A Jared Spurgeon buyout spans 6 years, has a cost of $14,016,667 and savings of $7,008,333. Spurgeon is 34 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $21,025,000 in salary remaining, the cost is $14,016,667, and the savings are $7,008,333. Buyouts span twice the length of the remaining years and because there are 3 years remaining in the contract, the buyout length is 6 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, 2024 | $21,025,000 | $0 | 3 | 6 | 34 | 2/3 | $14,016,667 | $7,008,333 | $2,336,111 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT (MIN) |
2024-25 | $8,000,000 | $7,575,000 | $0 | $2,336,111 | $2,336,111 | $5,663,889 | $1,911,111 |
2025-26 | $7,000,000 | $7,575,000 | $0 | $2,336,111 | $2,336,111 | $4,663,889 | $2,911,111 |
2026-27 | $6,025,000 | $7,575,000 | $0 | $2,336,111 | $2,336,111 | $3,688,889 | $3,886,111 |
2027-28 | $0 | $0 | $0 | $2,336,111 | $2,336,111 | -$2,336,111 | $2,336,111 |
2028-29 | $0 | $0 | $0 | $2,336,111 | $2,336,111 | -$2,336,111 | $2,336,111 |
2029-30 | $0 | $0 | $0 | $2,336,111 | $2,336,111 | -$2,336,111 | $2,336,111 |
TOTAL | $21,025,000 | $22,725,000 | $0 | $14,016,667 | $14,016,667 | $7,008,333 | $15,716,666 |