Salary Cap: Understanding LTIR

[Funk21]

Okay with the two deals announced yesterday to Kadri and Rielly I was discussing our cap situation with a friend. Basically on Cap Fiendly that we have roughly 13 million in cap space after the two signings. We know that Horton will likely never play again which adds an overage of 5.3 million during the regular season but what about during the offseason?

https://www.capfriendly.com/teams/mapleleafs

Can our cap total be above the 74 million projected provided we have players that will be LTIR once the season starts, that is could we have player contract that total 79 or 85 million provided we have players that will be on LTIR?

Horton 5.3
Lupul 5.25 potentially
Robidas 3 potentially

If all three remain on LTIR we could gain another 13.5 million in cap space. Is this correct or does the NHL have some sort of rules that don't allow or restrict clubs from offering contracts to players if the team goes above the NHL salary cap number?

Thanks!

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[Cor]

We only get the savings if we spend to the cap. However, IR and LTIR aren't a thing until the first day of the season. Thus, you can only spend 10% of the cap during the summer, with those 3 players included.


For the record, we didn't use LTIR at all this season, including Horton, according to Lou at the deadline.

 

[Slot]

Okay with the two deals announced yesterday to Kadri and Rielly I was discussing our cap situation with a friend. Basically on Cap Fiendly that we have roughly 13 million in cap space after the two signings. We know that Horton will likely never play again which adds an overage of 5.3 million during the regular season but what about during the offseason?

https://www.capfriendly.com/teams/mapleleafs

Can our cap total be above the 74 million projected provided we have players that will be LTIR once the season starts, that is could we have player contract that total 79 or 85 million provided we have players that will be on LTIR?

Horton 5.3
Lupul 5.25 potentially
Robidas 3 potentially

If all three remain on LTIR we could gain another 13.5 million in cap space. Is this correct or does the NHL have some sort of rules that don't allow or restrict clubs from offering contracts to players if the team goes above the NHL salary cap number?

Thanks!

Quick point, Robidas was never sent to LTIR. He was on IR the entire season.

 

[Slot]

We only get the savings if we spend to the cap. However, IR and LTIR aren't a thing until the first day of the season. Thus, you can only spend 10% of the cap during the summer, with those 3 players included.


For the record, we didn't use LTIR at all this season, including Horton, according to Lou at the deadline.

My understanding is that Horton was on LTIR but we never had to use the LTIR exemption to go over the salary cap

 

[The Examiner]

We only get the savings if we spend to the cap. However, IR and LTIR aren't a thing until the first day of the season. Thus, you can only spend 10% of the cap during the summer, with those 3 players included.


For the record, we didn't use LTIR at all this season, including Horton, according to Lou at the deadline.

The 10% would out the cap at just under $82M.

In regards to Lupul, why are so many people saying he'll be on the LTIR next year. You can't just decide to put a player there. He's starting to skate again and all indications are that he's aiming to be healthy enough for next season. Whether Lou wants him in the team is a different story but he can't just decide to put him on the LTIR.

 

[The Examiner]

My understanding is that Horton was on LTIR but we never had to use the LTIR exemption to go over the salary cap

I believe this is correct. They managed the cap well enough that the savings didn't come into play,

 

[Leafsman]

Okay with the two deals announced yesterday to Kadri and Rielly I was discussing our cap situation with a friend. Basically on Cap Fiendly that we have roughly 13 million in cap space after the two signings. We know that Horton will likely never play again which adds an overage of 5.3 million during the regular season but what about during the offseason?

https://www.capfriendly.com/teams/mapleleafs

Can our cap total be above the 74 million projected provided we have players that will be LTIR once the season starts, that is could we have player contract that total 79 or 85 million provided we have players that will be on LTIR?

Horton 5.3
Lupul 5.25 potentially
Robidas 3 potentially

If all three remain on LTIR we could gain another 13.5 million in cap space. Is this correct or does the NHL have some sort of rules that don't allow or restrict clubs from offering contracts to players if the team goes above the NHL salary cap number?

Thanks!

Gain a little more cap space buying out Jared Cowen I believe

 

[SprDaVE]

It's a bit more complicated than this, but I tend to keep it very basic when it comes to LTIR... I just remove the cap hit all together. It comes down to pretty much the same thing.

As a more complicated answer, you might want to read this FAQ from Cap Friendly

https://www.capfriendly.com/ltir-faq

When a player is placed on LTIR, their cap hit technically remains on the teams cap payroll and it continues to count as it always did. It also does not provide the club with additional cap-space savings that can be banked for future use while the team operates below the salary cap. Instead, LTIR provides relief if the club's averaged club salary, or payroll, begins to exceed the upper limit. The amount of relief that the club receives is calculated on the day the player is placed on LTIR. There are two formulas that are used to determine the LTIR relief, the first formula, the basic formula, can be used during the season and during the off-season. The second formula, the training-camp formula, can be used during the off-season.

 

[Eb]

Gain a little more cap space buying out Jared Cowen I believe

What was this $ amount again?

 

[The Examiner]

What was this $ amount again?

His buyout would save $650 000 towards the cap next year but the year after they would be on the books for $750 000. It's a year 1 savings but year 2 there is a hit.

 

[Leafsman]

His buyout would save $650 000 towards the cap next year but the year after they would be on the books for $750 000. It's a year 1 savings but year 2 there is a hit.

