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49ers Sign Kicker Phil Dawson
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49ers Finest


Joined: 28 Dec 2011
Posts: 8985
Location: San Jose
PostPosted: Sun Mar 24, 2013 8:11 pm    Post subject: Reply with quote

need some more help rudy... Laughing

Ravens are giving former Broncos DE Elvis Dumervil a five-year deal worth up to $35 million, including $8.5 million in year one.

Elvis Dumervil got $1 mil base salary this season, plus $7.5 million signing bonus. He makes $8.5 mil this year, with cap number at $2.5 m.

i know you said the sb was pro rated for the length of the contract. so 7.5/5 so 1.5 a year. so 1.5+1salary=2.5 mill on the cap
but then how is he making 8 mill this year???

so is it that they get the full signing bonus at the beginning. but the actual cap hit is distributed through the length of the contract, even though its all giving in year 1?
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rudyZ


Joined: 12 Mar 2007
Posts: 13267
Location: Québec
PostPosted: Sun Mar 24, 2013 8:23 pm    Post subject: Reply with quote

49ers Finest wrote:
need some more help rudy... Laughing

Ravens are giving former Broncos DE Elvis Dumervil a five-year deal worth up to $35 million, including $8.5 million in year one.

Elvis Dumervil got $1 mil base salary this season, plus $7.5 million signing bonus. He makes $8.5 mil this year, with cap number at $2.5 m.

i know you said the sb was pro rated for the length of the contract. so 7.5/5 so 1.5 a year. so 1.5+1salary=2.5 mill on the cap
but then how is he making 8 mill this year???

so is it that they get the full signing bonus at the beginning. but the actual cap hit is distributed through the length of the contract, even though its all giving in year 1?



Exactly. It's a signing bonus, so he gets it all upon signing. The other guarantees can be complex and it depends on how the players and teams negotiated it. There are certain performance-related incentives that count upon the cap before he even plays, and if the triggers aren't reached, that cap room already used can be rolled over to the following year. It's like you've already paid for nothing, so you get relief afterwards. Or some players, like Ahmad Brooks, agree to de-escalator clauses, that reduce his base salary upon not reaching performance trigger, which reduces his cap hit again. So, I guess what I'm trying to say, it's that contracts can be so complex that we can't really say it's black or white. It's not like there's only base salary and signing bonus. Other things come into it as well, so I can't pretend to understand how all contracts work.
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