Ralf Schumacher looks set to take a massive pay-cut in order to stay with BMW WilliamsF1 until the end of 2006.

According to reports by British tabloid newspaper The Sun, Ralf's salary will be cut in half when he signs a new contract, the German's earnings going from around ?12 million a year, to only ?6 million.

Willi Weber, the man who managers both Ralf, and Michael Schumacher, commented: "Ralf's contract will be extended until 2006. There are just a few details to tie up."

Currently Michael Schumacher is believed to earn the most in F1, the German netting ?25 million a year, plus endorsements, while Jacques Villeneuve is next best, taking home around ?14 million.

Juan Pablo Montoya meanwhile earns around ?3 million, hence all the speculation surrounding his future and particularly a move to McLaren, something that is virtually certain for 2005, and may yet happen for 2004.

Julian Jakobi, Montoya's manager said: "Juan Pablo has a contract with Williams for next season but I wouldn't be doing my job if I wasn't looking at all the alternatives.

"Williams offer him a huge chance of winning the title this season but McLaren will always be right up there. We have to look at the big picture."