Releasing Player with Multi Year Contract

nuwildcat · 06-05-2018, 03:24 AM

So I have the a player with the following contract remaining:

$12,750,000
$10,500,000
$11,000,000 Team Option ($7,000,000 Buyout)

It is the very beginning of the season, so when I try to release the player it tells me that approximately $30,000,000 will be applied over the life of the contract (3 years). This seems correct as the two years of guaranteed salary and team option add up to $30,250,000.

Now my questions:
1. How are the costs allocated over the three years? Is it allocated as the salary would be?

2. When I release the player, my money available for free agents doesn't change, but my money available for extensions declines by $10,500,000. If the money is allocated each year as if he was still on the roster, why would the amount for extensions decline. If the budget if I kept him on the roster is $75,000,000, then releasing him should not cause the money for extensions to decline below that number when you release him unless it is taking the team option money next year. Even if this was the case, shouldn't only decline by the team option amount, (in the case $7,000,000)?

nuwildcat · 06-05-2018, 05:16 PM

Disregard the previous message. The player was on the DFA list and thus was not counted in the budget. Once he was added to the 40 man roster the budget amounts matched.

MisterTidster · 06-07-2018, 06:02 PM

For what it’s worth, you can always trade with the “retain salary” option set. If you’re going to eat the cost, you might as well get something out of it, plus if it’s an aging veteran you still have a chance that he’ll retire before the end of contract. You might even find a trading partner that doesn’t demand you retain the full amount.

andyhdz · 06-07-2018, 07:31 PM

Exactly try to get something, anything for him even if you have to eat a large % of his salary. It's better than nothing.

06-05-2018, 03:24 AM	#1
nuwildcat Minors (Single A) Join Date: May 2004 Posts: 53	Releasing Player with Multi Year Contract So I have the a player with the following contract remaining: $12,750,000 $10,500,000 $11,000,000 Team Option ($7,000,000 Buyout) It is the very beginning of the season, so when I try to release the player it tells me that approximately $30,000,000 will be applied over the life of the contract (3 years). This seems correct as the two years of guaranteed salary and team option add up to $30,250,000. Now my questions: 1. How are the costs allocated over the three years? Is it allocated as the salary would be? 2. When I release the player, my money available for free agents doesn't change, but my money available for extensions declines by $10,500,000. If the money is allocated each year as if he was still on the roster, why would the amount for extensions decline. If the budget if I kept him on the roster is $75,000,000, then releasing him should not cause the money for extensions to decline below that number when you release him unless it is taking the team option money next year. Even if this was the case, shouldn't only decline by the team option amount, (in the case $7,000,000)? Last edited by nuwildcat; 06-05-2018 at 03:33 AM.

06-05-2018, 05:16 PM	#2
nuwildcat Minors (Single A) Join Date: May 2004 Posts: 53	Disregard the previous message. The player was on the DFA list and thus was not counted in the budget. Once he was added to the 40 man roster the budget amounts matched. Last edited by nuwildcat; 06-05-2018 at 05:17 PM.

06-07-2018, 06:02 PM	#3
MisterTidster Minors (Double A) Join Date: May 2018 Posts: 100	For what it’s worth, you can always trade with the “retain salary” option set. If you’re going to eat the cost, you might as well get something out of it, plus if it’s an aging veteran you still have a chance that he’ll retire before the end of contract. You might even find a trading partner that doesn’t demand you retain the full amount.

06-07-2018, 07:31 PM	#4
andyhdz All Star Starter Join Date: Jul 2009 Location: Fresno, CA by way of Texas Posts: 1,754	Exactly try to get something, anything for him even if you have to eat a large % of his salary. It's better than nothing.