A Jamie Benn buyout spans 10 years, has a cost of $3,333,333 and savings of $1,666,667. Benn is 30 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $5,000,000 in salary remaining, the cost is $3,333,333, and the savings are $1,666,667. Buyouts span twice the length of the remaining years and because there are 5 years remaining in the contract, the buyout length is 10 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 | $5,000,000 | $32,000,000 | 5 | 10 | 30 | 2/3 | $3,333,333 | $1,666,667 | $333,333 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT (DAL) |
2020-21 | $1,000,000 | $9,500,000 | $8,000,000 | $333,333 | $8,333,333 | $666,667 | $8,833,333 |
2021-22 | $1,000,000 | $9,500,000 | $7,500,000 | $333,333 | $7,833,333 | $666,667 | $8,833,333 |
2022-23 | $1,000,000 | $9,500,000 | $5,500,000 | $333,333 | $5,833,333 | $666,667 | $8,833,333 |
2023-24 | $1,000,000 | $9,500,000 | $5,500,000 | $333,333 | $5,833,333 | $666,667 | $8,833,333 |
2024-25 | $1,000,000 | $9,500,000 | $5,500,000 | $333,333 | $5,833,333 | $666,667 | $8,833,333 |
2025-26 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2026-27 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2027-28 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2028-29 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2029-30 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
TOTAL | $5,000,000 | $47,500,000 | $32,000,000 | $3,333,333 | $35,333,333 | $1,666,667 | $45,833,330 |