Upon returning from the Women’s World Cup with the Irish national team, Lily Agg, a Birmingham FC footballer and certified teacher, felt it was the right moment to action an idea that had been brewing in her mind for some time. Agg, who has always had an interest in finance and entrepreneurship, realised the necessity of money management, especially in women’s football where initial earnings aren’t always substantial. “Every penny matters,” she emphasises.
She also highlighted the financial confusion experienced by her and her teammates, especially concerning their payroll. Questions regarding the correct tax payments when their incomes were deposited into either Irish or UK bank accounts, often left the team confused. In addition to this, they were further bemused by the significant portion of their earnings deducted as tax during the World Cup in Australia.
This prevailing ambiguity led Agg to materialise a long-standing vision, LA Tax Advisory, a specialised tax advisory firm for female footballers. In this venture, she collaborates with Griffiths and Pegg, a renowned name in UK chartered accountancy.
The majority of the players from the Irish Women’s National Team are based in England, either playing in the top-flight Women’s Super League, where the median salary in 2023 was £47,000, or, the Championship. Regardless of earning through the World Cup in Australia, brand endorsements, or ambassadorial roles, all team members have their equal share of taxes to pay and potential expenses to claim.
Agg stands firm on the belief in sharing knowledge, particularly when it comes to the financial welfare of women footballers. She, being a former teacher as well as a footballer, understands the struggle of working from morning until night, devoting 120% of one’s energy each day. She gained experience with filing tax returns and uncovering ways to save or gain money. She started by analysing her own taxes and potential expense claims, thereafter extending assistance to a few friends. As a result, she became proficient in an area which was initially riddled with numerous queries.
In her capacity at LA Tax Advisory, she serves as a type of tax facilitator/intermediary, mediating between certified accountants and professional football athletes. Her responsibilities involve gathering all necessary paperwork and receipts, conducting virtual meetings to provide explanation and assistance, and ensuring that everything is submitted to Adrian from Griffiths and Pegg. This information then goes straight to the UK’s tax authority, ensuring accuracy, reliability, and the finest procedure.
The taxation systems in Ireland differ substantially from those in the UK. Consequently, if funds end up in an Irish bank account, they can stay there tax-free. However, transferring it into the UK requires taxation. It’s a process that requires understanding, and is highly personalised based on the individual concerned.
When it comes to actual accounting and tax advice, she leaves that in the hands of the professionals. She ensures she stays away from dealing with the monetary amounts, in order to maintain transparency and avoid any conflicts of interest. She wants players to feel comfortable approaching her, safe in the knowledge that she isn’t prying into their income.
She humorously remarks that expense management can feel like gaining “free money” if you invest the necessary time and effort. Unlike the accountants, she has a better understanding of the kind of expenses football players incur. For instance, her housemate Georgie Stokes, a young footballer at Birmingham City currently on loan to Stoke, drives to Stoke twice a week for away games. Despite not receiving a generous contract, Georgie should be able to claim back the mileage, along with the cost of buying goalkeeper gloves, boots, and other items. By implementing such measures, substantial assistance can be provided to individuals, offering great value.
She now utilises a refined, experience-based form that she dispatches to her clients. “I’ve invested significant time in developing a form that offers transparency, enabling people to understand the fact like ‘Oh, whenever I didn’t commute in a team bus, I can file a claim’ and it’s designed in a straightforward format. The details are already simplified, making the process quite easy. On the contrary, they don’t usually receive a template from a standard accountant, who simply expect them to narrate their expenses.”
Clarifying the tax procedure proves advantageous for athletes, as it provides additional time to concentrate on football. “In the previous year, you may enquire how many pairs of boots someone has worn out. Often, people are stunned and respond with, ‘Blimey, I refrained from purchasing the ones costing £260 as I was reluctant to spend that much.’ However, if you’re aware that you can deduct your boot expenses and you’ll be reimbursed, you’ll be keen to invest in top-quality boots, and the finest quality goods to develop into the best possible athlete.
When Agg initially turned into a professional footballer, “financial implications weren’t even considered. Hence, I consistently required an alternative career path.” The scenario is changing today, and the emerging players “don’t necessarily need an additional job now, which is fantastic and impressive, but they also need to ensure proper utilisation of their high earnings.”
With the consistent growth in women’s football, Agg aspires that this kind of service helps female footballers to safeguard their financial future and ensures the prosperity of the next player generation both inside and outside the field.
“I envisage that this business idea aimed at assisting people with their tax will eventually extend help to people with their financial management and ideas to utilise it.”