Interesting OGun perspective

[jesusfreak26]

I do know that Ogun has stated that the average players career in the NFL is 3 years and he said that he wanted to get enough money to take care of his mother. He said that his mother has taken care of him his whole life and now its his turn. With him already having a knee injury he has to be a little scared of getting hurt bad and not being able to do that. But I thought that was why they went to college so they would have a career after football.I don't know I would love to re sign him but not if we would have to lose chambers

 

[JPhinfan86]

This has been said, but Ogunleye at the cost of Chambers just isn't worth it in my eyes. Not even close. For as hard as it has been for us (Miami) to acquire/develope offensive talent as compared to defensive talent as of late it wouldn't feel right.

 

[muscle979]

I think theyprobably plan on signing him, I bet they're bluffing, making him think they'll let him go to see if they can get him a little cheaper. We should know by training camp at least.

 

[Muck]

I'm not trying to argue with you but are you sure that the base salary that year was subtracted from the remaining bonus? If you say you're sure I will take your word for it. If this were the case, then why don't teams when they restructure and know someone won't be around more than a few more years up that base salary to lessen the cap hit.

Like I said, I don't know too much beyond what I explained earlier. :tongue: The contract I used as an example was very straight forward and uncomplicated (meaning there were no tricky terms or conditions that many of these big contracts typically have). But I do know that the base salary comes right off the books. And it's the reason why teams backload these deals with large base salaries and/or big roster bonuses, etc.

Example, Sam Madison reworks his deal for say an $8 million bonus. The Dolphins say, we are just trying to create cap room now and Sam won't be with us in 2005(his diminishing skills plus Howard and Poole) so lets make his base salary go up to $5 mill in 2005(I think there are limitation on how high it can increase from year to year though?) so the cap hit will be less........$6 mill(remaining bonus) minus $5 mill(base salary) = only a $1 mill cap hit in 2005 despite the $6 mill remaining on the signing bonus. I don't know if you could follow that or not. I think I confused myself.

Technically, I believe that they could do that without a problem. The resident experts may want to weigh in here and explain any limitations or rules that pertain to such a thing.

This could cause problems with players knowing they will be cut.

I think you just answered your own question. :)

 

[Muck]

Typically, what the Phins like to do is have a guy restructure by converting a portion of his salary to signing bonus. That way, they lower said player's cap number and create cap space THIS year. But it also raises that player's cap number for the future, since....as we now know....signing bonuses are prorated annually over the duration of the contract.

For example, Here's an example of the final three years of a large contract I signed with Team FinHeaven. The columns, from left to right, represent my base salary, signing bonus, and total cap number.

2004 - $4 million | $2 million = $6 million
2005 - $5 million | $2 million = $7 million
2006 - $5 million | $2 million = $7 million

The team needs to create space this year so we can re-sign our Forum Linebacker, TerryTate. So, being the team player and all-around awesome and handsome Admin I am, I decide to take one for the team. I agree to convert $3 million of my base salary in 2004 to signing bonus (which, again, is prorated annually over the duration of the contract).

Here's what my contract looks like after the restructuring is done. Again, from left to right it's base salary, signing bonus, and total cap number.

2004 - $1 million | $3 million = $4 million
2005 - $5 million | $3 million = $8 million
2006 - $5 million | $3 million = $8 million

Notice how my cap number dropped $2 million in 2004. Instead of counting $6 million, I now only count $4 million. But also notice how my cap number for '05 and '06 has risen by $1 million each. That's guaranteed money that would result in dead cap space if I'm cut next year. And THAT'S the danger Clump and others talk about when you restructure, because you're pushing more and more guaranteed money into future years.

 

[Muck]

I have a question. If I recall correctly, the Dolphins "guaranteed" Zach Thomas' 2003 base salary. What exactly is does that entail?? How did that effect the cap in 2003. And how does it affect the rest of his contract??

 

[BuffBillsMan90]

Portion of his salary was converted to signing bonus for purpose of amortization. "Guarantee" means he pockets the money as a signing bonus. It's also called "simple restructure"

An example:

Player A has $3 million salary and cap number of $5 million ($2 million prior amortization). He has 4 yrs remaining on his contract. Team "guarantees" $2 million of the salary by converting it to signing bonus. Player pockets the $2 million. His salary is now $1 million. The $2 million is spread out over the 4 remaining yrs at $500,000/season. Thus, players' new cap number is $1 million + $2 million + $500,000 = $3.5 million. The "simple restructure" saves $1.5 million in cap space but each of the 3 future yrs have cap numbers increased by $500,000/season

:tongue:

 

[BuffBillsMan90]

"Simple restructures" are cap killers if done too often

 

[grooves12]

"Simple restructures" are cap killers if done too often

Which is why they fought hard with Madison to get him to LOWER his salary more than just a simple restructure would.

 

[BuffBillsMan90]

Which is why they fought hard with Madison to get him to LOWER his salary more than just a simple restructure would.

But they didn't do that with Thomas, Taylor, or Mare

 

[Muck]

Surtain is probably coming up too.

 

[KYfinfan]

But they didn't do that with Thomas, Taylor, or Mare

Which is why I think in a few years that they and Madison will end up being cap casualties. Madison first, then Thomas, then Taylor, and who knows what the deal with Mare is. If he gets back to his old form I say they will stick with him.

Surtain is probably coming up too.

His contract is up in 2 more seasons isn't it? I'm sure they will offer him an extention this coming offseason.