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A Logan O'Connor buyout spans 4 years, has a cost of $1,500,000 and savings of $750,000. O'Connor is 26 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $2,250,000 in salary remaining, the cost is $1,500,000, and the savings are $750,000. 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.
| BUYOUT DATE | BASE SALARY REMAINING | S.BONUS REMAINING | YEARS REMAINING | BUYOUT LENGTH | AGE | BUYOUT RATIO | TOTAL COST | TOTAL SAVINGS | ANNUAL COST |
|---|---|---|---|---|---|---|---|---|---|
| Jun. 15, 2023 | $2,250,000 | $0 | 2 | 4 | 26 | 2/3 | $1,500,000 | $750,000 | $375,000 |
| SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT ( COL) |
| 2023-24 | $1,000,000 | $1,050,000 | $0 | $375,000 | $375,000 | $625,000 | $425,000 |
| 2024-25 | $1,250,000 | $1,050,000 | $0 | $375,000 | $375,000 | $875,000 | $175,000 |
| 2025-26 | $0 | $0 | $0 | $375,000 | $375,000 | -$375,000 | $375,000 |
| 2026-27 | $0 | $0 | $0 | $375,000 | $375,000 | -$375,000 | $375,000 |
| TOTAL | $2,250,000 | $2,100,000 | $0 | $1,500,000 | $1,500,000 | $750,000 | $1,350,000 |
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