F1 prize money 2024: Payout breakdown, how much drivers and constructors earn | Sporting News (2024)

In Formula 1, drivers are putting their lives on the line every time they jump in the car. For that risk, it's safe to say they earn the big bucks.

Prize money is split based on how well teams do in the Constructors' Championship. While drivers don't get direct prize money, they often receive bonuses when they win.

Just like any other sport, the best driver tends to earn the most money. In 2024, Max Verstappen was the top earner, surpassing his rival Lewis Hamilton.

Teams are also paid a healthy amount. Red Bull bagged around $140 million for winning the 2023 championship, butprize money may not necessarily make up their entire income.

The Sporting News takes a look at the highest-paid drivers, the teams that earn the most and what other sources of income are involved in the sport.

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F1 prize money: How much do drivers earn?

In Formula 1, the distribution of prize money is determined by the finishing positions in the Constructors' Championship standings.

As F1 drivers do not directly receive prize money for victories, they will typically still enjoy additional financial rewards beyond their base salary from the team when they achieve success.

In 2024, Verstappen became the highest-paid Formula 1 driver, overtaking his primary competitor Lewis Hamilton.

Hamilton, the Mercedes driver, recently inked a fresh deal with the team, marking his final season with them before moving to Ferrari in 2025. According to Racing News 365, the seven-time world champion is expected to rake in approximately $100 million annually at Ferrari, inclusive of bonuses.

All figures are via Racing News 365.

It's in their DNA...

Red Bull Racing. 2023. Constructors' Champions! #F1 #JapaneseGP pic.twitter.com/1pQsfDXXyB

— Formula 1 (@F1) September 24, 2023

F1 prize money: How much do constructors earn?

The team securing the highest position in the Constructors' Championship receives the largest share of prize money, and the team finishing in 10th place receives the least.

Red Bull is estimated to have received approximately $140 million, 14% of the prize pool, for securing victory in the 2023 Constructors' Championship. This amount is only $5 million higher than the budget limit imposed by the 2023 cost cap.

Prize money constitutes just one aspect of revenue generation for the teams as significant income streams also stem from sponsorships, merchandise sales, and commercial partnerships.

While a team may secure the championship title before the season ends, officially, the team with the highest championship points at the end of the campaign is awarded the esteemed FIA Formula One World Constructors' Championship Trophy.