A Kevin Hayes buyout spans 4 years, has a cost of $5,333,333 and savings of $2,666,667. Hayes is 32 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $8,000,000 in salary remaining, the cost is $5,333,333, and the savings are $2,666,667. 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.
Retained Salary
This contract was involved in a retained salary transaction. The resulting costs and cap hit are therefore split between each team based on the percentage of salary retained by the respective teams.
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 | $8,000,000 | $2,500,000 | 2 | 4 | 32 | 2/3 | $5,333,333 | $2,666,667 | $1,333,333 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT (STL) | CAP HIT (PHI) |
2024-25 | $4,000,000 | $7,142,857 | $1,250,000 | $1,333,333 | $2,583,333 | $2,666,667 | $2,238,095 | $2,238,095 |
2025-26 | $4,000,000 | $7,142,857 | $1,250,000 | $1,333,333 | $2,583,333 | $2,666,667 | $2,238,095 | $2,238,095 |
2026-27 | $0 | $0 | $0 | $1,333,333 | $1,333,333 | -$1,333,333 | $666,667 | $666,666 |
2027-28 | $0 | $0 | $0 | $1,333,333 | $1,333,333 | -$1,333,333 | $666,667 | $666,666 |
TOTAL | $8,000,000 | $14,285,714 | $2,500,000 | $5,333,333 | $7,833,333 | $2,666,667 | $5,809,524 (50%) | $5,809,522 (50%) |