How much will UM's Juwan Howard make under new five-year deal?

James Hawkins
The Detroit News

Michigan men’s basketball coach Juwan Howard will receive a significant pay increase under his new five-year extension.

Howard will receive a total base compensation of $3.25 million this season under his restructured contract that was announced Tuesday, up from the $2.2 million he was set to earn this year under his original deal when he was hired in May 2019, according to contract terms obtained by The News on Wednesday.

Howard’s compensation will increase to $3,315,000 in 2022-23, to $3,381,300 in 2023-24, to $3,448,926 in 2024-25 and to $3,517,905 in 2025-26. The total value of the contract will be roughly $17 million, before bonuses. His previous deal was worth more than $11 million.

Michigan head coach Juwan Howard.

That puts Howard, 48, among the highest-paid men’s basketball coaches in the nation. According to USA Today’s coaches’ salaries database, four Big Ten coaches ranked among the top 25 in the nation last season — Michigan State’s Tom Izzo ($3.984 million, No. 7), Nebraska’s Fred Hoiberg ($3.9 million, No. 10), Illinois’ Brad Underwood ($3.8 million, No. 12) and Indiana’s Archie Miller ($3.3 million, No. 21).

Howard’s previous contract topped out at $2.5 million, which he was set to earn in the fifth year of his initial deal in 2023-24.

“I'm honored to be regarded in such a way that the university wished to continue a lasting relationship with me," Howard said in a statement Tuesday night.

In his third year at his alma mater, Howard is 44-18 and the Wolverines have been ranked in the top five in the nation each season. Last season, he earned several coach-of-the-year honors after leading Michigan to the Big Ten regular-season title and to the Elite Eight.

Under the new contract, Howard is eligible for bonuses ranging from $25,000 to $200,000, including Big Ten regular-season and tournament championships, NCAA Tournament appearances and victories, and coach-of-the year awards.

Under the new deal, Howard's buyout, should he leave for another job, starts at $2.5 million this season, and drops by $500,000 every subsequent season. If he were to be fired without cause, his severance would start at $5 million this season, and drop by $1 million every season after.

The contract extension was signed by president Mark Schlissel and athletic director Warde Manuel on Monday and by Howard last week.

Michigan is ranked No. 4 in the country this week, though should drop a bit after suffering its first loss of the season Tuesday night, 67-65, to Seton Hall at home.

jhawkins@detroitnews.com

Twitter: @jamesbhawkins