Mbappé’s $325 Million Real Madrid Contract Explained

It’s a good time to be a generationally talented sportsperson. French football star Kylian Mbappé has signed with reigning Champions League winner Real Madrid on a deal worth a reported €200 million (AUD$327 million) spread evenly across five years. Not since Shohei Ohtani’s 10-year USD$700 million deal (which, to be fair, was only last year) has a sports contract garnered so much attention, which begs the question, did Real Madrid get a good deal?

Kylian Mbappé contract with Real Madrid explained | Image: Instagram

Mbappé Signs with Real Madrid

According to reports, Mbappé will be paid an annual salary of between €15 million (AUD$24 million) and €20 million (AUD$32 million) with annual increments. However, the real kicker here is the €125 million (AUD$204 million) signing bonus that the French national team captain will score over the period. In return, Real Madrid will bolster their forward potency, drive major merchandise sales and receive 80 per cent of the 25-year-old star’s image rights.

The deal was only made official on Monday, just days after Real Madrid scored a stunning, if not entirely expected, Champions League victory over Dortmund in London. Mbappé will join the Spanish football team on a free transfer come 1 July following the expiration of his Paris Saint-Germain contract, but for football fans, the signing is long overdue.

Seven years ago, the La Liga giant tried to lure Mbappé to the team from Monaco, but the highly-coveted forward signed with Paris Saint-Germain instead. In 2021, Real Madrid again tried their luck, reportedly offering him a €200 million deal at the summer deadline but again, fell short. Finally, it appears they have their man.

Kylian Mbappé sharing the news via Instagram | Image: Instagram

After the announcement was made official, Mbappé took to social media to share images of himself as a child wearning Real Madrid clothing and even a picture of him meeting Cristiano Ronaldo at the Valdebebas training ground.

“A dream come true,” Mbappé wrote. “So happy and proud to join the club of my dream, Real Madrid. Nobody can understand how excited I am right now. Can’t wait to see you, Madridistas, and thanks for your unbelievable support. Hala Madrid!”

Kylian Mbappé contract with Real Madrid explained | Image: Instagram

Mbappé Contract Breakdown

While the chunk of change might seem like a lot for a team already on top of the world, any organisation would welcome a player of Mbappé’s calibre. The superstar forward managed to score a whopping 256 goals in 308 PSG appearances, and now joins arguably the most damaging forward line in world football alongside Vinícius Júnior and Rodrygo. Mbappé’s contract does deserve a second look, however.

If you break down the figures, you start to get a grip on just how much money the 25-year-old is set to receive. Using the upper measurements, in terms of annual salary (€20 million – AUD$32 million) and accounting for his €125 million signing bonus (AUD$204 million), it’s fair to say that Mbappé will earn a cool €45 million per season (AUD$73 million) not including licencing and endorsements. Here’s the full Mbappé contract breakdown: