Salary Cap Analysis

A Crash Course on Practice Squad Eligibility

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With the final cutdown date looming for every team around the NFL, over 700 players are facing the prospects of being unemployed by this weekend. However, for 320 of them, that unemployment will be replaced by the tenuous, and often temporary, existence that is an NFL’s Practice Squad. That 320 players represents an additional 64 players than in the past, as the NFL and NFLPA recently agreed to add 2 additional spots to what had previously been 8-man squads. The first step, though, is that the player must be released....

Relatively Speaking 49ers Score With Kaepernick Deal

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Flacco’s Deal Not as Cap Friendly There is very much an adage when it comes to examining NFL contracts – “the devil is in the (guaranteed money) details”. Implicit in that statement is that a contract should never be judged on the raw numbers and any analysis of a contract should wait until after the full details of the contract have been disclosed. A clearer example of this has probably never been more evident than the discussions that have occurred over the last 48 hours regarding the new contract signed...

ASK THE CAP MAN: Why is June 1 a Big Day in The NFL?

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What is the June 1 release deadline and how does it affect the Salary Cap? If a player is released after the CBA mandated deadline of June 1st, the team gets the benefit of being able to spread the Salary Cap hit – or dead money – over two years. When a player is released after June 1, the team is again relieved of paying that player’s base salary for the year in which he is released (and all future years) and the only amount that counts against the team’s...

Breakdown of The Baltimore Ravens Rookie Contracts

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With the advent of the new rookie wage scale contained in the NFL’s 2011 CBA, much of the mystery of rookie contracts have been removed. With the new system largely being a slotted system, signings are happening much quicker and holdouts are few and far in between. Also, with the overall league Salary Cap having increased at such a minimal case, players are receiving the same Signing Bonus as the player taken with the same pick in the prior year’s draft. The following is a breakdown of the contracts of...

Salary Cap Impact of Ravens’ 2014 Draft Class

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In the next day or two, the NFL will announce that the Ravens have a $5,842,132 “Year One Rookie Allocation”. This is what is still commonly referred to as the team’s “Rookie Cap”. This is an oft misunderstood number, because while it is part of the team’s Salary Cap, it does not have a dollar-for-dollar impact on the team’s overall Salary Cap. The Rookie Salary Cap is often referred to as “a cap within a cap” because it limits the amount that teams can allocate to their rookies in the...

How The Rookie Salary Cap Works

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NOTE: Originally published on April 21, 2013 and updated May 6, 2014   In the days following this week’s NFL draft, the league will announce each team’s “Year One Rookie Allocation” (formerly known as the “Rookie Pool” or “Rookie Salary Cap”).  This is an oft misunderstood number, because while it is part of the team’s Salary Cap, it does not have a dollar-for-dollar impact on the team’s overall Salary Cap. The Rookie Salary Cap is often referred to as “a cap within a cap” because it limits the amount that...

SALARY CAP UPDATE: Ravens at $6.2M Under Cap

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The cap impact of the LaQuan Williams signing is minimal as first reported by RSR’s Brian McFarland. Now that his numbers are registered with the NFLPA, the Ravens will are now $6,246,187 under the cap with 63 players who have either been tendered or are under contract. Cap Impact of LQWilliams signing will be minimal. Once he hits Cap, Ravens will be $6,246,187 under w/ 63 players under contract/tendered — Brian McFarland (@RavensSalaryCap) April 25, 2014 LQWilliams deal likely 2 b a min deal of $570K, as he didn’t accrue...

Ask the Cap Guru: Rule of 51, Incentives, and More

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This will be the first in a periodic series of Q&A segments with our Salary Cap expert. If you have a question for Brian, submit it in the comments below, and he’ll either answer there or in a future Q&A column.  What is the “Rule of 51” that I keep hearing about and what is its effect on the Salary Cap? During the offseason, teams are allowed to carry up to 90 players on their rosters.  Obviously, it would be impossible for teams to fit all 90 players under the...

Salary Cap Update: Busy Week for Ravens

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As the free agent period dawned on Tuesday afternoon, the Ravens’ roster looked to be in total flux, with key free agents like OT Eugene Monroe, LB Daryl Smith and WR/KR Jacoby Jones appearing to be on the verge of becoming ex-Ravens. By late Friday, as the dust had settled on a very busy week, General Manager Ozzie Newsome and the Ravens’ front office had again shown why they are among the best in the business. Monroe? Check. Daryl Smith? Check. Jacoby? Check. And, while not on the same level,...

Ravens Lose Nearly $2.5M in Cap Space

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Available Cap Space Now at Approximately $18.5M In the NFL, a team’s Salary Cap is impacted by many different factors. Each team has its own “adjusted” Cap, which is the league-wide Salary Cap ($133M in 2014) adjusted by 3 things:   The carryover of unused Cap space from the prior year ($1,531,423 for the Ravens) The league-wide Workout Bonus deduction ($504K in 2014) The incentive adjustment for incentives that were earned and unearned in the prior year When we talk about a team’s Cap space, it is the team’s “adjusted”...

