Hardy contract impact on 2016 cap

Hostile

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There is a cap hit for 2016 which I will look again but it shows he would be 3 to 4 million for 2015 and the rest something around
9 million in 2016 baring he gets the full 13 million worth of extras in the contract.
That is incorrect sir. His contract is all 2015. He is a UFA in 2016.
 

FuzzyLumpkins

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That is incorrect sir. His contract is all 2015. He is a UFA in 2016.

He only played one game last year and NLTBE vs LTBE is determined by the previous year. So when calculating the cap hit for this year they only predict him 'likely' to play 1 game thus the low cap hit of ~2m I forget the actual amount. If he plays 14 games this year he is going to make ~$11m total when it is all said and done. You have to account for that difference and it is applied to the following years cap.

We don't get to play him $11m and only stay with the tiny cap hit.
 

AdamJT13

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Correct, the only incentives that would hit in 2016 would be the 1.8m for the sacks.

His sack incentives -- whatever he earns, if any -- would be added to our cap at the end of the season. The cap charge for those incentives carry into 2016 only if we don't have cap room remaining (and depending on whether other players' LTBE/NLTBE incentives are added to or subtracted from our cap charges).

For example, if we he earns $1.4 million in sack incentives, and we have $800,000 of cap room remaining -- AND if no other players have LTBE or NLTBE incentives that need to be added or subtracted -- then he would use the rest of our $800,000, and the other $600,000 would be subtracted from our 2016 cap as an adjustment. Or, if we have $1.7 million remaining before him in that same situation, all $1.4 million would be used in 2015, and we could carry the other $300,000 of cap room into 2016.
 
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The only other way is that the cap hit keeps going up this year as he plays more games. In which case the Cowboys would have to keep an additional 6mill on the books to pay it out.

This is correct. The games played are not likely to be earned incentives right now (because Hardy only played 1 game last year and is facing a suspension this year). But once he plays the games this year, he earns them. And we have to have enough money under this year's cap to pay for them. We dont need the the cap room now in March, which is why we have not restructured Romo. We will need the cap room in September, either from Carr getting cut or Dez signing long term or Romo restructuring.
 

Hostile

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He only played one game last year and NLTBE vs LTBE is determined by the previous year. So when calculating the cap hit for this year they only predict him 'likely' to play 1 game thus the low cap hit of ~2m I forget the actual amount. If he plays 14 games this year he is going to make ~$11m total when it is all said and done. You have to account for that difference and it is applied to the following years cap.

We don't get to play him $11m and only stay with the tiny cap hit.
Fuzzer, that has nothing to do with what I said. His cap hit is entirely 2015. No matter what incentives he earns, it affects our 2015 cap. 2016's cap is free and clear of anything regarding Greg Hardy unless we re-sign him.
 

Hostile

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His sack incentives -- whatever he earns, if any -- would be added to our cap at the end of the season. The cap charge for those incentives carry into 2016 only if we don't have cap room remaining (and depending on whether other players' LTBE/NLTBE incentives are added to or subtracted from our cap charges).

For example, if we he earns $1.4 million in sack incentives, and we have $800,000 of cap room remaining -- AND if no other players have LTBE or NLTBE incentives that need to be added or subtracted -- then he would use the rest of our $800,000, and the other $600,000 would be subtracted from our 2016 cap as an adjustment. Or, if we have $1.7 million remaining before him in that same situation, all $1.4 million would be used in 2015, and we could carry the other $300,000 of cap room into 2016.
Adam is here. That is all the proof anyone needs. Or at least all that anyone should.
 

FuzzyLumpkins

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TwentyOne

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So we are all stoked about the $3,217,850 dollar cap hit we take on for Hardy this year. But what about next year?

Well next year his dead money that carries over from 2015 could be something like this - assuming he gets a 4 game suspension and manages 10 sacks:
Per game bonuses - $5,781,250
10 sack bonus - $1,000,000
Total $6,781,250 in dead money for 2016.

The max dead money we would be facing would be - $9,898,150

This is how we managed to sign Hardy without restructuring Romo. We borrowed from next year again. Not saying it wasn't the right thing to do, but he will be hitting us for a big chunk of dead money next year.

Bonuses dont have an impact on next years salary. They always count against the current year.

Only NLTBE (not likely to be earned) incentives are going to count against the cap of the following season.

In Hardy's case those NLTBE incentive is the money he could earn thru sacks. Which is capped at max 1.8mills which he could earn by producing 14(?) sacks. Everything else in Hardy's contract is defined as bonus money.

NLTBE (for those who are interested) is a wording for something he did not achieve in the past (last) season. So for example if hardy had 2 sacks in 2014 and if they had a clause for sacks in his contract then 2 sacks would be LTBE (likely to be earned) everything else (above) would be NLTBE. LTBE incentives would count against this years salary. But because Hardy had no sacks in 2014 everything he could earn thru sacks would count against the 2016 cap.
 
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speedkilz88

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From Spags:

Lots of gray area, and that is why the Cowboys structured Hardy’s one-year contract to account for just that. And here, too, are the facts of that contract.
No guaranteed money – no signing bonus or any portion of base salary.

