Milan Lucic buyout calculator, cap hit impact

Milan Lucic Buyout Cap Implications

Birthdate June 7, 1988

If Milan Lucic was bought out prior to the 2019-2020 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 $5,000,000
Remaining base salary
($7,500,000 * 67% buyout multiplier)
.

4 years left in contract.
Buyout applied over 8 years
(2x years remaining on contract)

Annual buyout cost of $625,000
(Total buyout cost/8 years)

This contract has retained salary from a previous trade. The buyout costs, and savings are split between the teams as shown below
Milan Lucic projected buyout 2019-2020 season
2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 2024-2025 2025-2026 2026-2027
Remaining Base Salary
$7,500,000
$3,000,000 $1,000,000 $2,500,000 $1,000,000 $0 $0 $0 $0
Original Cap Hit $6,000,000 $6,000,000 $6,000,000 $6,000,000 $0 $0 $0 $0
Contract Signing Bonus $3,000,000 $3,000,000 $2,500,000 $3,000,000 $0 $0 $0 $0
Contract Total Salary ($6,000,000) ($4,000,000) ($5,000,000) ($4,000,000) ($0) ($0) ($0) ($0)
Annual Buyout Cost $625,000 $625,000 $625,000 $625,000 $625,000 $625,000 $625,000 $625,000
ACTUAL CAP HIT Calgary Flames logo $3,171,875 $4,921,875 $3,609,375 $4,921,875 $546,875 $546,875 $546,875 $546,875
Savings $2,078,125 $328,125 $1,640,625 $328,125 $-546,875 $-546,875 $-546,875 $-546,875
ACTUAL CAP HIT Edmonton Oilers logo $453,125 $703,125 $515,625 $703,125 $78,125 $78,125 $78,125 $78,125
Savings $296,875 $46,875 $234,375 $46,875 $-78,125 $-78,125 $-78,125 $-78,125

Active Contract

Signing Team
Signing Date July 1, 2016
Signing Status UFA
Agent Gerry Johannson
View Player Profile
Potential Lockout Year
Standard Contract | 7 Years $42,000,000 7.36% of cap space
2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023
Cap Hit $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000
UFA
AAV $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000 $6,000,000
Performance Bonuses $0 $0 $0 $0 $0 $0 $0
Base Salary $4,000,000 $4,000,000 $3,500,000 $3,000,000 $1,000,000 $2,500,000 $1,000,000
Signing Bonuses $4,000,000 $4,000,000 $3,500,000 $3,000,000 $3,000,000 $2,500,000 $3,000,000
Total Salary $8,000,000 $8,000,000 $7,000,000 $6,000,000 $4,000,000 $5,000,000 $4,000,000
Minors Salary $8,000,000 $8,000,000 $7,000,000 $6,000,000 $4,000,000 $5,000,000 $4,000,000
Clauses NMC NMC NMC NMC NMC M-NTC
NMC
M-NTC
NMC
UFA Year
Buy It Out Buy It Out Buy It Out Buy It Out
* Retained 12.5% of contract was retained by Edmonton Oilers in trade to Calgary Flames