Ravens Have as Much as $21.4M to Spare

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SALARY CAP UPDATE   March 6, 2014   With the March 11th beginning of the free agent period less than a week away, the Ravens are, according to Head Coach John Harbaugh, “aggressively” pursuing re-signing some of their own pending free agents. With that in mind, here’s a look at the Ravens’ 2014 Free Agency and Salary Cap status: PLAYERS UNDER CONTRACT The Ravens presently have the following 45 players under contract for 2014 (with Cap Numbers indicated): QBs (3): Joe Flacco ($14.8M), Tyrod Taylor ($671K), Nick Stephens ($420K) RBs...

Cap Ramifications Of Ray Rice’s Legal Issues

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As more and more details come out about the “altercation” between Ray Rice and his fiancée in Atlantic City, it starts looking worse and worse for Rice. Clearly, whatever happened has damaged his “good guy” reputation in the court of public opinion – perhaps forever – and has caught the eye of the NFL offices in New York. It’s a situation that can’t make the Ravens Front Office very happy either and they are probably in major damage control mode at this point. It has also driven fans to question...

Early Breakdown of Suggs’ Contract Extension

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There appears to be some discrepancies with regard to the various media reports about the value and breakdown of Terrell Suggs’ new contract extension, but the bottom line appears to be a base deal of $28.5M, of which $16M is fully guaranteed.  The deal includes an $11M Signing Bonus, and a first year payout of $12M.  The total new money in the deal is $20.7M. There may be some escalators involved that have yet to be reported.  This may explain some of the discrepancies because it was first reported that...

Source Indicates Ravens WILL get Comp Pick for Reed

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Monday’s Salary Cap article discussed the Ravens’ prospects for receiving four (4) Compensatory draft picks for this coming May’s NFL draft and the question of whether Ed Reed’s November release by the Texans would impact those possibilities. Not long after that article was posted, a team source reached out to Russell Street Report and pointed out two very important things. The first was that I can’t add (not a good thing for someone who writes about the Salary Cap!). When I noted that no Comp picks had ever been granted...

Ravens 2014 Offseason Preview (Version 2.0)

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With the Super Bowl now complete, every NFL team will begin turning its sights toward the 2014 league year, which is set to begin on March 11th.  As that date approaches, teams will begin making roster adjustments aimed at setting themselves up for the offseason, free agency and the draft. As of this morning, teams are now allowed to begin releasing players and the waiver process has begun.  So, while the free agent period is still 6 weeks away, the offseason business of the 2014 season has now officially begun....

Although It Doesn’t Add Up, Ravens Expect 4 Comp Picks

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Team Will Have 8 Draft Picks in May, McKinnie Pick Will Come In 2015   NOTE:  Since this article was posted this morning, Russell Street Report has learned that the Ravens will definitely receive a Compensatory pick for Ed Reed.  The below article erroneously states that Reed was released by Houston after week 9, when in fact, he was released after week 10.  Reed was on the Texans  roster for 9 games, but the Texans’ Bye week occurred during week 7, so Reed was not released until after week 10....

New CBA Allows Ravens to Control J. Smith for 5th Season

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Team Should Extend T. Smith Before 2014 Season   When the NFL owners took a hard line during the 2011 NFL collective bargaining sessions, one of their stated goals was to reduce the compensation paid to rookies and create a more reasonable rookie compensation system. The owners were ultimately successful in attaining that goal and the resulting Collective Bargaining Agreement (“CBA”) has greatly reduced “rookie compensation”. The owners were also able to negotiate a new provision that prohibits the renegotiation of a draft pick’s rookie contract until after the completion...

Ravens 2014 Free Agency Preview

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What a difference a year makes! Last year at this time, the Ravens were preparing for what was going to be Ray Lewis’ last home game in Baltimore and hoping to be able to find a way to put it together to make a run at the Super Bowl and reward Lewis with the ultimate retirement gift. While hopeful, few could have really envisioned the historic run to come! This year, however, there is a much different feeling – and outcome. Unable to find the extra gear that carried them...

NFL Discloses Estimated 2014 Salary Cap

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Early yesterday, Albert Breer of NFL Network reported that the league has told teams that the projected 2014 Salary Cap will be $126.3M. This projected number represents only a 2.68% increase over the 2013 Salary Cap of $123K, and continues to underlie the belief that the NFL owners played their cards very well during the last CBA negotiations. The NFLPA, on the other hand, is still waiting for their projected spike in the Cap to materialize. ESTIMATED 2014 FRANCHISE TAG NUMBERS: Last month, Joel Corry of CBS Sports (and National Football...

Acquisition of Monroe Sends Ravens Directly to Cap Jail

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Last night’s news that the Ravens had acquired Jacksonville Offensive Tackle Eugene Monroe was certainly a shock to Ravens fans. Given that Coach John Harbaugh very pointedly expressed his displeasure with the offensive line on Monday, a change wasn’t an unlikely expectation, however acquiring a quality Offensive Tackle of Monroe’s stature came totally out of the blue. OZZIE STRIKES AGAIN! But, while the rare in-season trade by the Wizard (has there ever been another for the Ravens?) leaves Baltimore with an abundance of Tackles, it also created a serious lack...
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