contingency

[goinbroke2]

Originally Posted by Jim Wahl

I'm sorry, I will NEVER understand why a sponsor would rather pay the contingency money to NHRA at the end of the year instead of the racers who support their companies! There is no good outcome to stiffing the racer! It's a lose/ lose situation. I have noticed a big reduction of decals on cars in the last couple of years. I myself have reduced the amount my right about half. When I won the Southeastern National Open at the end of '09 I got NO contingency payout from anybody! It's really amazing how good some of these guys are at putting you off. NHRA is no help, after all, they get the money if you don't! Jim

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Jim, companies send their checks to the NHRA (a non-profit) and get a tax receipt then write it off. If they send it to you directly they get squat unless the file it under advertising expenses or some other way and then have to justify it/prove it etc. Easier for them to send it to a non-profit and pick up their receipt for the accountant.