Originally Posted by
jmlamerson
Salary and salary cap number are two different things.
A person's salary is their yearly salary.
A person's salary cap number is (1) a prorated portion of the player's signing bonus; and (2) their yearly salary.
If a player is cut/traded, the team that signed him to the signing bonus must count the entire remaining prorated portion of the singing bonus against their cap for that year, if they cut/trade him before June 1. It will be split for the next two years if you cut/trade him after June 1.
Assume you sign Player A to a 5 year contract, at $5M a year, with a $10M signing bonus in 2008. Assume no escalators, incentives, or any of that stuff. In 2008, that player counts for $7M against your cap. You trade Player A in 2009 before June 1. Although you don't have to pay the player any more salary, you must count the prorated bonus against your cap. Player A will count for $8M against your cap in 2009. If you cut/trade him after June 1, Player A counts $4M against your 2009 cap and $4M against your 2010 cap.
This is commonly referred to as dead cap space. You do not have to pay the salary of the person cut/traded, but he will count against your cap. The NFL does this so that teams can't sign people to huge signing bonuses and cut them the next year to avoid cap implications.
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