The 2014 salary cap hit is $3.213 million, including a $745,000 base salary, a $1.31 million workout bonus that has to be earned and a $1.156 million roster bonus if he makes the 53-man roster.

While this can be a one-year, as much as a $11.3 million contract, there is $9.255 million tied up in per-game bonuses that will be paid thusly: $578,437 for every week Hardy is on the 53-man roster. Meaning, slapped with, say, a four-game suspension, Hardy would be docked $2.313 million from that $9.255 million figure. Also, the salary cap is charged weekly, so that money has to be available.

As for the $13.1 million figure: That’s the most he can make if he hits the highest performance bonus, which is $1.8 million for 14 sacks. This though, is charged to the 2016 cap, classified as an unlikely to be earned bonus since none of the bonus levels listed were achieved the previous season.

Also, no franchise-tag designation was negotiated into the deal, which seems to have angered those in favor of the Cowboys having signed Hardy. But that is the price for no guaranteed money being included in the contract and for only having offered the one-year deal. Both sides have an out, for better or for worse, Hardy only obligated to a one-year contract and the Cowboys able to cut ties with the player for whatever reason without carrying over a huge cap penalty into the following season for guaranteed money.
http://www.dallascowboys.com/news/2015/03/20/spagnola-now-let’s-take-some-time-dig-deep-hardy-signing
 

Wood

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how many games do we realistically feel Hardy will play? I get a sense the league really wants to drop the hammer on this case as their was significant push-back (especially in Dallas area) to his signing and on heels of Ray Rice case. Now the really important part to this is evidence from bench trial. There was evidence of his wrong doing but the judge only threw 18 months of probation at him (no jail time) and there are reports the judge was not fully confident in victims testimony that changed somewhat. The NFL will need to walk tight rope by showing they will be more responsible (ie not like Ray Rice case) but also weight the reasons for weak punishment by judge in bench trial.

Depending on his suspension Dallas might not need to redo Romo contract and might just get away with releasing Carr to pay for Hardy limited action this year. As we know, Carr is basically being demoted to right CB now.
 

TwentyOne

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how many games do we realistically feel Hardy will play? I get a sense the league really wants to drop the hammer on this case as their was significant push-back (especially in Dallas area) to his signing and on heels of Ray Rice case. Now the really important part to this is evidence from bench trial. There was evidence of his wrong doing but the judge only threw 18 months of probation at him (no jail time) and there are reports the judge was not fully confident in victims testimony that changed somewhat. The NFL will need to walk tight rope by showing they will be more responsible (ie not like Ray Rice case) but also weight the reasons for weak punishment by judge in bench trial.

Depending on his suspension Dallas might not need to redo Romo contract and might just get away with releasing Carr to pay for Hardy limited action this year.

I dont really know. I hope the suspension will be 4 games.

If the suspension will be 12 games (like some think) for me it will be interesting to see what dallas does.

They could cut him. But i do think keeping him would also be an option.
 

FuzzyLumpkins

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A lot of this is moot now that cap space is completely transferable from one year to the next.

We are currently $1.85m with flexibility.
 

Nightman

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I think everyone is saying the same thing. If he earns the sack incentives and if there is cap space it would go against the 2015 cap.

But if he gets the sacks incentives and there isn't enough cap space it will be taken from 2016.

The 580k per game bonus HAS to be paid and accounted for weekly. So without a suspension, Dallas needs approx 8m more in cap space for Hardy.
 

Corso

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I love Adam but the text of the CBA is king not any of us.

Just sit and listen to your professor. How you going to learn otherwise?
Oh I know you and your answer- How do you break boundaries if you don't question authority? And that's giving you too much credit, but I do credit you so take it and ride.

Now my answer is thus: How can you question your master when you know so much less than him and you do. Don't say you know more. You don't. I've read you on more than this board.
AdamJT is the authority on this subject. You are not.

He speaks CBA- you speak intelligently, but you don't speak CBA. Don't try. Go back to saying I sound old or start a threat about a player you studied.
You are so much better in that environment. Much, much better.
 

BlindFaith

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His sack incentives -- whatever he earns, if any -- would be added to our cap at the end of the season. The cap charge for those incentives carry into 2016 only if we don't have cap room remaining (and depending on whether other players' LTBE/NLTBE incentives are added to or subtracted from our cap charges).

For example, if we he earns $1.4 million in sack incentives, and we have $800,000 of cap room remaining -- AND if no other players have LTBE or NLTBE incentives that need to be added or subtracted -- then he would use the rest of our $800,000, and the other $600,000 would be subtracted from our 2016 cap as an adjustment. Or, if we have $1.7 million remaining before him in that same situation, all $1.4 million would be used in 2015, and we could carry the other $300,000 of cap room into 2016.

So what happens if they dont create more cap space?

Lets just pretend Hardy plays all games and gets 20 sacks. Lets say the team starts the season with zero dollars left against the cap. What happens after game 2? Does the team get penalized for not having cap room to cover the per game bonuses? Are they required to have the max amount he could earn in available cap space by some specified time - like the first game of the year?

Im not doubting your greatnes Stephen, Im just curious.
 
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