College Basketball

Rodney Terry Contract Buyout: How Much Would it Cost Texas to Fire Their Basketball Coach?

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Expectations were high when Rodney Terry officially took over as Texas’ head coach in March 2023. After stepping in as interim coach and leading the Longhorns to the Elite Eight, Texas rewarded him with a five-year contract worth $15 million. The deal locked him in through the 2027-28 season with a $3 million annual salary and performance-based incentives.

But less than two years into the deal, questions are being asked about whether Terry is the right fit for Texas long-term. A disappointing 2024-25 season has put him under pressure, and with the Longhorns struggling in SEC play, fan frustration is growing. Currently, Texas is on the outside looking in at the current NCAA Tournament bracket after compiling a 6-12 record during SEC play, according to the latest March Madness projections.

Will Texas basketball fire its head coach if it misses the Big Dance? Learn more about Terry’s contract buyout and incentives, along with why Texas fans are disappointed after moving to the SEC this season.

Rodney Terry Salary & Incentives

Terry earns a base salary of $3 million per season, and his contract includes several performance-based bonuses:

  • NCAA Tournament Appearance: $50,000
  • Advancing in NCAA Tournament:
    • Round of 32: $50,000
    • Sweet 16: $100,000
    • Elite Eight: $150,000
    • Final Four: $200,000
    • National Championship: $250,000
  • Big 12 Regular-Season or Tournament Title: $50,000
  • Total Possible Annual Incentives: Up to $450,000

Rodney Terry Buyout

If Texas decides to move on from Terry before his contract ends in March 2028, they will owe him the remainder of his fully guaranteed salary. As of February 2025, that means:

  • Three full seasons remain on his contract.
  • At $3 million per year, the estimated buyout cost is $9 million.
  • Texas could negotiate a lower payout, especially if Terry takes another coaching job.

Fire Rodney Terry? Why Texas Fans Are Frustrated

Texas entered the 2024-25 season with high hopes, but things haven’t gone as planned. The Longhorns are 16-11 overall and struggling in the SEC with a 5-9 conference record. Losses like an 84-69 blowout at South Carolina and a 82-78 victory over No. 17 Kentucky have highlighted their inconsistency.

With the team in danger of missing the NCAA Tournament, Terry’s leadership is being questioned. Texas fans expected a championship contender, but instead, they’re watching a team that has, for the most part, struggled against top opponents. If the Longhorns don’t turn things around, discussions about Terry’s future will only get louder.