Plus the additional $3.7M he's on the books for. Including the hit in year 2, it would still scratch $3M off the books.

 

[Eb]

His buyout would save $650 000 towards the cap next year but the year after they would be on the books for $750 000. It's a year 1 savings but year 2 there is a hit.

Thanks!

 

[Cor]

My understanding is that Horton was on LTIR but we never had to use the LTIR exemption to go over the salary cap

Oh Yeah, that could be it.

 

[Cor]

The 10% would out the cap at just under $82M.

In regards to Lupul, why are so many people saying he'll be on the LTIR next year. You can't just decide to put a player there. He's starting to skate again and all indications are that he's aiming to be healthy enough for next season. Whether Lou wants him in the team is a different story but he can't just decide to put him on the LTIR.

I think it's based off of Lou saying he doesn't think/know if Lupul will play next season.

 

[The Examiner]

Plus the additional $3.7M he's on the books for. Including the hit in year 2, it would still scratch $3M off the books.

This is a given considering it's a buyout.

Cap Hits:

Year 1: - ($650 000)
Year 2: $750 000

 

[Clark4Ever]

The 10% would out the cap at just under $82M.

In regards to Lupul, why are so many people saying he'll be on the LTIR next year. You can't just decide to put a player there. He's starting to skate again and all indications are that he's aiming to be healthy enough for next season. Whether Lou wants him in the team is a different story but he can't just decide to put him on the LTIR.

If Lou wants Joffrey on LTIR, then Joffrey will end up on LTIR.

 

[Mess]

If Lou wants Joffrey on LTIR, then Joffrey will end up on LTIR.

Sports Hernia surgery and post recovery is generally 100% successful and wouldn't be eligible for LTIR.

The main LTIR requirement eligibility is by failing a team physical held in training camp making the player ineligible to fulfill his contract commitments.

 

[Kubus]

The 10% would out the cap at just under $82M.

In regards to Lupul, why are so many people saying he'll be on the LTIR next year. You can't just decide to put a player there. He's starting to skate again and all indications are that he's aiming to be healthy enough for next season. Whether Lou wants him in the team is a different story but he can't just decide to put him on the LTIR.

If anyone can put a player on LTIR it's Lou...he just needs to make one call

 

[indigobuffalo]

Okay with the two deals announced yesterday to Kadri and Rielly I was discussing our cap situation with a friend. Basically on Cap Fiendly that we have roughly 13 million in cap space after the two signings. We know that Horton will likely never play again which adds an overage of 5.3 million during the regular season but what about during the offseason?

https://www.capfriendly.com/teams/mapleleafs

Can our cap total be above the 74 million projected provided we have players that will be LTIR once the season starts, that is could we have player contract that total 79 or 85 million provided we have players that will be on LTIR?

Horton 5.3
Lupul 5.25 potentially
Robidas 3 potentially

If all three remain on LTIR we could gain another 13.5 million in cap space. Is this correct or does the NHL have some sort of rules that don't allow or restrict clubs from offering contracts to players if the team goes above the NHL salary cap number?

Thanks!

The simple answer to the question you didn't ask is that Lou will find a way to make it work.

If we're adding Stamkos, Vesey, Reimer, and Zaitsev, we will have enough cap space to do it. We were going to have the room to do that even if Kadri/Rielly were signed at $6M and $7.5M cap hits.

 

[The Examiner]

If Lou wants Joffrey on LTIR, then Joffrey will end up on LTIR.

If anyone can put a player on LTIR it's Lou...he just needs to make one call

As much as I enjoy joking about this, if Lupul is healthy enough to play, then no, he can not go on the LTIR, no matter what Lou does.

 

[indigobuffalo]

Sports Hernia surgery and post recovery is generally 100% successful and wouldn't be eligible for LTIR.

The main LTIR requirement eligibility is by failing a team physical held in training camp making the player ineligible to fulfill his contract commitments.

He likely won't be on LTIR, he'll be on IR. Same with Robidas.

I'm pretty sure Horton will be eligible for LTIR though.

 

[Kubus]

As much as I enjoy joking about this, if Lupul is healthy enough to play, then no, he can not go on the LTIR, no matter what Lou does.

Are you saying we don't have waste management or construction companies in the GTA

Obviously if Lupul is healthy he will be on the roster...until his next injury.

 

[Leafsman]

Are you saying we don't have waste management or construction companies in the GTA

Obviously if Lupul is healthy he will be on the roster...until his next injury.

I think he's a candidate for a buyout if he's healthy enough when the buyout period rolls around.

He's quite a caphit to not be able to rely on. $5.25M is alot. $3.75M in savings first year and $2.25M in the 2nd

 

[Clark4Ever]

Sports Hernia surgery and post recovery is generally 100% successful and wouldn't be eligible for LTIR.

The main LTIR requirement eligibility is by failing a team physical held in training camp making the player ineligible to fulfill his contract commitments.

I know, I was kidding...well, half kidding anyway.

 

[81Leafs50]

The 10% would out the cap at just under $82M.

In regards to Lupul, why are so many people saying he'll be on the LTIR next year. You can't just decide to put a player there. He's starting to skate again and all indications are that he's aiming to be healthy enough for next season. Whether Lou wants him in the team is a different story but he can't just decide to put him on the LTIR.

Lupul is done. He had surgery. It was pretty major.