Excellent explanation thank you, I've been watching football most of my life and never knew what Franchise Tag meant, never bothered to look it up until now I'm watching the Giants Hard Knocks and they keep talking about Barkleys contract and Franchise Tag.
Signing bonuses are not just guaranteed. They also give you money right now, which you can invest and make more money out of. Even if the last year of your contract was guaranteed, you would still want money upfront.
Idk dude, I feel like telling a pro football player that we're gonna put money on you NOT being able to do something might be pretty motivational lol, unless it's so unlikely the player knows it won't happen no matter how good they play. Like, "tell me I won't rush for 2200 yards this year!! Say I won't!!" lol and they go out saying they're gonna do just that all year.
I took it as motivating to sign the contract. Players generally don’t want incentive-laden contracts, even less so incentives they have a lower chance of meeting.
On spotrac, it sometimes mentions potential "outs" in some contracts (like 2026 for russ Wilson's contract) - wondering what that means and how it relates to cap hit/dead cap for his contract? Love the vids!
To my understanding it's the point in the contract where most or all of the guaranteed money has been paid. This lowers the dead cap hit significantly. I.E. cutting Daniel Jones this year would have meant also 70mil dead cap for the Giants. Waiting till next year means they will only take ~20mil. Obviously teams can still elect to cut players earlier like the Wilson example shows.
I would love to send this to the european football "fair play" salary cap calculators with teams signing players on 10 year contracts because the Dead Cap doesnt exist, just cash flow and "amortisation" over the life of the contract
I know I'm a year late to this conversation but currently there are about half the league OVER the salary cap. Can you explain how that works and when are they required to get back under? Is it before they can sign a new player?
That is only allowed during the off-season. During the season you only have 7 days to get back under the cap otherwise you will be fined. The deadline to be back under the cap is March 15th.
@@numbersbehind March 15th? The offseason is just beginning then isn't it? Seems like the deadline would be around the same time final rosters are submitted.
you bash me or take me the jail if am wrong but the “offseason” is the beginning of the new season….the new league year as they call it. Kinda weird but teams have to be under cap by 4:00 pm est. once under the cap they can sign new players like draftees or free agents. Those contracts will count for that year cap and beyond. In addition all previous contracts will be using the new cap space. As for your say on shouldn’t it be once final roster cuts….smart idea but hey that’s the nfl for ya. 😂l
So around the 3:20 mark is what's wrong with the NFL salary cap, and essentially makes it a soft cap. In the NHL, the cap hit is AAV, end of story, teams can structure actual payout however they choose, but the cap hit cannot change once the deal is approved by the commissioner's office.
What if a player is about to hit their expected incentive, but the team sits him the last game of the year so it can get credit for the next year's cap? Does the player have any recourse?
I think the dead cap space should account for positional injurys. You are far more likely to be injured as a running back, than a kicker. You could base this off historical injuries by position. Its not great to punish a position like running back as owners dont want to risk money and long term impact.
Cops were unprofessional and abusive WTF That’s a whole bad bushel of apples with the Miami highway patrol! Can’t wait to see the audit the audit report on this traffic stop
Median average envisions Atlanta as the par, but LA has a certain Pennsylvania breakup singer perform more in that new LA stadium than Atlanta. Regardless the cap is $250 with 24/32 generating less than $750 million first fruits. That is from CNBC valuation so it is not close to five times. The valuation is how much a billionaires pay to buy the whole team so not annually adjusted.
On one hand you said NFL teams can cut players without paying a penny then you said because of dead cap they have to pay them millions of pounds, is the dead cap the guaranteed signing bonus money?
How would something like a career ending injury be dealt with from a cap perspective. Also do teams buy insurance against things like this. Say they decide to cut a player could they have taken out insurance to cover that eventuality in advance?
Teams can purchase injury insurance and receive credits towards the cap. But it needs to be detailed in the players contract. Players who are on injured reserve still count against the cap, however they don't count against the 53 man roster. Meaning you can replace him with a player from the practice squad or sign a free agent.
