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Thread: Cap affect of paying as you go vs pushing out and having dead space

  1. #41
    Quote Originally Posted by RashanGary View Post
    Come back with similar guarantees and show the same money distributed the two different ways and then we can see if it’s easier to get out of in the second year. Hint, hint, it’s not. So you don’t need to waste your time.
    That's factually wrong. If the guaranteed money hits the cap earlier in the contract, you can cut them more easily than if you backload the same guaranteed money, e.g., through a signing bonus

    Don't be a dick.

  2. #42
    Lunatic Rat HOFer RashanGary's Avatar
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    Quote Originally Posted by sharpe1027 View Post
    That's factually wrong. If the guaranteed money hits the cap earlier in the contract, you can cut them more easily than if you backload the same guaranteed money, e.g., through a signing bonus

    Don't be a dick.
    If you guarantee the same amount of money, you still pay the same amount of money, so what are you saving again?
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  3. #43
    Lunatic Rat HOFer RashanGary's Avatar
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    If you pay 50 million in the first year and cut them, but you already took the full 50M hit… yes, you’re not paying for it anymore. But if you already paid the 50million for one year and took the hit, are you really gaining anything? No. It’s a ridiculous argument.
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  4. #44
    I think Bahk's contract was restructured to convert a large roster bonus to a signing bonus. If they hadn't done that, we'd pay him basically the same amount through this year, but we could cut him with much less dead cap. We chose a contract with the same guaranteed money hitting later years. Now we're stuck with a worse cap situation in exchange for more room when we restructured.

    We can't get out as easily now.

  5. #45
    Lunatic Rat HOFer RashanGary's Avatar
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    Here’s a very realistic way of describing in a metaphor.


    If you have the cap hits later, you’ll have to cut your arm off later.

    But instead of paying later, you just cut your arm off now. And what you’re saying is since you already cut your arm off, you’re winning because you don’t have to cut it off later.

    You paid 40 mil. I paid 40 mil. No ones getting out of that guarantee with both arms. Sorry man.
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  6. #46
    Quote Originally Posted by RashanGary View Post
    If you pay 50 million in the first year and cut them, but you already took the full 50M hit… yes, you’re not paying for it anymore. But if you already paid the 50million for one year and took the hit, are you really gaining anything? No. It’s a ridiculous argument.
    It's facts not an argument.

  7. #47
    Quote Originally Posted by RashanGary View Post
    Here’s a very realistic way of describing in a metaphor.


    If you have the cap hits later, you’ll have to cut your arm off later.

    But instead of paying later, you just cut your arm off now. And what you’re saying is since you already cut your arm off, you’re winning because you don’t have to cut it off later.

    You paid 40 mil. I paid 40 mil. No ones getting out of that guarantee with both arms. Sorry man.
    Bahk would have been cut or traded already if not for the cap situation. That means we keep a broken player in the roster for one to two years of paying the nonguarantee portion of his contract because cutting him makes no sense from a cap perspective. We end up paying more overall and more cap hit overall.

  8. #48
    Lunatic Rat HOFer RashanGary's Avatar
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    You don’t want a hit in your cap.

    When you make a guaranteed portion of a contract, you’re guaranteed to do something you don’t want to do.

    Whether you do it now or later it’s still the exact same thing. You took a hit on your cap. And it was guaranteed.


    If you substitute taking a cap hit (something you don’t want) with cutting your arm off (also something you don’t want)

    I think we can clearly see that if we cut our arm off now or later, it’s still the same result.
    Formerly known as JustinHarrell.

  9. #49
    Lunatic Rat HOFer RashanGary's Avatar
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    Quote Originally Posted by sharpe1027 View Post
    Bahk would have been cut or traded already if not for the cap situation. That means we keep a broken player in the roster for one to two years of paying the nonguarantee portion of his contract because cutting him makes no sense from a cap perspective. We end up paying more overall and more cap hit overall.
    The Packers signed David Baktiari to a 4 year 91 million dollar deal with 62M fully guaranteed. Whether you used signing bonuses or guaranteed roster bonuses, it’s still fully guaranteed.

    Here’s how a front loaded deal with 62M guaranteed would look. And we HAVE TO INCLUDE THE GUARANTEED. That’s why he signed. There’s no way out of that.

    20M signing bonus
    42M total guaranteed roster bonuses
    62M guarantees between the two types of bonuses
    29M in non guaranteed base salaries
    91M total

    Year 1 - 1M base - 16M roster bonus paid at day 1 league year but fully guaranteed at signing (22M cap hit)
    Year 2 - 1M base - 16M roster bonus paid on day 1 league year but fully guaranteed on signing (22M cap hit)
    Year 3 - 11M base - 10M roster bound paid on day 1 league year but fully guaranteed on signing (26M cap hit)
    Year 4 - 16M base - (21M cap hit)


    No matter how you structure 62M of guarantees you still can’t cut him or all the guarantees accelerate. Once you decided you wanted David Bakhtiari, you decided you would pay a lot of guarantees and no matter how you structured it, you’re screwed if he has a career ender.

