earnings each year even if you keep all your money in your account? But fantasy earnings you don't have to report? Ya, right.



Those two companies are wrong, and if the IRS finds out (whistle-blower reward anyone), they will look to collect everything they are owed (plus penalties) [/QUOTE]You're wrong about the stocks my friend. Your stock value can increase ten-fold and you only have to pay taxes when you sell, not a second before.



Glenn [/QUOTE]When your baseball season is over, that means you sold. If you made money it gets reported just like stocks. no legal way around it

[Gekko]

Originally posted by Glenneration X:

quote:Originally posted by Gekko:

quote:Originally posted by Glenneration X:

That's not the way the two other major fantasy contests play it. They only issue 1099's for moneys cashed out. I think that makes sense.

Sorry, Glenn but those two contests are wrong IMO. If they get audited, I expect to see audits of many of the "rollover" crowd.



Think about it. Why do you have to report your stock earnings each year even if you keep all your money in your account? But fantasy earnings you don't have to report? Ya, right.



Those two companies are wrong, and if the IRS finds out (whistle-blower reward anyone), they will look to collect everything they are owed (plus penalties) [/QUOTE]You're wrong about the stocks my friend. Your stock value can increase ten-fold and you only have to pay taxes when you sell, not a second before.



Glenn [/QUOTE]and remember, i said "stock earnings" (not stock value). you don't earn anything until you sell.

[Glenneration X]

I look at it more as prize earnings. If you win the lottery and it's paid out over 20 years, do you pay taxes for the whole 20 million the first year if you only receive 2 million of it and the rest stays on account? Of course not. You pay taxes only on what you received to date. Then when you receive the next check, you owe taxes on that. The same should apply here.



If your house increases in value, you don't pay the taxes on its value while you still live in it. You pay when you sell. Then when you reinvest those earnings in another house of the same value or more, those taxes no longer apply.



Prize winnings, property sales, stock earnings, anything on this earth, it doesn't matter. You only pay taxes on it when you receive, not before.



Glenn

[Gekko]

Originally posted by Glenneration X:

I look at it more as prize earnings. If you win the lottery and it's paid out over 20 years, do you pay taxes for the whole 20 million the first year if you only receive 2 million of it and the rest stays on account? Of course not. You pay taxes only on what you received to date. Then when you receive the next check, you owe taxes on that. The same should apply here.



If your house increases in value, you don't pay the taxes on its value while you still live in it. You pay when you sell. Then when you reinvest those earnings in another house of the same value or more, those taxes no longer apply.



Prize winnings, property sales, stock earnings, anything on this earth, it doesn't matter. You only pay taxes on it when you receive, not before.



Glenn Try using that logic with the IRS or the State you live in. It won't work.



If I sell $25,000 of Apple stock and $15,000 of it was profit, and I choose to keep all of it in my "account", I still need to report it and pay taxes on it.

[Glenneration X]

I wouldn't have to if I didn't receive a 1099.



Glenn

[KJ Duke]

Originally posted by Gekko:

Think about it. Why do you have to report your stock earnings each year even if you keep all your money in your account? But fantasy earnings you don't have to report? Ya, right.



I would side with Glenn on the logic.



Your analogy above doesn't work Gek because in the case of an equity account you have legal ownership/discretion of funds that you've deposited, while the brokerage has custody of the account by contractual agreement which comes with statutory responsibilities. But it is YOUR money.



In the case of a fantasy contest not disbursing funds on your behalf, you never come into control of the money and there is no custodial contract; it is under their control until dispersed. The lottery winner is a good analogy; while fantasy contests have an obligation to pay winners, taxes are not assessed on obligations. If income tax was assessed on winnings not paid the fantasy jungle winners last season would have tax obligations for winnings not paid and businesses would owe tax on products sold but not paid for.



I don't know what the legal trigger is, but it would be helpful if the industry could determine legal guidelines for its players. And by that I mean a confirmed ruling, not just a cover your ass conservative policy.



[ October 15, 2010, 10:17 PM: Message edited by: KJ Duke ]

[Gekko]

Originally posted by Glenneration X:

I wouldn't have to if I didn't receive a 1099.



Glenn I can't live that way...knowing if I ever get audited as a result of an FFPC or WCOFF investigation that I didn't report the earnings. Probably unlikely to happen, but I like having the peace of mind.



PS - You never know what some people will do. If the economy gets worse, I can see some unemployed baller reporting those companies to the IRS to try and get a whistle-blower reward.

[Gekko]

Originally posted by KJ Duke:



In the case of a fantasy contest not disbursing funds on your behalf, you never come into control of the money and their is no custodial contract; it is under their control until dispersed. read Greg's post. it seems clear that any 2010 winnings is controlled by the participant.



Originally posted by Greg Ambrosius:

New for this year: We'll allow you to transfer some of your 2010 winnings to 2011 payments if you'd like.

[KJ Duke]

Originally posted by Gekko:

quote:Originally posted by KJ Duke:



In the case of a fantasy contest not disbursing funds on your behalf, you never come into control of the money and their is no custodial contract; it is under their control until dispersed. read Greg's post. it seems clear that any 2010 winnings is controlled by the participant.



Originally posted by Greg Ambrosius:

New for this year: We'll allow you to transfer some of your 2010 winnings to 2011 payments if you'd like. [/QUOTE]You can direct them to do something, but they still control it. It's like a business sending a bill; it's not income 'til payment is received.



Fanball is neither a bank nor brokerage firm with "legal custody" of your money. That's a very important distinction.