Video made my brain hurt and gave me a slight headache. Slick lawyers, agents and league officials trying to screw each other via incentives, bonuses and contract terminology.
@@goblinstabba7105 If you view the NFL as one company and not 32 OK. But even then it would be one monopoly with total control over the labor market for football players. That would be something the federal government says they do not allow.
This is pretty cool thank u for explaining this. After watching it makes me shake my head even more about GMs, you might as well not sign anyone for more than 2 years, give a little more guaranteed money so they play their hearts out, and most of the time by a players 3rd or 4th year they're beat up and hurt, the average NFL career is only 3 years anyway, so why would you complicate your salary cap trying to predict what a player will do 2,3,4 years from now when the majority of the time players don't fulfill an entire contract anyway. I see why they do it, but if your teams goal is to win a Superb Owl 🦉 then just like they say, they can manipulate the salary cap to get almost any player they want when the player is available.
It’s a 50/50 contract. Yes you do sign with a specific team and how that team manages their money and negotiate is how they effect things. But you are basically signing with the NFL with all the rules
Why would any union agree to a CBA containing a system specifically designed to limit their salary? The baseball players rejected that nonsense 50 years ago. NFL players would be wise to do the same.
They wanted parity. Its why the NFL is so popular and MLB isnt. Who made it to the World Series? Two of the wealthiest clubs in the league. How many times have the Yankees appeared in the WS? Way too many. The problem with the NFL is that the owners receive 55% of revenues and players get 45%. If anything it should be 50/50 or reverse it. The players drive the league.
Also the baseball players had to go on strike 30 years ago to NOT have a hard salary cap in baseball. Football players would be giving up a LOT more by going on strike relative to baseball players.
Owners be like: “We want to sign player X and give them a signing bonus in their contract…… buuuuutttt…. If that player retires we want our money back! They can’t screw us out of our money!” Owners also be like: “We signed player X to a massive contract, now they’re playing like trash. We want to cut him and we aren’t paying them a penny more!” Seems fair……..
Question: is there a limit to how much dead cap space a team could have what if a team cut 5 players and had 60 million in dead cap is there any sort of bail out from the league ?
No way. They don't need outside funds. The players salaries are more than covered by the television deals alone. That means pretty much everything else, the owners keep. Tickets, concessions, jerseys sales...etc.
@@wilsontodd-ud9km Even without the salary cap, teams make enough money to not require outside funds. And where would these funds come from? What would these sources of outside funds require in return? People aren't going to give the teams money without expecting something back in return. Getting funds from outside sources is unnecessary and unwise. Why do you think that would be a good idea? I'm very curious what your thinking on this is.
@wilsontodd-ud9km No I haven't forgotten when Jones signed Sanders to the Cowboys. What does that have to do with outside funds. He was signed in 1995 which is the year after the salary cap was implemented. I don't care about the Yankees or Pepsi or Al Davis. People made a big deal about the Sanders' signing because it made him the highest paid defensive player in the league. It doesn't appear that you know what you are talking about so I have no more questions. Thanks.
The cap should be simpler. Contracts should be limited to three seasons. If you stopped the manipulation then you would see more one year deals. More player movement would mean teams at the bottom could come up quick. Teams at the top would not be able to load up on players then tank. Tanking should be eliminated in my opinión. They are punishing yeams like Miami for this with unfair referees but this also is a bad idea.
Players don't want one year deals. They know they have a little bit more job security with longer deals because how much dead cap would result from them being cut. That's why you see players throw a fit when they are designated as Franchise Players. Its a lot of money, but its only one year.
This is a better explanation that video put out by NFL. Great job.
Word
Literally just sent this to our nfl chat saying this exact thing, preach
Todd Gurley biggest dead cap in NFL history. Russell Wilson Denver Broncos: hold my beer
Never really understood the : hold my beer thing?
@@Dougie1969 "Hold my beer and watch this."
DeShawn Watson: Am I a joke to you?
@@Rastebb Yes Watson you are a joke but not as much of one as the Brown for paying you that.
