Alex Lyon buyout calculator, cap hit impact

Alex Lyon Buyout Cap Implications

Birthdate December 9, 1992

If Alex Lyon was bought out prior to the 2022-2023 season.

The annual cap hit of a buyout is calculated year by year as follows:

  • Add together the Original Cap Hit and the Contract Signing Bonus for that year
  • Subtract the Contract Total Salary for that year (base salary + signing bonus).
  • Finally, add the Annual Buyout Cost as calculated below.

He would be 30 years old at the buyout giving him a 67% buyout multiplier.
Under 26 = 1/3 multiplier
26+ = 2/3 multiplier

The total buyout cost would be $1,200,000
Remaining base salary
($1,800,000 * 67% buyout multiplier)
.

2 years left in contract.
Buyout applied over 4 years
(2x years remaining on contract)

Annual buyout cost of $300,000
(Total buyout cost/4 years)

Alex Lyon projected buyout 2022-2023 season
2023-2024 2024-2025 2025-2026 2026-2027
Remaining Base Salary
$1,800,000
$900,000 $900,000 $0 $0
Original Cap Hit $900,000 $900,000 $0 $0
Contract Signing Bonus $0 $0 $0 $0
Contract Total Salary ($900,000) ($900,000) ($0) ($0)
Annual Buyout Cost $300,000 $300,000 $300,000 $300,000
ACTUAL CAP HIT Detroit Red Wings logo $300,000 $300,000 $300,000 $300,000
Savings $600,000 $600,000 $-300,000 $-300,000

Active Contract

Signing Team Detroit Red Wings logo
Signing Date July 1, 2023
Signing Status UFA
Agent Pete Rutili
Standard Contract | 2 Years $1,800,000 1.08% of cap space
2023-2024 2024-2025
Cap Hit $900,000 $900,000
UFA
AAV $900,000 $900,000
Performance Bonuses $0 $0
Base Salary $900,000 $900,000
Signing Bonuses $0 $0
Total Salary $900,000 $900,000
Minors Salary $900,000 $900,000
Clauses
UFA Year
Buy It Out Buy It Out