Otto Koivula buyout calculator, cap hit impact

Otto Koivula Buyout Cap Implications

Birthdate September 1, 1998

If Otto Koivula was bought out prior to the 2020-2021 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 21 years old at the buyout giving him a 33% buyout multiplier.
Under 26 = 1/3 multiplier
26+ = 2/3 multiplier

The total buyout cost would be $244,167
Remaining base salary
($732,500 * 33% buyout multiplier)
.

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

Annual buyout cost of $122,083
(Total buyout cost/2 years)

Otto Koivula projected buyout 2020-2021 season
2020-2021 2021-2022
Remaining Base Salary
$732,500
$732,500 $0
Original Cap Hit $786,666 $0
Contract Signing Bonus $92,500 $0
Contract Total Salary ($825,000) ($0)
Annual Buyout Cost $122,083 $122,083
ACTUAL CAP HIT New York Islanders logo $176,249 $122,083
Savings $610,417 $-122,083

Active Contract

Signing Team
Signing Date March 21, 2018
Agent Mark Gandler & Todd Diamond
Entry Level Contract | 3 Years $2,359,998 0.97% of cap space
2018-2019 2019-2020 2020-2021
Cap Hit $786,666 $786,666 $786,666
RFA
AAV $925,000 $925,000 $925,000
Performance Bonuses $182,500 $132,500 $100,000
Base Salary $650,000 $700,000 $732,500
Signing Bonuses $92,500 $92,500 $92,500
Total Salary $742,500 $792,500 $825,000
Minors Salary $70,000 $70,000 $70,000
Clauses
UFA Year
Buy It Out