Canceling the NFL is back in fashion.
Even in Seattle.
And no, we’re not talking about next season ‘s touchdown celebration.
Instead, it refers to the tactics teams are more likely to use with a reduced pay cap to make some financial bypasses during the year.
Due to losses due to COVID-19 in league revenue in 2020, this year each NFL team has a salary of $ 182.5 million, through which it has to compile its 2021 list. That’s less than $ 198.2 million in 2020, և about $ 210 million when teams thought they would have it by 2021 before the epidemic hit (և a number they remembered when teams signed some players were long-term contracts until 2020))
So with less room for a hat, teams get more creative. And one way is by using the term “invalid years” in contracts.
What is an invalid year?
Here’s an explanation from OvertheCap.com that follows the NFL financial issues.
“Invalid contract years are mostly fake contract methods that are simply used to manipulate the salary cap,” says the OTC. “The purpose of the Invalid Year is to allow the team player to pay a signing bonus և to assess more years than actually exist in the contract. Basically it goes on credit with a hat. Buy now and pay later. ”
Take, for example, the contract of one of Seattle’s newly signed free agents, the demanding Erald Everett.
As it turned out on Thursday, Everett, who has played for the Aries for the last four seasons, signed a two-year contract worth $ 6 million, which includes a $ 4 million signing bonus.
However, the contract automatically becomes invalid if Everett announces five days after the 2022 Super Cup (Super Cup following the 2021 Season). At that moment, Everett will become a free agent, that is, he actually has a contract with Seattle for the 2021 season.
However, as it is technically a two-year deal, the signing bonus can be extended for two years. $ 2 million hat hit in 2021 And a $ 2 million cover hit in 2022.
But for all intents and purposes, the 2020 season does not exist in the Everett Treaty. There is no salary for that season. And the only way Everett could be on the roster in the 2022 season is to sign another contract with the Seahawks. The year is there exclusively as a device that distributes the Everett signature bonus for hat purposes.
Until 2021, Seattle had never used the endless years of Pete Carroll / John von Schneider: և was generally regarded as a well-disciplined team with no future investment to pay for players now. This has sometimes been a concern for fans who want the Seahawks to spend more on free agencies.
But how El Oel CorrieThe former agent, who now writes about NSSL financial issues for CBSSports.com, says: “Many teams have not done so before this year.”
Everett is the fifth Seattle player to sign a contract this month that includes invalid years.
For example, Carson signed what was originally circulated in some circles for up to $ 24.5 million in a three-year deal.
But the third year is invalid – what Carson really got was a two-year deal worth $ 10.4 million.
In 2023, the invalid year allowed Seattle to distribute a $ 4.5 million bonus, the amount the player actually receives at the time of signing the contract, over a three-year salary cap. Or $ 1.5 million for each 2021, 2022 և 2023 season.
But, like the Everett deal, Carson’s contract officially expires after the 2023 Super Bowl (Super Bowl after the 2022 Super Cup), in which Carson becomes a free agent միակ the only way to stay on the roster in 2023 is to sign a new contract. With Seattle.
The advantage of invalid years is that in 2021 a larger area will be created.
Adversity pushes some costs into the 2022 և 2023 season in the form of so-called “dead money”.
This is another expression that may seem confusing to a layman.
So what is dead money?
Again, let the OTC explain that. “Dead money is the area of the hat that you will still give to the salary cap, even if the player is not on another team.”
To use Carson’s contract as an example, signing the $ 1.5 million bonus that Seattle pushed into the 2023 season using an invalid year will be considered a 2023 salary cap, regardless of whether Carson is on the team or even if he is just signing. a previous contract with Seattle. So it’s called “dead money” because at the moment Seattle can do nothing to get it out. And that means Seattle has $ 1.5 million less room to spend on 2023 23 2022 to include Kherson on the list.
But the Seahawks բոլոր all other teams using invalid years are now paying on their paychecks, jumping significantly over the next two years as revenue returns to a more normal level և as he’s starting new TV deals.
Although invalid years are unlikely to be new. Some teams started using them on veterans in 2011 when the league և players got a new collective agreement, which created a scale of newcomers’ salaries.
Teams like the Saints’ Patriots used them for defender Drew Bryce և Tom Brady to make space faster. New Orleans has twice signed new deals with Brees to push back invalid years. But it was an invalid year that allowed Brady to become a free agent after the 2019 season, when it was written that many expected Brady, “the Patrons would agree to a new deal before it expired,” to eventually sign Tampa Bay.
OvertheCap.com employee Jason Fitzgerald says that although years can be tempting to try to win now. “In general, they usually end up insulting you, leaving you with tons of dead money players. That said, this year is unique because of the drop in the hat, which is why almost everyone uses them. ”
Because the Seahawks previously avoided invalid years և usually avoided long-term deals, with the exception of key players such as Russell Wilson and Bobby Wagner, Seattle was usually one of the teams with the least amount of dead money each season.
“As much as possible, they try to keep everything clean,” Korry told the Seahawks, which means they usually do not make much money off the road. Corrie said about using invalid years now. “I would not say it is a good strategy. But it may be a more necessary strategy this year, when the scarf was reduced to $ 15.7 million. ”
Or as Fitzgerald said. “If it’s just a year, they probably won’t hurt.”