Josh Heupel is pulling back on big NIL checks for high school recruits. Tennessee realized it was overspending on players who sat on the bench instead of helping right away. So, Tennessee now wants to be more careful when giving big NIL deals to recruits coming out of high school.

Instead of spending large amounts on players who may take years to develop, Tennessee wants to focus more on players who can make an immediate impact on the field. The coaches believe the money should go to players who can help the team win games as soon as possible. VolQuest insider Austin Price explained the Vols’ new approach on his A to Z Sports podcast.

“They’ve (Tennessee) had too much money standing on the sidelines the last several years because they went a certain path with the rev share and NIL stuff.” Price said. “They’re trying to get to the point where they spend it on players that are going to play and make an immediate impact. If you’re going to have a bunch of money tied up, it needs to be tied up in guys who are on the field, and that’s what they’re trying to get to now.”

Picture a small-town coach who spent years buying jerseys for kids who never stepped on the field. That’s what Tennessee realized happened with NIL money. Austin Price heard it directly from people inside the program: too much cash sat unused while developmental players collected big checks but stayed on the bench. Now Heupel’s staff is asking one simple question before every deal: “Will this kid play this season?” If the answer isn’t clear, the money goes elsewhere.

This isn’t theory. Tennessee already lost two in-state recruits because they refused to enter bidding wars. Miles Brown committed to Kentucky, and Jarrell Chandler picked Clemson this month after other schools offered more NIL money. Price reported that Tennessee pushed hard for both, then stopped when Clemson and Miami escalated. The Vols felt their offers were fair; they just wouldn’t overspend for players who might not play right away. That’s the new rule: no more chasing kids who sit on the sidelines.

Tennessee’s new NIL strategy is already changing the way the program recruits players inside the state. The Volunteers recently lost two Tennessee recruits, Miles Brown and Jarrell Chandler, because other schools offered them bigger NIL deals. Tennessee decided not to spend extra money just to win those recruiting battles. This shows the Vols are trying to be more careful with how they use their NIL money.

It’s not like they don’t understand the fact that players do need time to develop and then show up on the field, but they don’t want to spend something extravagant that they regret in the future.

“Inevitably, you’re going to spend some money on some players that aren’t going to play right away, but they’re trying to eliminate that as best as they can,” Price said. “And so, with both of those kids (Brown and Chandler), they felt like they made them fair offers. The other schools just kind of went above it.”

So, from now on, Tennessee might just walk away from the recruits who ask for more NIL. Just like they did with Iamaleava.

Well, this step might have come after a major learning from Nico Iamaleava’s case. Tennessee invested heavily in him, giving him $2.4 million per year. But later, after not getting his desired amount, which was $4 million, he left the team. There’s no doubt that Iamaleava is a solid player and even took the team to a 10-3 record in 2024, but his move was purely based on higher NIL, and that left the team in a bigger mess.

However, this action might bring in some trouble for them as well.

This new approach can take a hard hit on Josh Heupel’s 2027 class

Now, Tennessee is facing another important recruiting test with Malik Howard, a top 2027 recruit from Oak Ridge, Tennessee. Howard is a four-star tight end who is 6-foot-4 and weighs 231 pounds. According to 247Sports, he is the No. 8 tight end in the country and also the No. 8 player in the state of Tennessee. Because he is one of the best players in the state, several big programs are interested in him.

Tennessee is competing with Alabama and Notre Dame to sign Howard. He also lives only about 35 minutes away from Neyland Stadium, so keeping him home is very important for the Vols. Tennessee coaches are recruiting him heavily and trying to convince him to stay in-state rather than leave for another major program.

The difficult part for Tennessee is deciding how much NIL money they should offer Howard. Tight ends usually need time to grow physically and adjust to college football before becoming major contributors. That means Howard may not help Tennessee immediately as a freshman, even though he has huge long-term potential. This creates a challenge for Tennessee’s new strategy. So, let’s wait and see if Josh Heupel is bound to spend more or hold up his ground.