Kylian Mbappe is about to become the most sought-after free agent in the history of modern football.
On Feb. 15, widespread reports indicated that the France star had told Paris Saint-Germain he would be leaving the club in June, when his contract expires. The 25-year-old star confirmed the news on May 10.
While it has been anticipated for some time that Mbappe would not sign a new deal with the Ligue 1 champions, there had been some hope among Parisian fans that the player could be persuaded to stay again, just as he was in 2022 when it had seemed certain he would join Real Madrid. But the undisputed star of French football will be playing outside his homeland in 2024/25.
Even though Mbappe will not command a transfer fee because his contract will have expired, signing him will be an expensive undertaking. When salary packages, potential bonuses and other elements are included, suitors may find they have to budget very carefully elsewhere in order to balance the books.
Indeed, getting Mbappe off their wage bill actually stands to save PSG a fortune even though they will not earn a transfer fee for the word's second most expensive signing. The Sporting News explains why here.
MORE: All the details on Mbappe's reported intention to leave PSG
Kylian Mbappe contract, salary at PSG
Reports have suggested that Mbappe's base salary at the French champions is €75 million net per year, excluding bonuses. His contract, signed in 2022, expires in June 2024.
The Athletic reported in January that when Madrid attempted to sign the superstar in 2022, they offered a €130m signing bonus and a salary of €26m per year. He then went and renewed his contract at PSG.
It's important to note that the figures mentioned represent merely the base salary, excluding any potential additional incentives and contractual bonuses that may further augment Mbappe's earnings. According to Le Parisien, Mbappe's contract also included a signing bonus of €150 million plus a loyalty bonus of €70 million for remaining at the club each year. That loyalty bonus would have reportedly increased to €90 million had he triggered the option for a third season, which he apparently declined.
However, when factoring in the elements of image rights and other performance bonuses, it becomes clear that competing offers from the likes of Real Madrid could rival, if not surpass, PSG's package, particularly in the long-term trajectory of his career.
How much will other clubs offer Kylian Mbappe?
While it's thought that Mbappe will surely command a gargantuan contract from whoever intends to sign him this summer, it's unlikely that he will earn equal to or greater than his current earnings.
Real Madrid will know it likely will take a better offer than the €26 million per year salary and €130 million signing bonus they offered him two years ago, especially given that he currently makes around €75 million per year at PSG.
According to BBC Sport, Mbappe has agreed a new offer tabled by Madrid that is worth €15m per season, with the reduction in salary offset by a signing-on fee worth €150m, payable over five years. He will also keep a percentage of his image rights, as is not unusual in contracts with top La Liga teams.
Mbappe surely knows that there are few, if any, clubs in Europe that can match his current PSG deal, understanding that only those owned by nation-states could come close. Given the significant financial restrictions to which clubs in Spain must adhere, joining Real Madrid may mean a significant drop in salary, but there are ways to make up that gap, including image rights while playing for one of the world's most iconic and visible brands, bonuses, and other payouts. The reported offer described by BBC Sport makes this clear.
The only clubs that could afford to match or beat his current salary at PSG would be those in Saudi Arabia. Even Manchester City could not come close to Mbappe's current mark, as their highest-earning players, Kevin De Bruyne and Erling Haaland, make just a third of what Mbappe is on at PSG (around €24.5 million per year).
Last summer, reports claimed that Mbappe turned down an unfathomable offer from Saudi Arabia side Al Hilal, who apparently slid him a contract offer worth €700 million.
Kylian Mbappe net worth
According to Forbes, in 2023, Mbappe's net worth totalled $120 million. He was third on the list of the world's highest-paid athletes for the year.
As one of the world's most marketable football stars, Mbappe has commercial endorsements with the likes of Nike, Louis Vuitton and Hublot, while he has previously been a cover star of the FIFA video game series (now EA Sports FC), first in 2020.
Kylian Mbappe transfer fee: How much did PSG pay?
PSG signed Mbappe from Ligue 1 rivals Monaco back in 2017. They paid a fee of €180 million, making the forward the second most expensive transfer in history after Neymar, who joined PSG earlier that summer from Barcelona for €222m.
The 25-year-old's current contract costs PSG in the region of €200m per year when all factors are included, which means his seven-year career in the French capital has seen the club pay out upwards of €600m.
MORE: Will Real Madrid finally sign Kylian Mbappe?
How Mbappe's free transfer could save PSG millions
PSG turned down an offer from Saudi Pro League side Al Hilal last summer that included a reported world-record transfer fee of €300m. Now, they are set to see him leave for nothing.
While that may seem like a huge financial blow to the club, his 'free transfer' could actually save PSG millions.
Had Mbappe triggered the one-year extension in his contract, PSG would have been committed to another year of his substantial salary, plus whatever bonus payments would be due depending on the team's successes or the forward's personal achievements. They can scrub that from their books now he is leaving.
Whether or not Mbappe chose to trigger that extension, he was due to earn a loyalty bonus worth at least €60m if he remained a PSG player in August 2023. However, according to reports in France, the player waived that payment as a gesture of goodwill towards his club — and to make his pathway to a possible exit in June 2024 a little easier.
The true amount of bonus payments Mbappe had been due has been disputed — RMC Sport said the total package would have been closer to €80m — but whatever the exact sum, PSG stand to save a significant amount of money should Mbappe leave when his contract expires.
❗️ Le PSG et Kylian Mbappé ont un accord pour que l’attaquant ne touche pas une partie de l’argent que le club lui doit : le montant avoisinerait les 80 M€, liés à différentes primes
— Fabrice Hawkins (@FabriceHawkins) November 16, 2023
🔹 Paris veut toujours le prolonger 🔹Mbappé a son destin entre les mains pic.twitter.com/CMysJJm7Av
Indeed, it has long felt as though PSG's plans were to ensure they were covered financially in the event the player did not want to stay. Waiving loyalty and other bonuses, plus removing his salary from the club accounts, means they are likely to be in a strong position to strengthen the playing squad in the summer transfer window of 2024 despite not receiving a transfer fee for their star player.
A little more clarity emerged on this on February 17. According to The Athletic, PSG and Mbappe went through tough negotiations last summer before the player was reinstated into the first team, having been excluded from the playing squad when it became clear he wouldn't extend his contract. The fruit of those talks was "a complex arrangement that covers several scenarios" that would see Mbappe compensate PSG somehow in the event he leaves on a free transfer. Exactly how that looks remains to be seen, but The Athletic describes the agreement as "legally binding".
There is little doubt PSG would have preferred to keep Mbappe. However, they have been prepared for his departure now for some time and, by saving millions that would otherwise have gone into Mbappe's pockets, this could represent the chance for a positive step forward for Luis Enrique's team, with collective strength favoured over star power.
