Teams have the ability to buy out contracts at a reduced cap hit from June 15 to 30 each year. They are also allowed two compliance buyouts in June 2013 and June 2014 that cost the team actual cash but have no salary cap consequences. CapGeek.com's buyout calculator simplifies the complicated formula by determining the actual salary and cap costs of these buyouts with a few clicks.
Steve Downie is 26 years old on the buyout date of June 15, 2013, setting the buyout ratio at 2/3 and the total buyout cost at $1,833,333 spread over 2 years. His contract was originally valued at $5,300,000 beginning in 2012 and ending in 2014, with $2,750,000 remaining from the buyout year forward. The following is a season-by-season breakdown of the buyout. A negative buyout cap hit indicates a credit.
|SEASON||SALARY||CAP HIT||BUYOUT||SAVINGS||BUYOUT CAP HIT|
TEXT CAP HIT BREAKDOWN (for copying and pasting)
Steve Downie buyout from CapGeek.com
- 2013-14: $816,667
- 2014-15: $916,667