A Karl Alzner buyout spans 4 years, has a cost of $3,333,333 and savings of $1,666,667. Alzner is 31 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 2 years remaining in the contract, the buyout length is 4 years. The buyout cap hit is displayed in the Cap Hit Calculations table below.
This player does not currently have an active contract; however, the buyout details of their previously bought-out contract would be as follows
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 | $1,500,000 | 2 | 4 | 31 | 2/3 | $3,333,333 | $1,666,667 | $833,333 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT |
2020-21 | $1,500,000 | $4,625,000 | $1,500,000 | $833,333 | $2,333,333 | $666,667 | $3,958,333 |
2021-22 | $3,500,000 | $4,625,000 | $0 | $833,333 | $833,333 | $2,666,667 | $1,958,333 |
2022-23 | $0 | $0 | $0 | $833,333 | $833,333 | -$833,333 | $833,333 |
2023-24 | $0 | $0 | $0 | $833,333 | $833,333 | -$833,333 | $833,333 |
TOTAL | $5,000,000 | $9,250,000 | $1,500,000 | $3,333,333 | $4,833,333 | $1,666,667 | $7,583,332 |