A Jack Johnson buyout spans 2 years, has a cost of $766,667 and savings of $383,333. Johnson is 33 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $1,150,000 in salary remaining, the cost is $766,667, and the savings are $383,333. 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 |
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Jun. 15, 2020 | $1,150,000 | $0 | 1 | 2 | 33 | 2/3 | $766,667 | $383,333 | $383,334 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT (COL) |
2020-21 | $1,150,000 | $1,150,000 | $0 | $383,334 | $383,334 | $766,666 | $383,334 |
2021-22 | $0 | $0 | $0 | $383,334 | $383,334 | -$383,334 | $383,334 |
TOTAL | $1,150,000 | $1,150,000 | $0 | $766,667 | $766,667 | $383,333 | $766,668 |