Formula 1’s 2025 prize money figures have been revealed and surprisingly, it wasn’t world champions McLaren who walked away with the biggest payout.
Despite winning both the Drivers’ and Constructors’ Championships, McLaren finished only fourth in total earnings. So who topped the list?
Liberty Media, Formula 1’s commercial rights holder, released its annual financial results confirming that F1 generated a record $3.8 billion in revenue in 2025 which saw a 14% increase compared to the previous year.
Approximately 45% of that revenue which is around $1.4 billion was distributed among the 10 teams that competed in the 2025 Constructors’ Championship.
However, the money is not divided equally.
How F1 Prize Money Is Calculated
The distribution system under the Concorde Agreement is a little complex to understand and includes several components. So let’s break it down first.
It depends on historical and special bonus. In that case, Ferrari received an automatic payment for its long-standing presence in the sport. Then the teams earn success-based bonuses depending on their performance over the previous 10 seasons.
Because of its dominance during the hybrid era, Mercedes received a huge bonus which around $112 million. Red Bull and Ferrari also benefited heavily from long-term performance incentives.
McLaren, however, received a much smaller historical bonus due to fewer top-three and inconsistency over the past decade.
After these special payments are made, the remaining prize pool, roughly $1.05 billion was divided based on the previous season’s Constructors’ Championship standings (2024).
Since McLaren won the 2024 Constructors’ title, it received the largest share of that performance-based pool, around $147 million.
F1 prize money earned in 2025 💰
Fair… or outdated system?Top 5 Teams:
1️⃣ Ferrari – $277.7m
2️⃣ Mercedes – $230.8m
3️⃣ Red Bull – $202.9m
4️⃣ McLaren – $165.8m
5️⃣ Aston Martin – $109.3mNote: More than half of Ferrari’s total comes from the annual historic + success bonus.
[via… pic.twitter.com/6P8tTVrssW
— MV33Racing🏎 (@MV33Racing) February 26, 2026
Final 2025 Prize Money Standings
When historical bonuses and championship-based payments are combined, Ferrari emerged as the highest earner in 2025, despite not winning the title and finishing fourth in constructors championship 2025.
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Ferrari: $277.7 million
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Mercedes: $230.8 million
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Red Bull: $202.9 million
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McLaren: $165.8 million
- Aston Martin: $109.3 million
- Alpine: $99.9 million
- Haas: $91.4 million
- Racing Bulls: $82 million
- Williams: $77.2 million
- Sauber: $63.1 million
From 2026, the prize money structure faces a new dynamic with Cadillac joining as the 11th team on the grid.
Under the Concorde Agreement, up to 12 teams are permitted to compete. Any new entrant must be approved by both the FIA and Formula 1 Management and demonstrate financial stability and technical capability.
Because prize money is shared among all teams, Cadillac was required to pay an anti-dilution fee to offset the financial impact on existing teams.
The original fee under the 2021 Concorde Agreement was $200 million, but Cadillac negotiated a $450 million entry payment, equating to $45 million for each of the current 10 teams.
In addition, from now the new teams are also eligible for prize money from their first season, unlike the previous rule that required three years of participation before full eligibility.
