How does draft pick compensation work?

[Reverend Conehead]

We see it all the time, but I've never completely understood how it works. Some player gets signed away by another team. It's sometimes a salary cap casualty. The player was liked and valuable, but they get pooched away because we can't match an offer made by another team. But at least you get a compensatory draft pick, right?

For example, what if Jerry hadn't paid Dak's 40 mil per year price? Let's say he stood firm at 30 mil per year, but some other team offered him 40, so he went there. Would our compensatory draft pick be a 4th-round one because we drafted Dak in the 4th? Or would it be a pick in some other round?

And do you always get a compensatory if one of your players gets pooched in free agency? What if they pooch a player who was never drafted? Do you still get a draft pick?

 

[J12B]

There is a formula used to determine COMP PICKS.

Basically if a team loses a player in free agency, they could be awarded a comp pick depending on the size of the deal. That same team also can't sign a player at that same contract range, otherwise it cancels everything out.

Playing time that player puts in during the season also is factored into the formula.

 

[JayFord]

its case by case

take Wentz for example...had he played 70% of the snaps for Washington last season the commanders would have to send a 2nd round pick instead of the 3rd round

but in other cases it may vary on other things

 

[Aerolithe_Lion]

the initial purpose for draft pick compensation was for teams to stay competitive even when their best free agents are pilfered by other teams. It does not matter where they were originally drafted, only that they used to player for you and their contract expired. So it is only applies to players with expiring contracts, never salary cap casualties. Dallas cut Zeke of their own accord; this is not a player who is leaving Dallas against the teams’ wishes, so they do not get compensation for him. This is why Las Vegas will get no compensation for Derek Carr.

How compensation is decided is based on a combination of the size of the contract signed and the production of the player in his first year on the new team. The biggest comp you could possibly get is a 3rd rounder, this is what Philly will get for the market setting contract Javon Hargrave signed, and what you would have gotten had you let Dak leave via free agency.

But! Remember this is about allowing teams to stay competitive. So what happens is the league will add up all the comp picks you acquire in a free agency period, then subtract the players you signed to even it out. So if you sign a new QB to a Dak-esque contract, it would negate the Dak comp pick. Or, if you lose Dak but sign a bunch of middling free agencts, it may knock the Dak comp pick down from a 3rd to a 4th to balance it out

 

[Aerolithe_Lion]

its case by case

take Wentz for example...had he played 70% of the snaps for Washington last season the commanders would have to send a 2nd round pick instead of the 3rd round

but in other cases it may vary on other things

He’s asking about compensatory picks, that was a trade stipulation

 

[speedkilz88]

The formula used tends to follow the money.

https://overthecap.com/compensatory-picks

 

[TheMarathonContinues]

I think if a team loses a star they should get more than 3rd. At least a second.

 

[jazzcat22]

We see it all the time, but I've never completely understood how it works. Some player gets signed away by another team. It's sometimes a salary cap casualty. The player was liked and valuable, but they get pooched away because we can't match an offer made by another team. But at least you get a compensatory draft pick, right?

For example, what if Jerry hadn't paid Dak's 40 mil per year price? Let's say he stood firm at 30 mil per year, but some other team offered him 40, so he went there. Would our compensatory draft pick be a 4th-round one because we drafted Dak in the 4th? Or would it be a pick in some other round?

And do you always get a compensatory if one of your players gets pooched in free agency? What if they pooch a player who was never drafted? Do you still get a draft pick?

Based on the contract. In this case, we would probably got a 3rd round pick.

The teams comp picks are offset by contract values.
Dallas loses Dak at 30 million, but signed another player at say, $25 million, those would be offset most likely. If we signed a player at $10 million, and the only one,, actually I am not sure how that works. But say we lost another player at $12 million, those 2 would offset and we get a 3rd for Dak.

The comp picks goes from biggest contract to smallest, and only the top 32 contracts count. They must be over $1 million to qualify. So if the 32nd contract is for $3 million and the 33rd highest is for $2.5 million, then that one is not eligible. But you also have incentives that may change it.
No team gets more than 4 comp picks. Except SF got more for losing minority coaches.