[quote=MJL]That is false, they don't have to be cap compliant day one of the season with Pronger's contract on the books. There are two options. A team can place a player on LTIR coming out of training camp. If a team wants to maximize thier LTIR cap space, they need to include the player "on the books" for day 1 of the season, get as close to the Upper Limit as possible, and then place the player on LTIR.

I have been saying this four hours. Why would they not want to maximize the allowance?

False again. Nothing about the salary cap is based on games. Cap accounting is done daily, and is based on days of the season, not games. LTIR cap space never accumulates. It is non bankable cap space and it is use it or lose it.

You are correct regarding days. The LTIR does accumulate daily. Thats why it is advantageous to LTIR the player day one. If you wait until day 90 to LTIR you only get half the allowance.

In my scenario the Flyers are released completely of the last year of Prongers deal. Would they not spend the cap space on other players? So the players would get there share.


- mickel25

Years don't matter in your scenario, Pronger is paid what he is owed, and a cap hit applied. Math works out the same.
Another thing you're not considering is that the number of years of the deal was part of the formula for determining Pronger's AAV for the deal. Can't just throw away a year. It's clear that you haven't thought this out very well, as well as not understanding the cap.

Conversely, allowing Pronger to be traded to the Coyotes cost the players roughly $4.4mil in actual paid salaries and possibly 1-4 players jobs. I would think they would be more upset by the latter.


- mickel25

No it doesn't. It's a ying and a yang. They lose on some, and gain on others. The end result the league is looking for is salary paid out is equal to cap hits paid.

The Coyotes circumventing the cap at the low end helps literally no one. Allowing the Flyers to fulfill the total dollar value of a contract and then add cap space to spend on other players would seem to be a plus for the players.
- mickel25

You're just grasping at straws. The Coyotes aren't circumventing the cap. It would be a plus for the players, but that was the problem and a big part of the why there were two lockouts. I've proven to you why what you proposed does not make sense, in a salary cap environment, where the purpose is to limit spending on players, have salary paid out equal cap hit paid out as close as possible, and have a 50/50 share of revenue as close as possible.

I have been saying this four hours. Why would they not want to maximize the allowance?


- mickel25

They would, but sometimes they can't. There are two methods of using LTIR to be cap compliant' going into the season.

You are correct regarding days. The LTIR does accumulate daily. Thats why it is advantageous to LTIR the player day one. If you wait until day 90 to LTIR you only get half the allowance.
- mickel25

Nope, that's wrong. LTIR does not accumulate daily, it is use it or lose it. You cannot bank LTIR cap space. If you place a player on LTIR during the season, the full exemption is available. There is no difference between using it on day 1 or day 90. You don't understand how LTIR works. You're making false statement after false statement

For example, if there are 90 days left in the season, and you have 2M of available LTIR cap space, that gives you $22,222 of daily cap space to use. If another day goes by, you now only have $1,997,778 of available LTIR cap space.

Conversely, cap space under the upper limit is bankable. For example, if with 90 days left in the season, you have 2M of available cap space under the upper limit, and another day goes by, you still have 2M of available cap space.