I remember it clearly: after a brief discussion at the kitchen table, it was decided that my Mom would live with me in Florida as I worked with one of the world’s top Olympic figure skating coaches. My Dad would stay in Toronto, working to support us. For the next nine years while I trained and competed internationally, this was the pattern. I would focus solely on my training. My parents would organize and re-organize their lives—financially, socially, emotionally—around that goal.

These recollections are deeply personal, but by no means unique. I imagine many families supporting a next-generation elite athlete find themselves making similar sacrifices.

Now that I’m a parent myself, I can appreciate the difficult decisions my Mom and Dad made during my athletic journey much more clearly. And with the benefit of hindsight, I can see that many of their commitments and decisions were made one issue, one invoice at a time, often through guesswork and trial-and-error.

Clearly, that’s not the most optimal strategy, neither for the athlete nor for the rest of the family. Instead of an ad-hoc, in-the-moment approach, it’s far better to be clear-eyed about the total commitment, and approach the decisions and sacrifices that come with supporting next-generation athletes with purpose, clarity, and a long-term mindset.  

Rising to the challenge(s)

Looking back, I now realize my parents were facing a number of important challenges that my parents largely shielded me from:

Family cash flow. Elite athletics is expensive, and getting more so. As coaching, travel, and equipment costs consume more and more of the household budget, the question becomes: will the family be put in a difficult financial position because of this ongoing (and growing) support?

Conflicting priorities. Financial planning is often about making strategic choices about which financial priorities need immediate attention, and which can wait. Supporting an elite athlete often forces a complete re-organization of these priorities, as sports-related spending crowds out other goals.

“Lumpy” expenses. For many elite athletes, sports-related expenses aren’t always linear: in one year, competition travel may be considerable; in another, rehabbing an injury may demand additional resources. Dealing with these ups and downs can be a considerable challenge for even well-off families.

Shifting lives. Camps, academies, out-of-town competitions, and early-morning training sessions can place a considerable strain on the family unit. Often parents are forced to take a “divide and conquer” approach: one accompanies the athlete, the other doubles down at work, while both struggle to find time for other children and for each other.

Family fairness. What should parents do when one child needs expensive training, coaching, and competition travel, while another child has completely different interests? Without a transparent discussion, such disparities in how family resources are spent can foster resentment and discord.   

Understandably, the solutions families formulate to these challenges are often driven by the joy and elation that comes with knowing you’re supporting your child’s dreams.

But emotion without direction can lead to problems. Instead of taking a holistic look at financial priorities and trade-offs, families often fall into decisions by default.

Holistic planning, structured solutions

A better way forward is to take advantage of some of the tools and strategies that can help the family navigate the priorities and minimize the trade-offs that come with supporting elite athletics. Based on my own family’s experience (and that of my athlete peers and Olympic colleagues) here are the ones I would take a close look at:

Start the governance conversation. Having a sober discussion about elite-level athletic commitments defuses resentment, and helps establish principles for support. Clarifying what resources are available and what sacrifices are reasonable provides clarity and protects the family’s long-term financial health.

Don’t forget the RESP. It doesn’t matter how talented a young athlete is: an athletic dream should never crowd out every other version of a child’s future. Whether the child becomes the next Olympic medalist or takes a completely different path, an RESP can be a powerful tool for keeping future opportunities open.  

Consider an In-Trust-For account. Unlike an RESP, an ITF account can fund athletic expenses, and there is no limit on the annual or total contributions. That makes it an excellent tool for grandparents and other family members to provide lasting support for athletics and future education.

Is an Amateur Athlete Trust (AAT) a solution? An AAT allows amateur athletes to shelter prize money, sponsorship income, and other qualifying income from tax. Contributions grow tax-free while in the trust, and income is taxed in the athlete’s hands upon withdrawal. For elite athletes who earn meaningful income in their competitive careers, that can be a real game-changer.

Protect family flexibility. Elite-level training, travel, coaching, competition fees, equipment—all of these opportunities are typically funded by parents’ income. Insurance can protect that income from an unexpected disability, job loss, critical illness, or death, and preserve flexibility and stability during difficult times.  

Consider life after sport. Many next-generation athletes underestimate how challenging the transition from competitive athletics can be. The most successful are the ones who start planning for that second life while they’re still living the first: by considering their education, their financial circumstances, and their sense of purpose and self-worth.

If your family is currently supporting an elite athlete (or you expect to in the near future), I’d like to leave you with a final thought.

Raising an elite athlete is a team sport, one the whole family needs to participate in. The planning, the encouragement, the decisions, the sacrifices and trade-offs, the family coming together are part of the performance too.

Given this, the most important question for your family needs to be: “how can we support the entire family on this journey, and achieve our dreams together?”

However you answer that question, the key is to consider it holistically, so that regardless of the outcome, the family can look back on the athlete’s journey with pride, not regret.

Unclear about how to do that? We’re here to help. A Nicola Wealth advisor can help you explore some of the tools and strategies that can best support your next-generation athlete, along with all the family members who support them.