Herea at Fieldoo we’ve prepared a few facts and rules about training compensation which must be paid to footballer’s training club when a player signs his first professional contract with another club.
Training compensation must be paid to a player’s training club when a player signs his first professional contract with another club and on each further transfer until the end of the football season of his 23rd birthday (Article 20 of the FIFA Regulations on the Status and Transfer of Players – learn more here).
Training compensation shall be payable, as a general rule, up to the age of 23 for training incurred up to the age of 21, unless it is evident that a player has already terminated his training period before the age of 21. In the latter case, training compensation shall be payable until the end of the season in which the player reaches the age of 23, but the calculation of the amount payable shall be based on the years between the age of 12 and the age when it is established that the player actually completed his training.
The obligation to pay training compensation is without prejudice to any obligation to pay compensation for breach of contract.
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Training compensation is due when:
- a player is registered for the first time as a professional;
- a professional is transferred between clubs of two different associations (whether during or at the end of his contract) before the end of the season of his 23rd birthday.
Training compensation is not due if:
- the former club terminates the player’s contract without just cause (without prejudice to the rights of the previous clubs);
- the player is transferred to a category 4 club;
- a professional reacquires amateur status upon being transferred.
Responsibility to pay training compensation
On registering as a professional for the first time, the club with which the player is registered is responsible for paying training compensation within 30 days of registration to every club with which the player has previously been registered (in accordance with the players’ career history as provided in the player passport) and that it has contributed to his training starting from the season of his 12th birthday. The amount payable is calculated on a pro rata basis according to the period of training that the player spent with each club. In the case of subsequent transfers of the professional, training compensation will only be owed to his former club for the time he was effectively trained by that club.
In both of the above cases, the deadline for payment of training compensation is 30 days following the registration of the professional with the new association.
If a link between the professional and any of the clubs that trained him cannot be established, or if those clubs do not make themselves known within 18 months of the player’s first registration as a professional, the training compensation shall be paid to the association(s) of the country (or countries) where the professional was trained. This compensation shall be reserved for youth football development programmes at the association(s) in question.
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Inland player’s transfers
Every FA (Football Association) has the possibility to apply their own regulations for inland transfers under the FIFA laws, jurisdiction and supervision.