SlimShady'sSpaceForce Posted May 6, 2020 Share Posted May 6, 2020 (edited) NFL: '21 salary cap to shrivel due to COVID-19 Unknown financial implications from the coronavirus pandemic might force the NFL to reduce the 2021 salary cap by as much as 50 percent, ESPN's Adam Schefter reported. With uncertainty around the 2020 season, including whether fans will be able to attend games at any point, and other revenue-tied variables up in the air, the NFL enters the summer months planning for the limbo that could follow next offseason. Schefter estimated a loss in revenue of $3.2 billion in 2020 if games are played without fans. sorry I forgot the link https://sports.yahoo.com/nfl-21-salary-cap-shrivel-161523251.html Edited May 6, 2020 by SlimShady'sSpaceForce 1 Link to comment Share on other sites More sharing options...
PromoTheRobot Posted May 6, 2020 Share Posted May 6, 2020 The simple answer is to reduce everyone's salary by the reduction in the cap. But nothing is ever simple, is it. 9 Link to comment Share on other sites More sharing options...
SlimShady'sSpaceForce Posted May 6, 2020 Author Share Posted May 6, 2020 that scenario could be a major mess. Thank god the Bills have a ton of cap space.... or would that actually be a bad thing? Link to comment Share on other sites More sharing options...
MrEpsYtown Posted May 6, 2020 Share Posted May 6, 2020 4 minutes ago, SlimShady'sSpaceForce said: that scenario could be a major mess. Thank god the Bills have a ton of cap space.... or would that actually be a bad thing? Teams with QBs on rookie deals could manage. Teams that are paying one guy 30 plus million are probably screwed. 3 Link to comment Share on other sites More sharing options...
whatdrought Posted May 6, 2020 Share Posted May 6, 2020 Not really sure how you can do that. 50% of the cap is like 30 guys for some clubs. What, do they just not have a full roster? 1 Link to comment Share on other sites More sharing options...
BillsFan692 Posted May 6, 2020 Share Posted May 6, 2020 Pretty sure the players will strike lol 2 Link to comment Share on other sites More sharing options...
SlimShady'sSpaceForce Posted May 6, 2020 Author Share Posted May 6, 2020 I changed the title to reflect his "speculation" Link to comment Share on other sites More sharing options...
ngbills Posted May 6, 2020 Share Posted May 6, 2020 I know this can get to be a complicated situation. But owners do not give money to players at the same rate of increases in value so why do so on the downside? Values of teams have gone from $100M to billions. Jerry Jones bought the Cowboys for $140M and they are now worth $5.5B. Think about that. Can other businesses that have shut down now pay our employees half as much? Lets drop minimum wage in half to account for lost business. I dont have the answers but seems like a money grab by billionaire owners. If you want to treat the players this way trade some salary for ownership of the team. 3 1 Link to comment Share on other sites More sharing options...
FireChans Posted May 6, 2020 Share Posted May 6, 2020 41 minutes ago, PromoTheRobot said: The simple answer is to reduce everyone's salary by the reduction in the cap. But nothing is ever simple, is it. Yeah I’m sure the NFLPA would LOVE this. Who is this a simple answer for? Someone without skin in the game? 1 Link to comment Share on other sites More sharing options...
hjnick Posted May 6, 2020 Share Posted May 6, 2020 42 minutes ago, SlimShady'sSpaceForce said: NFL: '21 salary cap to shrivel due to COVID-19 Unknown financial implications from the coronavirus pandemic might force the NFL to reduce the 2021 salary cap by as much as 50 percent, ESPN's Adam Schefter reported. With uncertainty around the 2020 season, including whether fans will be able to attend games at any point, and other revenue-tied variables up in the air, the NFL enters the summer months planning for the limbo that could follow next offseason. Schefter estimated a loss in revenue of $3.2 billion in 2020 if games are played without fans. 50% salary cap reduction! The NFL cannot let that happen. I'm sure at least half the teams couldn't even get that low with all the dead money from cancelling all their high priced contracts. The cap might go down by 5-10%, but I cannot see 50%. It would devastated most of the teams. 1 Link to comment Share on other sites More sharing options...
Call_Of_Ktulu Posted May 6, 2020 Share Posted May 6, 2020 7 minutes ago, ngbills said: I know this can get to be a complicated situation. But owners do not give money to players at the same rate of increases in value so why do so on the downside? Values of teams have gone from $100M to billions. Jerry Jones bought the Cowboys for $140M and they are now worth $5.5B. Think about that. Can other businesses that have shut down now pay our employees half as much? Lets drop minimum wage in half to account for lost business. I dont have the answers but seems like a money grab by billionaire owners. If you want to treat the players this way trade some salary for ownership of the team. Employees are unfortunately the ones who are hurt when something like this happens. If for some reason my company lost billions we would not get a pay raise or lose money on our next contact. I work for the 3rd largest energy supplier in the world so I hope that doesn’t happen. 2 Link to comment Share on other sites More sharing options...
