FOF: cap out vs. renegotiation

PSUColonel · 01-10-2005, 09:17 PM

I think this may have been covered somewhere before, but I'm not sure I ever got a clear read on the difference. They appear to be similar in nature.

albionmoonlight · 01-10-2005, 09:21 PM

Cap out is a type of renegotiation. It pays the player the minimum salary for the year and takes the remainder of what he was going to make signing bonus. Future year salary remains the same. This allows you to lessen your cap hit for the current year at the expense of the future.

It is basically a renegotiation that allows you to maximize deferred payments.

PSUColonel · 01-10-2005, 09:23 PM

but doesn't renegotiating with many players accomplish this same goal

stevew · 01-10-2005, 09:24 PM

I usually use Cap-Out, but as a negative effect, essentially you are gonna end up having to cut that player in probably 2 years. When you renegotiate with a big money guy, you end up adding much more bonus money to his pile, and tend to screw yourself over much quicker.

Maple Leafs · 01-10-2005, 09:25 PM

Quote:

Originally Posted by PSUColonel

but doesn't renegotiating with many players accomplish this same goal

It can, and it's probably a better strategy in the long-run, but capping out saves the most possible money in that particular year.

stevew · 01-10-2005, 09:26 PM

Quote:

Originally Posted by PSUColonel

but doesn't renegotiating with many players accomplish this same goal

Yes, but if your players want a lot of bonus money to renegotiate, you can end up in a timebomb situation for the future. Not that capout isnt one as well, but CapOut works better for me for if you are trying to keep that team together for like 1-2 more years before you trade/cut everyone and start over.

PSUColonel · 01-10-2005, 09:27 PM

It appears you cannot cap out with every player. Why is this and what are the restrictions? I'm assuming you can't do it with a player who has recently signed a new contract.

stevew · 01-10-2005, 09:31 PM

Quote:

Originally Posted by PSUColonel

It appears you cannot cap out with every player. Why is this and what are the restrictions? I'm assuming you can't do it with a player who has recently signed a new contract.

Yes, and also if the player is in the last year of a deal you cant do it either. If a guy makes the minimum you cant also.

gottimd · 01-10-2005, 09:36 PM

PSUColonel, did you read this

01-10-2005, 09:36 PM	#9
gottimd Dearly Missed (9/25/77-12/23/08) Join Date: Nov 2003 Location: DC Suburbs	PSUColonel, did you read this __________________ NAFL New Orleans Saints GM/Co-Commish MP Career Record: 114-85 NAFL Super Bowl XI Champs In memory of Gavin Anthony: 7/22/08-7/26/08

01-10-2005, 09:21 PM	#2
albionmoonlight Head Coach Join Date: Oct 2000 Location: North Carolina	Cap out is a type of renegotiation. It pays the player the minimum salary for the year and takes the remainder of what he was going to make signing bonus. Future year salary remains the same. This allows you to lessen your cap hit for the current year at the expense of the future. It is basically a renegotiation that allows you to maximize deferred payments.

01-10-2005, 09:23 PM	#3
PSUColonel Banned Join Date: Oct 2000 Location: Wayne, PA	but doesn't renegotiating with many players accomplish this same goal

01-10-2005, 09:24 PM	#4
stevew Hall Of Famer Join Date: Dec 2003 Location: the yo'	I usually use Cap-Out, but as a negative effect, essentially you are gonna end up having to cut that player in probably 2 years. When you renegotiate with a big money guy, you end up adding much more bonus money to his pile, and tend to screw yourself over much quicker.

01-10-2005, 09:27 PM	#7
PSUColonel Banned Join Date: Oct 2000 Location: Wayne, PA	It appears you cannot cap out with every player. Why is this and what are the restrictions? I'm assuming you can't do it with a player who has recently signed a new contract.

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