Wait til the Browns cut Deshaun Watson next year
The production of the video and the actual educational content were on point.
Excellent explanation thank you, I've been watching football most of my life and never knew what Franchise Tag meant, never bothered to look it up until now I'm watching the Giants Hard Knocks and they keep talking about Barkleys contract and Franchise Tag.
Signing bonuses are not just guaranteed. They also give you money right now, which you can invest and make more money out of. Even if the last year of your contract was guaranteed, you would still want money upfront.
RIP to Dekimbe M.
I am just watching this video and appreciate the references to the Legend...You definitely gave him his flowers....
2024 and i’m just now seeing this. Great video. That mutumbo line is what gained you a subscriber 😂 that and this great info. Thanks!
Very helpful and information in understanding the NFL salary cap and dead cap etc. Thanks for breaking it down really well.:-)
I literally thought this was a professional video by the nfl. You deserve a ton more publicity bc this is great stuff!
Idk dude, I feel like telling a pro football player that we're gonna put money on you NOT being able to do something might be pretty motivational lol, unless it's so unlikely the player knows it won't happen no matter how good they play. Like, "tell me I won't rush for 2200 yards this year!! Say I won't!!" lol and they go out saying they're gonna do just that all year.
I took it as motivating to sign the contract. Players generally don’t want incentive-laden contracts, even less so incentives they have a lower chance of meeting.
This a great video!
I needed those examples, but other videos wouldn’t give any.
On spotrac, it sometimes mentions potential "outs" in some contracts (like 2026 for russ Wilson's contract) - wondering what that means and how it relates to cap hit/dead cap for his contract?
Love the vids!
To my understanding it's the point in the contract where most or all of the guaranteed money has been paid. This lowers the dead cap hit significantly. I.E. cutting Daniel Jones this year would have meant also 70mil dead cap for the Giants. Waiting till next year means they will only take ~20mil.
Obviously teams can still elect to cut players earlier like the Wilson example shows.
damn I see many of us watching after mutumbo news
What are the odds of that
Good stuff, great detail deserves more views
Rest in peace to motumbo 1:12
Ok. And peace to Project Pat.
this is the first video i’ve found by you and you’re a great youtuber bro, i wish i would’ve found you sooner and you shouldn’t stop uploading dawg
Just now watching this.
R I.P. Mutombo
I would love to send this to the european football "fair play" salary cap calculators with teams signing players on 10 year contracts because the Dead Cap doesnt exist, just cash flow and "amortisation" over the life of the contract
I think promotion and relegation complicates things for European football. A closed league is why it was easier to implement financial rules
I know I'm a year late to this conversation but currently there are about half the league OVER the salary cap. Can you explain how that works and when are they required to get back under? Is it before they can sign a new player?
That is only allowed during the off-season. During the season you only have 7 days to get back under the cap otherwise you will be fined. The deadline to be back under the cap is March 15th.
@@numbersbehind March 15th? The offseason is just beginning then isn't it? Seems like the deadline would be around the same time final rosters are submitted.
you bash me or take me the jail if am wrong but the “offseason” is the beginning of the new season….the new league year as they call it. Kinda weird but teams have to be under cap by 4:00 pm est. once under the cap they can sign new players like draftees or free agents. Those contracts will count for that year cap and beyond. In addition all previous contracts will be using the new cap space. As for your say on shouldn’t it be once final roster cuts….smart idea but hey that’s the nfl for ya. 😂l
What website were you looking at to show everyone’s salary cap hits?
It sounded fascinating but I couldn't take the background music. Can you produce versions without it?
The Salary Cap, in 2024, is a shade over $255M
just commenting to be nice and help the algorithm. great video. have a good day everyone!
How do teams go over the cap?
So around the 3:20 mark is what's wrong with the NFL salary cap, and essentially makes it a soft cap. In the NHL, the cap hit is AAV, end of story, teams can structure actual payout however they choose, but the cap hit cannot change once the deal is approved by the commissioner's office.