LABILLBACKER Posted May 6, 2020 Share Posted May 6, 2020 10 minutes ago, hjnick said: 50% salary cap reduction! The NFL cannot let that happen. I'm sure at least half the teams couldn't even get that low with all the dead money from cancelling all their high priced contracts. The cap might go down by 5-10%, but I cannot see 50%. It would devastated most of the teams. I agree, there's no way they can reduce it more than 10%. The union would immediately get involved. The owners are just going to have to "wear it" for one year. 1 Link to comment Share on other sites More sharing options...
Back2Buff Posted May 6, 2020 Share Posted May 6, 2020 (edited) The NHL model always made way more sense to me. The salary cap and players yearly salary is not what the actual real dollars are because of escrow. They split the revenue and that is how much the players have to split up to get paid. Usually they make around 85% to 90% of what their contract says in a year, this year there is talk of 50%. It allows for an equal distribution of lost revenue from what was projected. Edited May 6, 2020 by Back2Buff 1 Link to comment Share on other sites More sharing options...
Saxum Posted May 6, 2020 Share Posted May 6, 2020 1 hour ago, PromoTheRobot said: The simple answer is to reduce everyone's salary by the reduction in the cap. But nothing is ever simple, is it. No not simple. It does not work with prepaid signing bonuses which are spread over multiple years among other things. 1 1 Link to comment Share on other sites More sharing options...
BillsNutHawaii Posted May 6, 2020 Share Posted May 6, 2020 I believe no other GM in the league is as good as managing the salary cap as GM Beane is. It may get ugly, but I anticipate the Bills will be in as good a situation as any team in the league - with regard to salary cap. My favorite saying, “Where there is manure, there is a pony.” and I bet GM Beane will find that pony. 1 Link to comment Share on other sites More sharing options...
NoSaint Posted May 6, 2020 Share Posted May 6, 2020 11 minutes ago, LABILLBACKER said: I agree, there's no way they can reduce it more than 10%. The union would immediately get involved. The owners are just going to have to "wear it" for one year. I’d imagine some renegotiation to keep as high as possible next year with the dips spread across the existing CBA years would be the way to approach it. players get a higher percentage in 2021 due to it but a lower share in future years. 2 Link to comment Share on other sites More sharing options...
Rochesterfan Posted May 6, 2020 Share Posted May 6, 2020 (edited) 17 minutes ago, NoSaint said: I’d imagine some renegotiation to keep as high as possible next year with the dips spread across the existing CBA years would be the way to approach it. players get a higher percentage in 2021 due to it but a lower share in future years. I agree - the NFL and the NFLPA have already agreed to the split - if the NFL can show that due to the lack of fans - they lost X amount - they can work with the NFLPA to spread that loss over 3-5 years keeping the salary cap at 0% increase - rather than cutting the cap in 1 year. The NFLPA will go along because the alternative is for the NFL to decrease the salary cap by a significant margin - which would cause a huge impact in FA salaries and more importantly all kinds of players cut to work to get under the cap. The Bills are in pretty good position because of the number of short 1 year contracts and the available space for next year. There are other teams that not getting a 10 million bump in the cap is going to cause major issues. Edited May 6, 2020 by Rochesterfan 2 Link to comment Share on other sites More sharing options...
H2o Posted May 6, 2020 Share Posted May 6, 2020 2 Link to comment Share on other sites More sharing options...
Rochesterfan Posted May 6, 2020 Share Posted May 6, 2020 49 minutes ago, ngbills said: I know this can get to be a complicated situation. But owners do not give money to players at the same rate of increases in value so why do so on the downside? Values of teams have gone from $100M to billions. Jerry Jones bought the Cowboys for $140M and they are now worth $5.5B. Think about that. Can other businesses that have shut down now pay our employees half as much? Lets drop minimum wage in half to account for lost business. I dont have the answers but seems like a money grab by billionaire owners. If you want to treat the players this way trade some salary for ownership of the team. This has nothing to do with anything at all. The NFL and the NFLPA agreed to a % split of revenue produced each season to set the cap and the players are designated to make a percentage of the revenue year over year. If the revenue drops the salary cap drops - just as when the revenue goes up the cap goes up. This is not a money grab - it is speculation that due to a potential lack of fans - approximately 3.2 billion in potential revenue would be lost meaning and that impacts the cap. The most logical thing is that the NFL and NFLPA will come to and agreement to spread that loss out over several years to have the smallest impact on the cap. 3 Link to comment Share on other sites More sharing options...
C.Biscuit97 Posted May 6, 2020 Share Posted May 6, 2020 1 hour ago, PromoTheRobot said: The simple answer is to reduce everyone's salary by the reduction in the cap. But nothing is ever simple, is it. You can’t reduce agreed upon contracts. Only you mean by the percentage of the reduced cap. But you can’t change the contract. 3 Link to comment Share on other sites More sharing options...
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