The NFL set the salary cap for the 2021 season, stating that each team would have $ 182.5 million to spend on player payroll, about 8 percent less than in 2020, when revenue was projected by the coronovirus epidemic. In 2020, the salary cap was $ 198.2 million.
The maximum amount available to teams to spend on players’ salaries and bonuses was expected to fall, but it was less severe than anticipated. Nevertheless, NFL franchises will have about $ 16 million less than last year to pay players, which is to ensure how general managers allocate their more limited funds.
Sports Business Journal was To report first Final salary cap figure.
Filled with a free-agent market that seeks to transfer big-name quarterbacks and other star players, teams trying to sign those players will have less money left to fill the rest of the rosters. That could lead general managers to sign more fraudsters and free agents who are willing to play for league-minimum salaries or instead of looking at veterans looking for lucrative long-term contracts, as the biggest names for one-year deals Let’s sign it.
As a practical matter, each team Salary cap is subject to adjustment Depending on the rollover amount from the players under the contract that they are deducted or traded. Some teams, such as the Cleveland Browns and New England Patriots, will have more than $ 200 million in payroll to spend in 2021.
Nonetheless, the low-legged salary cap reflects some serious math: The NFL lost nearly $ 4 billion in revenue last season, with a limited number of fans in attendance at the games. Only 1.2 million fans watched the NFL game, about 17 million in a typical season. The teams lost millions of dollars due to declining sales of tickets, suits, food and beverages, parking and sponsors.
The league initially set a salary cap of $ 175 million for lost revenue, then raised it to $ 180 million before settling on $ 182.5 million.
The final increase does not reflect revenue from new negotiated broadcast agreements. The money from those deals, which are expected to be completed in the coming weeks, is expected to increase from 50 percent to 100 percent over the next decade, so the salary cap is likely to increase significantly in the coming years.
The deal for ESPN to air on Monday night ends at the end of the 2021 season, as did Fox to carry the Thursday night game. The league’s other contracts with CBS, NBC and other carriers are ending after the 2022 season.
The NFL and NFL Players Association could have faced a worse situation had they not agreed to a 10-year labor agreement on March 15 last year, the way the coronavirus epidemic in the United States had gained momentum. That agreement ensures that both sides will have conditions to avoid stalling work and the league will be given enough certainty to initiate negotiations with its broadcasting partners.
A person familiar with the league’s finances said that if the salary cap could fall to around $ 160 million The labor agreement was not signed last March And had already negotiated a chaotic 2020 season. The new Labor deal empowered owners to add a 17th regular-season game, likely to be held in 2021, adding another source of revenue to offset the impact of the epidemic.