For me it’d be like reverse phycology. Like. I don’t think you can do it. And then I make sure to prove I can do it. For NLTBE.
Good video content.
We're a lightly PINK bar on your Adjusted Salary Cap bar chart!? Holy hell.... Pittsburgh is at least silver....
Now I just have to wait for a job opening
Needed this lecture so i can debunk the cowboys sad excuse of why they never spend money on FA’s
I don't think the LTBE and NLTBE bonuses are defined as such in contracts, just by the NFL for cap purposes.
this helped so much and i looked up some numbers
What if a player is about to hit their expected incentive, but the team sits him the last game of the year so it can get credit for the next year's cap? Does the player have any recourse?
I think the dead cap space should account for positional injurys. You are far more likely to be injured as a running back, than a kicker. You could base this off historical injuries by position. Its not great to punish a position like running back as owners dont want to risk money and long term impact.
Cash over cap if you've got the money you can spend way more than the cap
great work man
7:30 "$100k Bonus for no tantrums" yup, that bonus isn't getting paid out
Very well done!!
A blessing and a curse at the same time.
3 Years ago.. xD i think there has been some changes regarding the dead cap listed teams
From the graphics to the explanation, this channel is underrated. Keep up the good work
Thanks!
Cops were unprofessional and abusive
WTF
That’s a whole bad bushel of apples with the Miami highway patrol!
Can’t wait to see the audit the audit report on this traffic stop
This was so good
On one side, the cap is a good thing. But on the other side, it solely benefits owners. Owners can make five times what the year player cap is.
Median average envisions Atlanta as the par, but LA has a certain Pennsylvania breakup singer perform more in that new LA stadium than Atlanta. Regardless the cap is $250 with 24/32 generating less than $750 million first fruits. That is from CNBC valuation so it is not close to five times. The valuation is how much a billionaires pay to buy the whole team so not annually adjusted.
Great video
Thanks for the support!
On one hand you said NFL teams can cut players without paying a penny then you said because of dead cap they have to pay them millions of pounds, is the dead cap the guaranteed signing bonus money?
Exactly. Its the signing bonuses. Its very confusing.
It’s such a quality video can’t believe it only has 3k views
Why this beat go so hard
Antonio Brown | Dead Cap Space for Tampa - The Raiders - Steelers
Great videos, what software do u use for your data visualizations and video charts?
Thanks! We use adobe illustrator and after effects for most of our graphics. We also use the programming language r and occasionally Tableau
Russell wilson just blew up rhe dead cap hit record
This is honestly really helpful
This is as clear as mud. The creatures did a good job.
Needed this! Thanks!! Now I know how the money works!!!
How would something like a career ending injury be dealt with from a cap perspective. Also do teams buy insurance against things like this. Say they decide to cut a player could they have taken out insurance to cover that eventuality in advance?
Teams can purchase injury insurance and receive credits towards the cap. But it needs to be detailed in the players contract.
Players who are on injured reserve still count against the cap, however they don't count against the 53 man roster. Meaning you can replace him with a player from the practice squad or sign a free agent.
This is why you see massive amounts of money being (guaranteed)
Video made my brain hurt and gave me a slight headache. Slick lawyers, agents and league officials trying to screw each other via incentives, bonuses and contract terminology.
OBJ no tantrums bonus 😅
You never mentioned when a Contract is completly voided....
I don't understand how it isn't illegal price fixing of the labor market.
Companies are allowed to determine the salary of their workers. All the teams are in the nfl
@@goblinstabba7105 If you view the NFL as one company and not 32 OK. But even then it would be one monopoly with total control over the labor market for football players. That would be something the federal government says they do not allow.
This is pretty cool thank u for explaining this. After watching it makes me shake my head even more about GMs, you might as well not sign anyone for more than 2 years, give a little more guaranteed money so they play their hearts out, and most of the time by a players 3rd or 4th year they're beat up and hurt, the average NFL career is only 3 years anyway, so why would you complicate your salary cap trying to predict what a player will do 2,3,4 years from now when the majority of the time players don't fulfill an entire contract anyway. I see why they do it, but if your teams goal is to win a Superb Owl 🦉 then just like they say, they can manipulate the salary cap to get almost any player they want when the player is available.
