Post by Rams GM (Frank) on Feb 10, 2015 13:08:54 GMT -5
As an added option to the standard 25% cap hit for the duration of a contract for a player that is waived and not claimed, we have contract buyout. If an owner chooses to buy out a players contract, we then take the average salary per year remaining on his contract, and apply a 75% buyout rate for the current year, but that owner would no longer be responsible for future money for that player.
Example: Tony Romo (QB-DAL) 21.78/25.28/15.1/19/UFA
The average salary works out to 20.29M per year.
A 75% buyout would mean a 15.22M cap hit for the current year, but that owner would be off the hook for future seasons.
There will be only one contract buyout per season.
This buyout will only happen during the offseason, when other league duties are due such as franchise tags, contract extensions and contract restructures. Once the deadline for contract buyouts expires, no organization will be allowed to use that contract buyout until the following offseason. Thus, we will never have a contract buyout in the middle of the season, creating a free agency crisis in the midst of a playoff race.
Once a contract buyout has taken place, the team buying out the contract cannot bid on that player once he heads into free agency until the following offseason.
4 'YES' votes passes the proposition, 4 'NO' votes rejects the proposition.
