Confirmed with Link: Leafs re-sign Justin Holl -- 3 years 2M AAV

[Funk21]

Great deal for both. Hopefully the cap skyrockets in a few years with some new American tv deal or some ****

From some of the reports I was reading the expansion money plus the new US TV deal should have the cap jumping considerably. Will it be a 100 million no but most are hinting in the low to mid 90’s. Let’s hope the players push for a full 5% inflator this summer which will put next years cap around 85.5. The year after is when we see the big jump.

It’s gonna be tough sledding after the expansion draft. We have both Rielly and Andersen to look at locking up. Rielly will be at and around 9-10 million. I suspect Andersen will also be in and around there too. Personally my hope is that one of Scott or Woll are ready but Woll needs more time and Scott is just recovering from surgery and basically just lost this year for development.

It will be really interesting.

 

[Wafflewhipper]

This is about what Dermott should be signed for!

First thing i thought but haven’t considered it very much other than that.

 

[Gabriel426]

It's not about the right people in his life, it's reality. $2M after 10% escrow and 10% agent fees is $1.6M/yr. I bet these guys have other expenses but I really don't know.

If he lived in Ontario (I know he doesn't but I'm using the tools I have), his after tax takehome is $778,800. What do you suppose an NHL player spends in a year? I'm going with $250k minimum and I think that's conservative. That leaves him with just over $1.5M in savings assuming he does everythink right. My $1M figure is way more likely but I'll accept the best case scenario.

$1.5M for a 30 year old is nowhere near set for life, plain and simple. This isn't the 1950s.

To say that Hockey players are not set for life after a 6mil contract is a bit much. It is true that a house in Manhattan can cost up to 8mil.... but unless he blows all the money on women, drugs.... and dont invest 1cent of it. I really doubt you can’t be set for live.
Beside, you are in the NHL and part of the Leafs. You will get other sources of income like signings, dinners, hockey camps...

 

[The Hanging Jowl]

We’re arguing different things here.

You are talking about him retiring today, while I’m talking about him being financially set, two different things.

If his camp does their job, he’s seeing 2-3 million dollars of that total contract, nothing makes money like having money, he’s set for life even working with the most basic of basic investments.

The easiest way I can explain it to people is that people that make 100k after taxes generally live a comfortable life, this guy is essentially getting 30 years of that salary in a 3 year span lol, that puts him so financially ahead of people that would have to wait the 30 year’s worth of time to accumulate that.

His money would be making so much more money for him than those other people.

trust me

You're not explaining anything to me and I don't trust you. I have more in the bank right now than he will at the end of his contract as well as 3 properties mortgage free and there isn't a day that goes by I don't worry about the future and I don't have as many years ahead of me as he does. Also, $100k after taxes is not great money any more. Sorry.

There's a giant difference between a comfortable life and "set for life" which is what was stated. Errr...trust me.

 

[The Hanging Jowl]

To say that Hockey players are not set for life after a 6mil contract is a bit much. It is true that a house in Manhattan can cost up to 8mil.... but unless he blows all the money on women, drugs.... and dont invest 1cent of it. I really doubt you can’t be set for live.
Beside, you are in the NHL and part of the Leafs. You will get other sources of income like signings, dinners, hockey camps...

He doesn't walk away with $6M after taxes, agents and escrow. I explained it elsewhere but my absolute high end is $1.5M in the bank at the end of his deal assuming he's not a complete idiot. $1.5M will pay out $86k/year for 25 years assuming 3% above inflation return on his money. That gets him to his mid 50s. That is not "set for life".

I'm sure he'll have other sources of income. That's called working to us plebs.

 

[X66]

You're not explaining anything to me and I don't trust you. I have more in the bank right now than he will at the end of his contract as well as 3 properties mortgage free and there isn't a day that goes by I don't worry about the future and I don't have as many years ahead of me as he does. Also, $100k after taxes is not great money any more. Sorry.

There's a giant difference between a comfortable life and "set for life" which is what was stated. Errr...trust me.

You’re just rambling, and if what you’re saying about yourself is true, it further shows you have no idea what you’re talking about now.

Just give it up and move on.

 

[Boutette]

Excellent. Now we just need to do about the same with Mikheyev, Engvall and Dermott.

