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Packers tried to trade for Jonathan Taylor
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<blockquote data-quote="Pokerbrat2000" data-source="post: 1004603" data-attributes="member: 7261"><p>There is a difference between "Cap Hit" and "Dead Cap Hit". Hopefully, I get them right in explaining. As far as representing the "cash" paid out each year to each player, neither of them are usually reflective of actual cash/check given to that player in a given year. They can be, but often they aren't.</p><p></p><p><strong><u>Cap Hit:</u></strong> This is the amount that each player effects the total cap for the Packers in a given season. When you add up all the "Cap Hits" of the roster, it's sum has to be on or under the NFL's cap limit for that season.</p><p></p><p><u><strong>Dead Cap:</strong></u> This is more of an accounting margin for each player. It typically represents money that is either already paid out or guaranteed to the player, but deferred for reporting purpose to the future. If a player is cut or traded and there is dead cap money still due to be reported, it either all comes due (on the teams cap) in that year or can be divided between the current season and next season (against the cap), if it is declared a post June 1st transaction.</p><p></p><p>Given those 2 definitions. I'll give an example.</p><p></p><p>A player could be given a 4 year $48M dollar contract, with $10M guaranteed. In year 1, the team could structure it to be a $1M dollar cap hit. So the team pays the player his $12M salary in a check in year 1, but since only $1M was put against the present years cap, that players dead cap hit would be $11M (paid money pushed out into the future).</p><p></p><p>If the player is cut/traded the following offseason, that $11M needs to be reported as a cap hit on that next seasons cap. Or if it is a post June 1st transaction, divided between the 2 seasons.</p><p></p><p>A very simple salary would be a 1 year deal for $2M. The Packers would pay the player $2M, report $2M onto the cap and there would be $0 dead cap.</p></blockquote><p></p>
[QUOTE="Pokerbrat2000, post: 1004603, member: 7261"] There is a difference between "Cap Hit" and "Dead Cap Hit". Hopefully, I get them right in explaining. As far as representing the "cash" paid out each year to each player, neither of them are usually reflective of actual cash/check given to that player in a given year. They can be, but often they aren't. [B][U]Cap Hit:[/U][/B] This is the amount that each player effects the total cap for the Packers in a given season. When you add up all the "Cap Hits" of the roster, it's sum has to be on or under the NFL's cap limit for that season. [U][B]Dead Cap:[/B][/U] This is more of an accounting margin for each player. It typically represents money that is either already paid out or guaranteed to the player, but deferred for reporting purpose to the future. If a player is cut or traded and there is dead cap money still due to be reported, it either all comes due (on the teams cap) in that year or can be divided between the current season and next season (against the cap), if it is declared a post June 1st transaction. Given those 2 definitions. I'll give an example. A player could be given a 4 year $48M dollar contract, with $10M guaranteed. In year 1, the team could structure it to be a $1M dollar cap hit. So the team pays the player his $12M salary in a check in year 1, but since only $1M was put against the present years cap, that players dead cap hit would be $11M (paid money pushed out into the future). If the player is cut/traded the following offseason, that $11M needs to be reported as a cap hit on that next seasons cap. Or if it is a post June 1st transaction, divided between the 2 seasons. A very simple salary would be a 1 year deal for $2M. The Packers would pay the player $2M, report $2M onto the cap and there would be $0 dead cap. [/QUOTE]
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