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CLICK HERE to Register for a free account and login for a smoother ad-free experience. It's easy, and only takes a few moments.Just a thought, but if these players were signed in the uncapped year, couldn't the Patriots push all of the Signing Bonus into the uncapped year and save potential salary cap space in future years?
depends on what the new CBA says. It might take signing bonuses in the uncapped year and make them count against the future cap immediately for all we know.* That is, if there is a future cap.Just a thought, but if these players were signed in the uncapped year, couldn't the Patriots push all of the Signing Bonus into the uncapped year and save potential salary cap space in future years?
For (an extreme) example, with a 4-year $16 million contract they could pay a $13 million salary in year one (uncapped), and then a $1 million salary in each of the next three years.
The question is not whether the bonuses can be pushed into future years, but rather if the Pats can address all their expiring contracts in the uncapped year next year (if there is one), put up sizeable guaranteed dollars to keep their key free agents, and then be at a competitive advantage when the cap comes back and all their bonuses have already hit during the uncapped year, rather than being amortized over the length of the contract.
The current CBA covers the 2010 season, even if it is uncapped, so the proration rules would apply.
The current CBA covers the 2010 season, even if it is uncapped, so the proration rules would apply.
What about the case Miguel, where a player signs a 5 yr contract for 25M, no bonus first year salary 15m, and the subsequent years at 2.5M, would this allow a team to avoid future cap implications?
Theoretically.
From the CBA:
Amounts Treated as Signing Bonuses. For purposes of determining Team Salary under the
foregoing, the term “signing bonus” shall include:
(5) The difference between the Salary in the second contract year and the first contract year when Salary in the second contract year is less than half the Salary called for in the first year of such Contract;
So in other words in the example of the 5-year $25 million contract, if they wanted to go with patsfan13's idea of $15 million in the first year then year two (2011) would have to be at least $7.5 mil; then about $800k in each of the last three seasons, right?From the CBA:
Amounts Treated as Signing Bonuses. For purposes of determining Team Salary under the
foregoing, the term “signing bonus” shall include:
(1) Any amount specifically described in a Player Contract as a signing bonus;
....
(5) The difference between the Salary in the second contract year and the first contract year when Salary in the second contract year is less than half the Salary called for in the first year of such Contract;
If a team tried to maneuver around the (lack of) salary cap in an uncapped year, they could pay a larger portion of the contract as a salary rather than a signing bonus in that uncapped year. For (an extreme) example, with a 4-year $16 million contract they could pay a $13 million salary in year one (uncapped), and then a $1 million salary in each of the next three years.
What about the case Miguel, where a player signs a 5 yr contract for 25M, no bonus first year salary 15m, and the subsequent years at 2.5M, would this allow a team to avoid future cap implications?
Either the proration rules apply in 2010 or they do not. I say that they will based on my understanding of the CBA.
Signing Bonuses.
(i) Proration. The total amount of any signing bonus shall be prorated over the term of the Player Contract (on a straight-line basis, unless subject to acceleration or some other treatment as provided in this
Agreement), with a maximum proration of six years, in determining Team and Player Salary, except that:
(1) Maximum proration shall be five years (a) for contracts entered into during the period after the last regular season game of the 2005 League Year through the last regular season game of the 2006 League Year
and (b) for contracts entered into during the period after the last regular season game of the League Year preceding the Final Capped Year through the end of the Final Capped Year.
I think you misunderstood me. Of course they apply in 2010. But in 2011 or whenever a new CBA is signed, the rules will change. In other words a contract signed in 2010 for 6 years will have those proration rules apply to 2010, but may or may not have them apply in the future contract years. Unless you are saying the new CBA will have to honor the old CBAs terms for contract written under one extending to the other. I did not think that is true