 

[The Hanging Jowl]

You’re just rambling, and if what you’re saying about yourself is true, it further shows you have no idea what you’re talking about now.

Just give it up and move on.

Weird reply. Have a great evening and go Leafs.

 

[cesareborgia]

It's not about the right people in his life, it's reality. $2M after 10% escrow and 10% agent fees is $1.6M/yr. I bet these guys have other expenses but I really don't know.

If he lived in Ontario (I know he doesn't but I'm using the tools I have), his after tax takehome is $778,800. What do you suppose an NHL player spends in a year? I'm going with $250k minimum and I think that's conservative. That leaves him with just over $1.5M in savings assuming he does everythink right. My $1M figure is way more likely but I'll accept the best case scenario.

$1.5M for a 30 year old is nowhere near set for life, plain and simple. This isn't the 1950s.

You should have put some thought into what you were saying before writing this weird (I don't want to use a stronger word) post.

The solution is simple. Don't spend 250k a year if you cannot afford it. Live within your means. The money he is receiving is more than enough to have him, his kids and his grandkids set for life. You just need to not be a pea brain.

 

[The Hanging Jowl]

You should have put some thought into what you were saying before writing this weird (I don't want to use a stronger word) post.

The solution is simple. Don't spend 250k a year if you cannot afford it. Live within your means. The money he is receiving is more than enough to have him, his kids and his grandkids set for life. You just need to not be a pea brain.

Umm, say what you want, don't hold back. On my end, I'm comfortable telling you if you think the after tax and expenses money left on $6M over 3 years is enough to set up 3 generations (your words) you're clueless.

 

[LeafsOHLRangers98]

Excellent. Now we just need to do about the same with Mikheyev, Engvall and Dermott.

All three should be cheap. Mikheyev because of his injury. Engvall has no leverage, and Dermott is having a rough start by his standards coming off an injury.

I would bridge Dermott at this rate and take my chances.

 

[Egghead1999]

Expansion draft is on 2021 , shall leafs protect him?

 

[saffronleaf]

Great deal for both sides. Happy for Holl and happy as a Leafs fan. Good job Dubas.

 

[The Hanging Jowl]

If you don't think that $2.5 million (using your math) is enough to set up 3 generations for life, then you are a peabrain and you should step away from the keyboard.
Of course, being a peabrain, you would squander the money and would be unable to set up even yourself for life. So I guess you're not wrong.

The point is, anybody with an average or higher IQ, would be set for life, as would their kids and grandkids.

I actually never said he'd be left with $2.5M, no idea where you're getting that. But even using that number, considering I have way more than that in net worth, and I earned every dime of it, how exactly do you square that with my peabrain status? Just curious. Either way, I've run the financial analysis about a thousand times. My money will last my retirement if I'm careful and leave a little something for my kid. That's about it. One of us knows what they're talking about.

 

[GQS]

Ideally I'd like to see him on the 3rd pair when this D-core hopefully rounds out.

Why not hope that he continues to play well enough to deserve to remain in the top four or even better hope he improves even more that he can be relied upon to play huge minutes for the Leafs in tough situations? He's surprised us already, lets wish that he can surprise is again by getting even better.

good deal for both sides.

he’s far from set for life. He will be lucky to take home half of that. And spent over 50-60yrs. He would have to be rather conservative and have a very good roi

Even if you're only taking home 3 mill of that 6, how the heck can you not make that last for 60+ years? After buying a house and paying for it in full, you can buy a rental property or make some stock investments with a portion of the money and the rest as long you're not living like a rockstar, but rather a comfortable yet modest lifestyle then I don't see how you can't make 3 million stretch for 60 years.

 

[HamiltonNHL]

Not playing Holl more ... another Babcock screw up

 

[Canada4Gold]

Expansion draft is on 2021 , shall leafs protect him?

Rielly, Pietrangelo, Dermott

No

 

[DarrenX]

But, on the bolded, it depends a lot on where you live. I have a friend in Seattle that pays $2,500 a month rent for an apartment that is just under 450 square feet.