RIP Dikembe
I’m still soo lost
Yeah, should have used simpler numbers like 1, 2, 3, 4
Distinction between cash spend and salary cap got lost about 2/3 the way through.
Rip mutumbo!
Russel Wilson enters the chat..
It’s a 50/50 contract. Yes you do sign with a specific team and how that team manages their money and negotiate is how they effect things. But you are basically signing with the NFL with all the rules
Why would any union agree to a CBA containing a system specifically designed to limit their salary?
The baseball players rejected that nonsense 50 years ago. NFL players would be wise to do the same.
They wanted parity. Its why the NFL is so popular and MLB isnt. Who made it to the World Series? Two of the wealthiest clubs in the league. How many times have the Yankees appeared in the WS? Way too many.
The problem with the NFL is that the owners receive 55% of revenues and players get 45%. If anything it should be 50/50 or reverse it. The players drive the league.
Also the baseball players had to go on strike 30 years ago to NOT have a hard salary cap in baseball. Football players would be giving up a LOT more by going on strike relative to baseball players.
Interesting video but the music selection, it's no good. It's like being stuck at a terrible disco.
Rip mutumbo
Owners be like:
“We want to sign player X and give them a signing bonus in their contract…… buuuuutttt…. If that player retires we want our money back! They can’t screw us out of our money!”
Owners also be like:
“We signed player X to a massive contract, now they’re playing like trash. We want to cut him and we aren’t paying them a penny more!”
Seems fair……..
yeah...turns out the texans are all the better for that cap hit 4 years later
100k for o Tantrums
lol
Question: is there a limit to how much dead cap space a team could have what if a team cut 5 players and had 60 million in dead cap is there any sort of bail out from the league ?
All money paid to players must eventually hit the salary cap. This means that there can’t be any relief of dead cap
Get. Rid. Of. The. Cap. Allow. Team s. To. Get. Outside. Funds.
No way. They don't need outside funds. The players salaries are more than covered by the television deals alone. That means pretty much everything else, the owners keep. Tickets, concessions, jerseys sales...etc.
Get. Out. Side. Funds. Anyway.
@@wilsontodd-ud9km Even without the salary cap, teams make enough money to not require outside funds. And where would these funds come from? What would these sources of outside funds require in return? People aren't going to give the teams money without expecting something back in return.
Getting funds from outside sources is unnecessary and unwise. Why do you think that would be a good idea? I'm very curious what your thinking on this is.
Do. You. Remember. Jerry. Jones. Got. Deon. Sanders. Deal. Went. Everyone. Made. A. Big. Deal. About. It. Went. Jerry. Got. That. Pespi. Deal. And. The. New. York. Yankees. Was. Behind. Jerry. Jones. And. Al. Davis. For. It. As. Well. Or. Have. You. Forgot. About. That.
@wilsontodd-ud9km No I haven't forgotten when Jones signed Sanders to the Cowboys. What does that have to do with outside funds. He was signed in 1995 which is the year after the salary cap was implemented. I don't care about the Yankees or Pepsi or Al Davis.
People made a big deal about the Sanders' signing because it made him the highest paid defensive player in the league.
It doesn't appear that you know what you are talking about so I have no more questions. Thanks.
in 2022 its set at 208,000,000 $
NFL teams probably have the best accountants
The cap should be simpler. Contracts should be limited to three seasons. If you stopped the manipulation then you would see more one year deals. More player movement would mean teams at the bottom could come up quick. Teams at the top would not be able to load up on players then tank. Tanking should be eliminated in my opinión. They are punishing yeams like Miami for this with unfair referees but this also is a bad idea.
Players don't want one year deals. They know they have a little bit more job security with longer deals because how much dead cap would result from them being cut. That's why you see players throw a fit when they are designated as Franchise Players. Its a lot of money, but its only one year.
Now it goes white.
Neat
Amazing video