Alex Ovechkin buyout calculator, cap hit impact

Alex Ovechkin Buyout Cap Implications

Birthdate September 17, 1985

If Alex Ovechkin was bought out prior to the 2023-2024 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 37 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 $7,333,333
Remaining base salary
($11,000,000 * 67% buyout multiplier)
.

3 years left in contract.
Buyout applied over 6 years
(2x years remaining on contract)

Annual buyout cost of $1,222,222
(Total buyout cost/6 years)

Alex Ovechkin projected buyout 2023-2024 season
2023-2024 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029
Remaining Base Salary
$11,000,000
$1,000,000 $5,000,000 $5,000,000 $0 $0 $0
Original Cap Hit $9,500,000 $9,500,000 $9,500,000 $0 $0 $0
Contract Signing Bonus $11,500,000 $6,000,000 $4,000,000 $0 $0 $0
Contract Total Salary ($12,500,000) ($11,000,000) ($9,000,000) ($0) ($0) ($0)
Annual Buyout Cost $1,222,222 $1,222,222 $1,222,222 $1,222,222 $1,222,222 $1,222,222
ACTUAL CAP HIT Washington Capitals logo $9,722,222 $5,722,222 $5,722,222 $1,222,222 $1,222,222 $1,222,222
Savings $-222,222 $3,777,778 $3,777,778 $-1,222,222 $-1,222,222 $-1,222,222

Active Contract

Signing Team Washington Capitals logo
Signing Date July 27, 2021
Signing Status UFA
Agent Stephen Screnci
Standard Contract | 5 Years $47,500,000 11.66% of cap space
2021-2022 2022-2023 2023-2024 2024-2025 2025-2026
Cap Hit $9,500,000 $9,500,000 $9,500,000 $9,500,000 $9,500,000
UFA
AAV $9,500,000 $9,500,000 $9,500,000 $9,500,000 $9,500,000
Performance Bonuses $0 $0 $0 $0 $0
Base Salary $4,000,000 $1,000,000 $1,000,000 $5,000,000 $5,000,000
Signing Bonuses $1,000,000 $9,000,000 $11,500,000 $6,000,000 $4,000,000
Total Salary $5,000,000 $10,000,000 $12,500,000 $11,000,000 $9,000,000
Minors Salary $5,000,000 $10,000,000 $12,500,000 $11,000,000 $9,000,000
Clauses M-NTC
NMC
M-NTC
NMC
M-NTC
NMC
M-NTC
NMC
M-NTC
NMC
UFA Year
Buy It Out Buy It Out Buy It Out Buy It Out Buy It Out
10 team No Trade