Since this is the forum for the Toronto Maple Leafs, I would have assumed that at least some of you would be familiar with the current rental situation in Toronto. Currently $2,500 gets you a very small 1bdrm condo downtown (I know this because a friend of mine is looking right now). Fine for a single guy but I personally would want something bigger (and I don't make 1m per year). Plus utilities. if you're a single guy $50k per year (bit over 4k per month) is a little high but if you have a family then you could easily spend that.

For those of you saying the money can be "sheltered in RRSP", you should know that you can only shelter a very small part of your income that way. ($26,500 this year... so basically a rounding error in the calculations). Rest assured that you can't escape the tax man that easily.

Those of you talking about buying a place... you appear to not be taking into account transaction costs. As a hockey player without an NMC you might be moving at any time... the transaction costs (realtor, Ontario land transfer tax) for buying/selling even a $600k condo would eat you alive. If you don't know where you'll be next year, better to rent.

The "hockey related expenses" of 70k sounds high to me... i would have thought the team would supply that stuff? I guess if you want to hire Gary Roberts in the summer as your trainer he's not cheap.

3k/month for basic living expenses sounds right to me, if anything it might be a bit light. Remember you're travelling and eating out a lot, and hanging out with wealthy people, and expected to dress well... this is not a brown bag/student cafeteria environment. You can quibble with the 3k/month in miscellaneous expenses, but that doesn't change the underlying conclusion very much. You can maybe find 100k of savings in there if you really look but then you're still only saving 340k out of your million.

That said Holl is looking at 8mCAD so he should be able to bank 2.5m or so... not quite retirement money unless you're frugal but an excellent start.

 

[bonjovi0308]

Is this the first contract that Dubas has handed out that got everyone on this board to agree on? lol

 

[Cor]

Is this the first contract that Dubas has handed out that got everyone on this board to agree on? lol

I don’t think the Kapanen/Johnsson contracts caused much stir. The Kerfoot one was relatively fine as well.

 

[A1LeafNation]

Is this the first contract that Dubas has handed out that got everyone on this board to agree on? lol

All of the third and fourth line deals and all the dmen deals he has done.

They only contracts questioned were Matthews, Marner, Nylander, and Tavares. Do they even need to be questioned at this point anyways...all 4 have leveled up since Babcock gone.

 

[cesareborgia]

I actually never said he'd be left with $2.5M, no idea where you're getting that. But even using that number, considering I have way more than that in net worth, and I earned every dime of it, how exactly do you square that with my peabrain status? Just curious. Either way, I've run the financial analysis about a thousand times. My money will last my retirement if I'm careful and leave a little something for my kid. That's about it. One of us knows what they're talking about.

Yeah, one of us knows what they're talking about. And it's clearly not you considering the nonsense you're spewing and the fact that you forgot what you said just one post ago. Let me remind you:

If he lived in Ontario (I know he doesn't but I'm using the tools I have), his after tax takehome is $778,800.

It's quite simple. You multiply that number by three, round up to the nearest half and you get $2.5 million over three years. I will repeat what I said before: if you don't think 2 and a half million dollars is enough to set you up for life, then I don't know what to say. Hire a better financial adviser and stop spending like Mike Tyson.

 

[aingefan]

This is a pretty good story from start to finish.
A team showing loyalty in a player (over a pretty long term for this league, actually) and a player showing loyalty to his team (patiently waiting years for his chance).
This is actually where I think Dubas shines. He’s really invested in his guys. There’ll be lots of times where it pays off.

 

[4thline]

Cap friendly reporting some details:
10 team no trade
1m SB in first year

 

[ULF_55]

...

3k/month for basic living expenses sounds right to me, if anything it might be a bit light. Remember you're travelling and eating out a lot, and hanging out with wealthy people, and expected to dress well... this is not a brown bag/student cafeteria environment. You can quibble with the 3k/month in miscellaneous expenses, but that doesn't change the underlying conclusion very much. You can maybe find 100k of savings in there if you really look but then you're still only saving 340k out of your million.

That said Holl is looking at 8mCAD so he should be able to bank 2.5m or so... not quite retirement money unless you're frugal but an excellent start.

You can house, feed well, insure, educate, transport, vacation a family of 5 for less than $100k in Calgary.

A modest 4% return on 2.5 million is ... $100k