Culpeppers cap hit if cut | Page 2 | FinHeaven - Miami Dolphins Forums

Culpeppers cap hit if cut

Culppepper rec'd a $7 million signing bonus as part of his restructure...........in 2006, teams could only amortize for 5 yrs thus the $1.4 million amortization.

his cap number in 2007 is $6.9 million

Cap savings = $6.9 million - $5.6 million

$1.3 million

This assumes release (or trade) before June 1st.

There are other possibilities like release after June 1st, but we'll cover those at a later time.
 
Clumpy said:
Culppepper rec'd a $7 million signing bonus as part of his restructure...........in 2006, teams could only amortize for 5 yrs thus the $1.4 million amortization.

his cap number in 2007 is $6.9 million

Cap savings = $6.9 million - $5.6 million

$1.3 million

This assumes release (or trade) before June 1st.

There are other possibilities like release after June 1st, but we'll cover those at a later time.
Click to expand...

Thanks Clump! I just found out that it is only 4 yrs starting in March this year on new contracts. With all things considered, 1.3 is not a bad # to deal with if Culp gets cut then?
 
DeDolfan said:
I just found out that it is only 4 yrs starting in March this year on new contracts.
Click to expand...


It's for the term of the contract with six years maximum until the final capped year when it will again be five years max.
 
Amortization is how the signing bonus is applied to the salary cap. Another word for it would be proration. $6 million signing bonus is "spread out", "amortized", or "prorated" for X number of yrs. For contracts signed in 2007, signing bonuses can be "amortized" for 6 yrs. So, say Miami signs a FA and gives him a $6 million signing bonus. The player most likely gets all $6 million in his pocket this season, but for cap purposes, the $6 million is "amortized" over 6 yrs at $1 million/season ($6 million / 6 yrs).
 
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