Habs Salary Cap Info and FAQ's

[Habsfan]

This might be a stupid question, and maybe somebody already asked it, but I'm gonna ask anyways.

 

If a player is offered performance bonuses, how do the bonuses get applied on the Cap?

 

Iet's say the Habs sign Perry to a 1 year extension at 1 million$ and also offer him a 200,000$ bonus if the Habs make the finals again. If the Habs make the finals, does that 200K bonus count against the cap?

 

I assume it does, it's just that we almost never hear of performance bonuses anymore (compared to the pre-cap era)

[GHT120]

21 minutes ago, Habsfan said:

This might be a stupid question, and maybe somebody already asked it, but I'm gonna ask anyways.

 

If a player is offered performance bonuses, how do the bonuses get applied on the Cap?

 

Iet's say the Habs sign Perry to a 1 year extension at 1 million$ and also offer him a 200,000$ bonus if the Habs make the finals again. If the Habs make the finals, does that 200K bonus count against the cap?

 

I assume it does, it's just that we almost never hear of performance bonuses anymore (compared to the pre-cap era)

As I understand it:

Bonuses are only allowed on Entry Level Contracts, one-year 35+ contracts and one-year contracts for players returning form serious injury (see below for CBA specifics) ... once earned, all bonuses are applied to that season's cap ... if it puts the team over the cap then then the amount of the overage is applied against the following seasons cap (i.e., reducing it before the season starts) ... it is one reason that most teams leave a cushion in their cap spending to allow for performance bonuses ... Habs exceeded the cap this past season due to bonuses ... believe they are starting a few hundred thousand below the "league" cap as a result ...

BTW, signing bonuses are treated just like regular salary for cap purposes, but paid in a lump-sum at a prescribed date instead of throughout the season.

 

 

Performance Bonuses shall be allowable under this Agreement only for:
(i) Players with Entry Level SPCs under Article 9 of this Agreement;
(ii) Players aged 35 or older as of June 30 prior to the League Year in which the SPC is to be effective, who have signed a one-year SPC for that League Year; and
(iii) Players who are "400-plus game Players" for pension purposes, and who: (i) in the last year of their most recent SPC, spent 100 days or more on the Injured Reserve List; and (ii) have signed a one-year SPC for the current or upcoming League Year.

[Commandant]

If the bonus is earned, it goes on that year's cap. 

 

If you go over the cap due to bonuses, you get a cap penalty to be applied the following season.

[habscout]

On 8/9/2021 at 7:56 PM, GHT120 said:

 

If I read everything correctly, CapFriendly shows the Habs with total AAVs of $83,776,370 (includes 24 players, Alzner's buyout and the $597,561 in bonus carryovers from last season) ... putting Weber on LTIR puts them at the NHL roster limit of 23 players and will give the Habs an adjusted "ceiling" of $89,357,140 ... so the Habs have $5,580,770 in AAV remaining that could be spent ... but being over $81.5M makes roster management  trickier.

 

BTW, ... CF currently shows Byron on LTIR but, as he is expected back around Christmas/New Years I doubt he starts the season there ... his full AAV will have to be included under the cap when he returns, so if he starts the year on LTIR a significant trade would need to be made to make room for his return (or trade him)

 

I would love to know, exactly what types of bonuses are given to new players on their ELC, and on 35+ veterans on their one year contracts.  So far I have heard only rumours of bonuses for rookies like voting for the Calder trophy and for winning it; also bonuses of games played for veterans. If anyone knows of any recent examples of either class of bonus, please let me know.

[dlbalr]

Rookies on entry-level deals are entitled to two types of bonuses - A and B.  A bonuses are for specific categories:

 

Forwards

(i) Ice time (aggregate and/or per Game). Player must be among top six (6) forwards on the Club (minimum 42 Regular Season Games played by Player and comparison group). (Note: an Entry Level SPC may contain bonuses for both aggregate and per Game ice time; however, the maximum aggregate amount the Player may receive on account of the ice time category is $212,500.)
(ii) Goals: 20 Goal Minimum
(iii) Assists: 35 Assist Minimum
(iv) Points: 60 Point Minimum
(v) Points Per Game: .73 Points Per Game Minimum (minimum 42 Regular Season Games played)
(vi) Plus-Minus Rating: Among top three (3) forwards on the Club (minimum 42 Regular Season Games played by Player and comparison group).
(vii) End-of-Season NHL All-Rookie Team
(viii) NHL All-Star Game (selected to play or plays)
(ix) NHL All-Star Game MVP

 

