If the Leafs cape hit is.....

Potential Perf bonus 5.4M
Forwards 32.745
Def 19.813
Goal 5.675
Retainned Kessel 1.2
59.15M Cap

Why is our cap hit 67.283 ???

If you factor in Horton
Thats +5.3
Thats 64.458

There is still a diff 2.825M

Peformance bonus rollover from last season.

I can see it being with Hortons salary
Because I think when a player is ltir you can go over the cap by that amount
So the cap hit is more not evened out

But why is the diff still 2.825
Does it have something to do with escrow ??

You did the math wrong for the bolded section, and you forgot the overage.

But we were under the cap last year, the perf bonuses did not get cap credited to last year ??
So does that mean the pot perf bonuses of 5.4 this year auto roll to next year ???

What is the overage. Where does that come from

According to cap friendly the Leafs were over cap and used LTIR to remain cap compliant last season, meaning that any bonus payed out is considered over the cap, LTIR doesn't cover bonuses. The Leafs paid 2.55M in performance bonuses last season which means they take a penalty equal to that on this years cap.

Any cap space gained by LTIR doesn't accumulate 'cap credit' for the end of the year. When a team has a player on LTIR they are treated as at the cap for end of season cap hit calculations.

Also, Horton going on LTIR provides no cap relief unless you are at or near the cap, so his full cap hit counts. Bonuses are not factored in. Sorry for the multiple post, but I needed to do a quick check to make sure my info was right.

For a few years the Leafs placed Lupul and Horton on LTIR. As a result the Leafs, by rule, had to carry their Performance Bonuses over to the following year. Now the Leafs could still do this year but they won't.
Since they need all there cap room next year with expensive RFA signings, they want/need to carry Horton on cap roster. Look at your roster....12.2m in cap space. Pay the bonuses this year that's 5.4m so that leaves 7.8m in cap space. Sign Nylander for 6.8m that leave 1m in cap space this year. Send Holl to to the minors for your 23 man playing roster, then it's 1.675 in real cap space this year. Enough for a TDL addition.

It's a team option....if they have cap space they won't do a carryover. See my explanation above why the Leafs don't want any Perf Bonus carryover and for that reason why Horton has to be on the roster this year.

Next year the Leafs can put Horton on LTIR, spend to the cap and have a carryover of about 400,000 (a modest amount) to 2020/21.

Quoting the wrong person, but perfect break down of the LTIR/performance bonus thing. I was explaining why the overage was there, they were at cap last season.

Looks like you already got the right answers here, palhal knows all about this too. But to break it down further...

Ltir is not free cap space. When a player is placed on ltir it allows you to spend over the cap. In order for this to work though you need to be at the cap limit when the player is put on ltir. This gives you the room to add another player to the roster... I will show you how it would work if we were to use ltir this season (which would be a huge mistake)

With Horton on the roster we would have to be at the upper limit 79.5m to get relief. we would than put Nathan Horton on ltir we would than be allowed to spend 84.8m on salaries. Our cap hit before replacing Horton would show 74.2m because of the salary relief but we would actually be at the ceiling of 79.5m This relief of 5.3m can only be used for player salaries and can not be used to pay performance bonuses. The bonuses would carry over to next season. This is what happened last year.

Thanks for getting this discussion started!