Quoting: Penguins21
I’m not doing this again..lol. But I’m sorry, your math is wrong. Mine is right.
Ladd makes 5.5M for 3 remaining yrs. that’s 5.5M x 2/3 =3.663M x 3=10.989M still owed. pro-rate that number out to 6 years and it’s 10.989M/6= 1.832M. Add the 3M signing bonus. You get 4.832M(give or take b/c for 2/3 I’m just multiplying by .67 instead of .66666667).
The same number you get putting it into the buy-out calculator. The same number he was getting back and I disagreed with b/c I didn’t know about the signing bonus due. But my math is right. Go back and look at it too. Just add in the signing bonus and it’s right.
I got 1.832M for Ladd. Plus the 3M = 4.832M(again give or take cause I’m using .67(2/3) istead of the full .66666667).
These are the buyout rules
1) Multiply the remaining salary (excluding signing bonuses) by the buyout amount (as determined by age) to obtain the total buyout cost
2) Spread the total buyout cost evenly over twice the remaining contract years
3) Determine the savings by subtracting the annual buyout cost from Step 2. by the players salary (excluding signing bonuses)
4) Determine the remaining caphit by subtracting the savings from Step 3. by the players Annual Average Salary (AAV) (including signing bonuses)
In step 1, it states, "Multiply the remaining salary (excluding signing bonuses) by the buyout amount (as determined by age) to obtain the total buyout cost"
that number, plus the excluded bonus money, is what's paid. You can't buyout signing bonus money. If you want to believe you're right, have at it, the earth is not flat, I'm telling you...