A Alex Chiasson buyout spans 2 years, has a cost of $1,433,333 and savings of $716,667. Chiasson is 29 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $2,150,000 in salary remaining, the cost is $1,433,333, and the savings are $716,667. Buyouts span twice the length of the remaining years and because there is 1 year remaining in the contract, the buyout length is 2 years. The buyout cap hit is displayed in the Cap Hit Calculations table below.
Cost Calculations
BUYOUT DATE | BASE SALARY REMAINING | S.BONUS REMAINING | YEARS REMAINING | BUYOUT LENGTH | AGE | BUYOUT RATIO | TOTAL COST | TOTAL SAVINGS | ANNUAL COST |
---|
Jun. 15, 2020 | $2,150,000 | $0 | 1 | 2 | 29 | 2/3 | $1,433,333 | $716,667 | $716,667 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT |
2020-21 | $2,150,000 | $2,150,000 | $0 | $716,667 | $716,667 | $1,433,333 | $716,667 |
2021-22 | $0 | $0 | $0 | $716,667 | $716,667 | -$716,667 | $716,667 |
TOTAL | $2,150,000 | $2,150,000 | $0 | $1,433,333 | $1,433,333 | $716,667 | $1,433,334 |