Defencemen

(i) Ice time (aggregate and/or per Game). Player must be among top four (4) defensemen on the Club (minimum 42 Regular Season Games played by Player and comparison group). (Note: an Entry Level SPC may contain bonuses for both aggregate and per Game ice time; however, the maximum aggregate amount the Player may receive on account of the ice time category is $212,500.)
(ii) Goals: 10 Goal Minimum
(iii) Assists: 25 Assist Minimum
(iv) Points: 40 Point Minimum
(v) Points Per Game: .49 Points Per Game Minimum (minimum 42 Regular Season Games played)
(vi) Plus-Minus Rating: Among top three (3) defensemen on the Club (minimum 42 Regular Season Games played by Player and comparison group).
(vii) Blocked Shots: Among top two (2) defensemen on the Club (minimum 42 Regular Season Games played by Player and comparison group).
(viii) End-of-Season NHL All-Rookie Team
(ix) NHL All-Star Game (selected to play or plays)
(x) NHL All-Star Game MVP

 

Goalies

(i) Minutes Played: 1,800 minutes minimum
(ii) GAA: GAA median GAA of all goaltenders who played 25 ormore Regular Season Games. (If there is an even number of these goaltenders, the median will be the average of the two middle values.) (25 Game minimum, 30 minute minimum*)
(iii) Save %: Save % median save % of all goaltenders who played 25 or more Regular Season Games. (If there is an even number of these goaltenders, the median will be the average of the two middle values.) (25 Game minimum, 30 minute minimum*)
(iv) Wins: 20 (Player must be goaltender of record, 30 minute minimum*)
(v) Shutouts: Shutouts median number of shutouts of all goaltenders who played 25 or more Regular Season Games. (If there is an even number of these goaltenders, the median will be the average of the two middle values.) (30 minute minimum*)
(vi) End-of-Season NHL All-Rookie Team
(vii) NHL All-Star Game (selected to play or plays)
(viii) NHL All-Star Game MVP

 

Generally, first-round picks get some of these Class A bonuses but some outside the first round get them as well.  For example, Romanov has three of them in his contract, Suzuki has a couple as well.

 

Class B bonuses are often for league-wide scoring categories (ie, top-10 in goals).  They're worth up to a maximum of $2 million per season and are not disclosed.  Voting for league trophies amounts are automatic in all entry-level contracts and are not included in individual bonus packages.

 

For veterans, they can't receive Class A or B bonuses but can get some for games played, goals/points, or playoff success.  Jaroslav Halak's current deal has the first two while Mike Smith's deal last season had several levels of GP bonuses plus playoff success ones.  Montreal doesn't have anyone currently on one of those contracts.

[alfredoh2009]

@dlbalr , I was looking at CapFriendly to update my list of 23 vs 50 contract situations. I am confused about this:

1) CF reports 48 contracts

2) Guhle and Mysak have excemptions, or are slide-rule eligible: do they count on the 48 contracts?

3) Also, Weber and Price are on NHLPA program and LTIR respectively, do they still count on the 48 contracts? or there is an exception?

 

I counted 46 players except these four players, which two are being counted to add up to 48?

[GHT120]

3 hours ago, alfredoh2009 said:

@dlbalr , if the Habs trade a big contract, Like Petry's or Galagher's and retain 50%. Can Weber's LTIR salary relief help keep the Habs under the cap if they go over?

Are retained salaries accounted for like regular salaries?

 

Whatever you retain stays on the cap, for the full term remaining on the contract ... Weber's contract would provide the same possibility of LTIR relief that it would for any other contract ... but also all carry the same LTIR negatives (lack of roster flexibility, no cap space accrual, bonus carryovers to 23/24, etc.) ... think the idea would be to move Weber and only spend at most the cap space moved out on roster players ... ideally I think HuGo would want to be well under the cap ceiling so they have freedom to make some moves in-season (to improve team or get assets for taking on a bad expiring contract/being the "third team" in a deal) or carry-over cap space in 2023 off-season

[GHT120]

1 hour ago, Habs Fan in Edmonton said:

I am NO capologist, there are many on this board who are much more knowledgeable than myself but this explains some of the benefits of clearing more cap space before the start of the year although I am still trying to fully grasp it. 

https://montrealhockeynow.com/2022/09/18/montreal-canadiens-source-hughes-working-phones-market-to-shake-loose-soon/

 

 

Thanks ... it discusses HuGo wanting to clear a couple of million to be able to remove Price from the offseason LTIR ... but the piece doesn't explain why getting out of offseason LTIR  status would have an advantage for the regular season ... or the fundamental question of whether the Habs want to be as close as possible to $93M in total AAVs (i.e., $82.5 ceiling plus Price's $10.5 on LTIR) to start the season.

[tomh009]

48 minutes ago, GHT120 said:

Thanks ... it discusses HuGo wanting to clear a couple of million to be able to remove Price from the offseason LTIR ... but the piece doesn't explain why getting out of offseason LTIR  status would have an advantage for the regular season ... or the fundamental question of whether the Habs want to be as close as possible to $93M in total AAVs (i.e., $82.5 ceiling plus Price's $10.5 on LTIR) to start the season.

