Nate Oats’ contract extension was a formality at this point. Alabama Athletic director announced in early April that he had finalized a new deal for Oats. Byrne announced on social media that Oats has signed the deal “that will make him one of the top five compensated men’s basketball coaches in the country.” However, the official stamp of approval remained and Oats has finally got it but the numbers have drawn some eyebrows. 

Alabama announced that The University of Alabama System Board of Trustees Compensation Committee has finalized Nate Oats’ contract extension through 2032. 

“I am blessed and honored for the opportunity to continue as the head coach of the men’s basketball program at the University of Alabama,” Oats said. “President Mohler, Chancellor Trant, the entire Board of Trustees and our athletics director, Greg Byrne, have been tremendously supportive and provided us the resources to compete for championships each and every year. We have enjoyed tremendous success during our seven years at Alabama, and we look forward to building on that for many years to come.”

Alabama bumped his salary from $5.5 million this past season to $6.275 million for the 2026-27 season, with yearly increases that will eventually pay him $7.25 million in the final year of the contract. According to Tuscaloosa News, Nate Oats’ buyout is at $15 million till March 2027 which drops to $12 million till March 2028 after which it’s removed completely. Such high cost for a coach like Nate Oats drew some polarizing reactions from fans who view him through different lenses. 

Nate Oats’ Increased Salary Draws Mixed Opinion 

“Give this man the arena, NIL, and lifetime contract he rightfully deserves!” wrote a fan. “Worth it, I don’t care,” pitched in another. Oats led Alabama to the Sweet 16 of the NCAA Tournament, where the Crimson Tide lost to Michigan 90-77 on March 27. 

Alabama reached the Elite Eight each of the previous two years. They also reached the Final Four in 2024, where it lost to UConn. Oats is 170-73 in seven seasons at Alabama with six consecutive NCAA Tournament appearances. For context, before Oats, Alabama reached March Madness 2 times in 13 years. 

But he did that with limited money. Alabama’s roster in 2025-26 cost about $8 million in revenue sharing and NIL, according to reports. By comparison, Kentucky spent $22 million, Duke spent $12 million and BYU spent $13 million. They were well below the SEC average of $9.25 million. However, like he demanded a month ago, Oats’ budget is reportedly set to soar towards $12 million. Yet, not everyone is sold on Oats and his worth. 

“Bad. Results are good. But the team is a bunch of thugs. No discipline whatsoever,” wrote a fan. “Is he really that good of a coach?  Or just a great used car salesman?” Asked another

Oats and Alabama have long been accused of cultivating a toxic culture at the program. They have taken the villain role in college ball. Star point guard Aden Holloway was arrested on two charges: Illegal possession of prescription drugs and the use/possession of drug paraphernalia. Police found a little over two pounds of marijuana in Holloway’s apartment, according to AL.com.

Yet, Oats backed him. He said that the behaviour was “disappointing” but maintained that he is  “still our guy. We’re helping him get the help that he needs and we’re gonna continue to help him whatever way we can.” That further drew criticism. In addition, Oats signed Charles Bediako, a former NBA draftee, which angered the college basketball world. He played 5 games before Alabama lost his case for eligibility in court. These are just two examples where Oats was not portrayed in the best light. But beyond his character, Oats’ salary is also looking inflated to some.

“Unsustainable!” Wrote hoops analyst Seth Davis. Oats is one of the top 5 highest-paid coaches in the country, only behind Bill Self  ($8.85 million), UConn’s Dan Hurley ($8.02M), and Arkansas’ John Calipari ($7.75M). All 4 are arguably more established than Oats. In addition, if the program is losing this amount of money on just their coach, they are compromising on their budget with the players. For now, it seems they are flush with cash.  

According to AL.com, the Crimson Tide reported the biggest surplus of the 15 public SEC schools in 2025, coming at $32.7 million. For now, they can afford Oats contract.  But, they are betting that their revenue will keep up for this to be affordable. If Alabama keeps winning, the noise fades. But if they don’t, this $7.2M bet could age very quickly.