Re: Explaining how the Rams can afford so many big contracts for their stars
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A couple things ...
The chart they're using to show the cap ramifications for ADs deal is wrong. It should look like this:
The differences: they don't show his $25M Prorated Bonus in years 2024 or 2025 and they don't properly account for his $20M option bonus that would be paid to him in 2023 if he plays that year (shown under 'Other Bonus').
Next, the article says that in 2025 the Rams be "paying him $23.3 million to not be on the team that year". Well, that isn't exactly true. His cap hit would be $23.3M ... but the Rams won't be paying him a dime.
They will pay him $31.5M in 2022 ($25M signing bonus, $5M roster bonus, and $1.5M salary).
They will pay him $28.5M in 2023 ($15M roster bonus and $13.5M salary). And if AD plays in 2023 his $5M roster bonus in 2024 is guaranteed.
That's how they come up with $65M in the first 2 years.
Then, if AD plays in 2024 he gets another $30M ($10M salary and $20M option bonus).
So that's $95M paid out in 3 years, none of it past 2024.
The cap is just accounting, and here's how it differs. The $25M signing bonus paid in full in 2022 is applied to the cap across 5 years at $5M a year. And the $20M option bonus would be paid in full in 2024 but the cap hit would be spread out across the final three years of the deal.
So to summarize ...
2022: $31.5M paid with a cap hit of $24M ($5M roster bonus, $1.5M salary, $5M prorated bonus from this new deal, another $12.5M prorated bonus money left over from his previous deal.)
2023: $28.5M paid with a cap hit of $38M ($15M roster bonus, $13.5M salary, $5M prorated bonus from this new deal, another $4.5M prorated bonus money left over from his previous deal.)
2023: $30M paid with a cap hit of just over $31M ($5M roster bonus, $10M salary, $6,666,666 prorated amount from that option bonus, $5M prorated bonus from this new deal, another $4.5M prorated bonus money left over from his previous deal.)
2024: no money changes hands, but there's still a cap hit over $23.3M. ($5M prorated bonus from both 2024 and 2025 plus $6,666,667 prorated amount from that option bonus from both 2024 and 2025.)
AlbaNY_Ram
The chart they're using to show the cap ramifications for ADs deal is wrong. It should look like this:
The differences: they don't show his $25M Prorated Bonus in years 2024 or 2025 and they don't properly account for his $20M option bonus that would be paid to him in 2023 if he plays that year (shown under 'Other Bonus').
Next, the article says that in 2025 the Rams be "paying him $23.3 million to not be on the team that year". Well, that isn't exactly true. His cap hit would be $23.3M ... but the Rams won't be paying him a dime.
They will pay him $31.5M in 2022 ($25M signing bonus, $5M roster bonus, and $1.5M salary).
They will pay him $28.5M in 2023 ($15M roster bonus and $13.5M salary). And if AD plays in 2023 his $5M roster bonus in 2024 is guaranteed.
That's how they come up with $65M in the first 2 years.
Then, if AD plays in 2024 he gets another $30M ($10M salary and $20M option bonus).
So that's $95M paid out in 3 years, none of it past 2024.
The cap is just accounting, and here's how it differs. The $25M signing bonus paid in full in 2022 is applied to the cap across 5 years at $5M a year. And the $20M option bonus would be paid in full in 2024 but the cap hit would be spread out across the final three years of the deal.
So to summarize ...
2022: $31.5M paid with a cap hit of $24M ($5M roster bonus, $1.5M salary, $5M prorated bonus from this new deal, another $12.5M prorated bonus money left over from his previous deal.)
2023: $28.5M paid with a cap hit of $38M ($15M roster bonus, $13.5M salary, $5M prorated bonus from this new deal, another $4.5M prorated bonus money left over from his previous deal.)
2023: $30M paid with a cap hit of just over $31M ($5M roster bonus, $10M salary, $6,666,666 prorated amount from that option bonus, $5M prorated bonus from this new deal, another $4.5M prorated bonus money left over from his previous deal.)
2024: no money changes hands, but there's still a cap hit over $23.3M. ($5M prorated bonus from both 2024 and 2025 plus $6,666,667 prorated amount from that option bonus from both 2024 and 2025.)
AlbaNY_Ram
| Subject | Author | Views | Posted |
|---|---|---|---|
 | NewMexicoRam | 378 | June 09, 2022 07:01AM |
| AlbaNY_Ram | 115 | June 09, 2022 07:47AM |
| NewMexicoRam | 119 | June 09, 2022 08:18AM |
| BerendsenRam | 98 | June 09, 2022 08:29AM |