    The real problem was the guarantees, not the later cap hits. There’s no way to guarantee 62M without paying 62M when you cut the guy. Draw me up a simple example where that money doesn’t accelerate when you cut him. Make it fully guaranteed and then don’t pay him. I want to see how you guarantee 62 and then don’t pay it because you cut him. I’ve never seen that .
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  10. #50
    Lunatic Rat HOFer RashanGary's Avatar
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    Your misunderstanding is that you think we guaranteed a signing bonus so we could take the hits later. The only reason we guaranteed money at all is because players refuse to sign without it. We were fucked regardless of how we structured guarantees once he had a career ender.
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  11. #51
    Lunatic Rat HOFer RashanGary's Avatar
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    If we’re just drawing up contracts without guaranteeing anything I would do this

    1M base year 1
    1M base year 2
    1M base year 3
    And
    88M base year 4

    That way if he gets injured I only pay him 1M. And that way I can just cut him after year 3. It’s much better to guarantee nothing and backload like that. And since it’s not a negotiation, we just do whatever we want, this is much safer. If he doesn’t get injured i’d restructure and pay him 1M per year for another 4 years.
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  12. #52
    Lunatic Rat HOFer RashanGary's Avatar
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    I’ll entertain guaranteeing less if you made the contract bigger and made the first couple years bigger.


    Like instead of 62M guaranteed, maybe you could get away with 52M guaranteed, but have those first two years jump it up to 82M real fast. That way he’s taking less guaranteed, but very very likely to earn an extra 20M that’s a near guarantee. I would consider that if I was negotiating.

    I don’t even know if that would help much though. You’d still be in a real bad spot if he had a career ender.
    Formerly known as JustinHarrell.

  13. #53
    Where are you getting your information? What I have found is the roster bonus was not guaranteed. They cut him and it was gone. Once they converted it to a signing bonus that changed.

    A roster bonus is paid if the player is on the roster. By definition it is conditional and not guaranteed. What am I missing?

  14. #54
    Quote Originally Posted by RashanGary View Post
    Your misunderstanding is that you think we guaranteed a signing bonus so we could take the hits later. The only reason we guaranteed money at all is because players refuse to sign without it. We were fucked regardless of how we structured guarantees once he had a career ender.
    You need to do some research about restructuring contracts and come back when you understand the basics

    Now I'm being a dick.

  15. #55
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    Quote Originally Posted by RashanGary View Post
    Your misunderstanding is that you think we guaranteed a signing bonus so we could take the hits later. The only reason we guaranteed money at all is because players refuse to sign without it. We were fucked regardless of how we structured guarantees once he had a career ender.
    No you aren’t.

    You can guarantee $20M of a contract and have no signing bonus.

    So here are the contracts.

    4 year, $20M guarantee
    Cap hits 8, 9, 11, 12. If cut after year 2 cap hit is 3M, after year 3 cap hit is 0

    4 year, $20M signing bonus guarantee.
    Cap hits 3+5, 4+5, 6+5, 7+12 or 8, 9, 11, 12 same as above.
    If cut after 2 years cap hit is $10M, after year 4 cap hit is $5M
    But Rodgers leads the league in frumpy expressions and negative body language on the sideline, which makes him, like Josh Allen, a unique double threat.

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  16. #56
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    Look at Patrick Mahommes contract.

    His guaranteed money ends after 2025. His contact runs through 2033 but the last 2 years are void years.
    But Rodgers leads the league in frumpy expressions and negative body language on the sideline, which makes him, like Josh Allen, a unique double threat.

    -Tim Harmston

  17. #57
    Yeah; the Mahomes deal is probably the most team-friendly contract in the league, and Burrow's is decent as well. Brady, though - one thing I have to give to him is that he consistently took less money to help the team, even to the point of giving back some of his salary to sign Moss. A few years ago, I saw someone calculate that he probably left at least $60 millon on the table over his career, and possibly as juch as 100. He figured he'd rather be the guy with most championships than the guy with the most money.

  18. #58
    Postal Rat HOFer Joemailman's Avatar
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    Quote Originally Posted by Frozen Tundra View Post
    Yeah; the Mahomes deal is probably the most team-friendly contract in the league, and Burrow's is decent as well. Brady, though - one thing I have to give to him is that he consistently took less money to help the team, even to the point of giving back some of his salary to sign Moss. A few years ago, I saw someone calculate that he probably left at least $60 millon on the table over his career, and possibly as juch as 100. He figured he'd rather be the guy with most championships than the guy with the most money.
    Of course, Brady also had the advantage of being married to someone who made as much money as he did.
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  19. #59
    Quote Originally Posted by Joemailman View Post
    Of course, Brady also had the advantage of being married to someone who made as much money as he did.
    Yeah, absolutely. She had a nice little side gig that brought in extra cash for when the electric bill and the gas bill were both high the same month, and also they didn't have kids in the family. So there was no day care or whatever.

    Those things add up.

  20. #60
    Yeah, Joe and Frozen, you beat me to it saying that about Brady and the Mrs. When she dumped him, he had to go back to work for Tampa hahahaha.
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