Yes, you want to be as close to the $82.5M cap as possible when placing the first player on LTIR as that will set the ACSL (accruable cap space limit) -- during the season.

 

However, if you are putting a player on LTIR during the training camp, it's a different calculation. Now ACSL is calculated as actual cap hit less the salary of the player being placed on LTIR. So, if it's Byron being placed on LTIR first, you'd ideally want to be as close to (but below) $85.9M ($82.5M cap plus $3.4M Byron) as possible.

 

I have no idea why the traing camp calculation is completely different, though.

[DON]

Is "buying out" in the off-season an option for the Gallagher or Armia's contracts?

Or just not a smart route to take?

[tomh009]

17 minutes ago, DON said:

Is "buying out" in the off-season an option for the Gallagher or Armia's contracts?

Or just not a smart route to take?

You save 1/3 of the salary but the cap hits stretch well into the years where the Habs should become contenders (and will need cap space). Armia has only two seasons beyond this one, I can't see how stretching that to four would be better.

 

Buyout is really a last resort.

[dlbalr]

I don't think they'll buy Armia out.  Gallagher is a possibility at some point in the contract and notably, there's no signing bonus money in there which helps.

[Prime Minister Koivu]

 

[GHT120]

So, $9.24M in cap space, plus any space gained by moving veterans ... Edmundson seems the most likely, making it $12.74M ... as they have to spend to the cap to optimize the utility of LTIR I expect we may see some Monahan-type deals in the weeks to come.

[alfredoh2009]

27 minutes ago, GHT120 said:

So, $9.24M in cap space, plus any space gained by moving veterans ... Edmundson seems the most likely, making it $12.74M ... as they have to spend to the cap to optimize the utility of LTIR I expect we may see some Monahan-type deals in the weeks to come.

 

I like your new avatar, GHT120!

[GHT120]

4 minutes ago, alfredoh2009 said:

 

I like your new avatar, GHT120!

He is such a misunderstood character

 

[alfredoh2009]

1 hour ago, GHT120 said:

He is such a misunderstood character

 

 

this one is good too

 

[alfredoh2009]

[Commandant]

5 hours ago, GHT120 said:

So, $9.24M in cap space, plus any space gained by moving veterans ... Edmundson seems the most likely, making it $12.74M ... as they have to spend to the cap to optimize the utility of LTIR I expect we may see some Monahan-type deals in the weeks to come.

 

Starting with the RFAs 

RHP has clearly earned a modest raise and 1-way contract. 

Gurianov either signs something lower than his QO, or he walks. 

 

This means the Habs can likely go after 1 big name UFA or take on one big contract in a trade. 

 

[GHT120]

4 minutes ago, Commandant said:

 

Starting with the RFAs 

RHP has clearly earned a modest raise and 1-way contract. 

Gurianov either signs something lower than his QO, or he walks. 

 

This means the Habs can likely go after 1 big name UFA or take on one big contract in a trade. 

 

I don't see any UFAs worth spending money on ... so more likely the "get paid to take on a contract(s)" route.

[Commandant]

47 minutes ago, GHT120 said:

I don't see any UFAs worth spending money on ... so more likely the "get paid to take on a contract(s)" route.

 

Or, hear me out.... Pierre Luc Dubois.

[GHT120]

28 minutes ago, Commandant said:

 

Or, hear me out.... Pierre Luc Dubois.

OK ... I'm good with that ... my guess is that if they acquire PLD, the Habs sign him to a 1-year Suzuki-ish contract and then go for 8-years at bigger money sometime after the trade deadline.

[Commandant]

6 minutes ago, GHT120 said:

OK ... I'm good with that ... my guess is that if they acquire PLD, the Habs sign him to a 1-year Suzuki-ish contract and then go for 8-years at bigger money sometime after the trade deadline.

 

I think any trade for PLD includes Dvorak to Winnipeg, to clear space for the Habs and for a stop gap for them.  

Not saying he's a main piece, but part of the deal.

 

CC - Suzuki - Anderson

PLD - Dach - RHP

Slafkovsky - Monahan - ???? 

[tomh009]

22 minutes ago, GHT120 said:

OK ... I'm good with that ... my guess is that if they acquire PLD, the Habs sign him to a 1-year Suzuki-ish contract and then go for 8-years at bigger money sometime after the trade deadline.

That basically means we'd be paying significant assets for a rental player, as there is no guarantee that he would sign an extension a year from now,

[tomh009]

18 minutes ago, Commandant said:

CC - Suzuki - Anderson

PLD - Dach - RHP

Slafkovsky - Monahan - ???? 

In this scenario, I would tend to put Armia on the third line, but need to fit Hoffman and Gallagher somewhere, too, as long as they are on the roster.