NFL Collective Bargaining Agreement

Article 13
Salary Cap Accounting Rules


  • Section 1. Calculation of the Salary Cap

    The amount of the Salary Cap for any League Year shall be determined in accordance with Article 12. The Salary Cap is the same amount for each Club.

  • Section 2. Application of the Salary Cap

    No Club may have a Team Salary that exceeds the Salary Cap.

  • Section 3. Calculation of Salary and Team Salary
    (a)

    Subject to Subsection (b) below, Salary and Team Salary shall be determined in accordance with the rules set forth in Sections 5–8 below.

    (b)

    For Preexisting Contracts, Salary and Team Salary shall be determined in accordance with the rules set forth in Article XXIV of the Prior Agreement; provided that if any Preexisting Contract is renegotiated or extended after July 25, 2011, it shall immediately be treated as a new Player Contract, subject to the rules set forth in Sections 5–8 below. (For the avoidance of doubt, if a Preexisting Contract is renegotiated or extended after July 25, 2011, the renegotiated or extended contract is not subject to the 30% Rule set forth in the Prior Agreement, but may be subject to the 30% Rule set forth in this Agreement).

  • Section 4. Definition of “Salary”
    (a)

    “Salary” means the compensation in money, property, investments, loans or anything else of value to which an NFL player (including Rookie and Veteran players and players whose contracts have been terminated) or his Player Affiliate is entitled in accordance with a Player Contract, but not including Benefits. Salary with respect to any period shall include all Salary actually payable with respect to such period under the terms of a Player Contract and all Salary attributable to such period under the terms of this Agreement.

    (b)

    A player’s Salary shall also include any and all consideration received by the player or his Player Affiliate from a Club or Club Affiliate, even if such consideration is ostensibly paid to the player for services other than football playing services, if the NFL can demonstrate before the Impartial Arbitrator that the consideration paid to the player or Player Affiliate for such nonfootball services does not represent a reasonable approximation of the fair market value of such services as performed by such player. The Impartial Arbitrator’s determination may take into account, among other things: (1) any actual dollar amounts the player or Player Affiliate received for similar nonfootball playing services from an independent third party; and (2) the percentage of total compensation for nonfootball services received from third parties versus the Team or Team Affiliate.

  • Section 5. Computation of Team Salary

    During any League Year in which the Salary Cap is in effect, all of the following amounts shall be included every day in determining a Team’s Team Salary:

    (a)Player Contracts.

    Subject to the rules below in Section 6 of this Article, all amounts the Team has paid or is obligated to pay as set forth in all Player Contracts of current and former players covering a particular League Year, including exercised options, shall be included in Team Salary.

    (b)(i)

    Drafted Rookies’ Salaries shall be included in Team Salary automatically as of the day of the Draft at the Minimum Active List Salary until (1) the player is signed, (2) the Team’s rights are relinquished through waivers, or (3) the Tuesday following the tenth week of the regular season (if the player is unsigned).

    (b)(ii)

    For Exclusive Rights players, the Minimum Active List Salary will be included in Team Salary when tendered until the player is signed, or the Team’s rights are relinquished.

    (b)(iii)

    For players who are Restricted Free Agents, the Qualifying Offer will be included in Team Salary when tendered until the player is signed, the Qualifying Offer is withdrawn, or a “June 1 Tender” (if applicable) is made. If the player is unsigned and the Team makes a June 1 Tender (if applicable) or June 15 Tender, such Tender will be included until the player is signed, the Team’s rights are relinquished, or the Tuesday following the tenth week of the regular season (if the player is unsigned).

    (b)(iv)

    For players who are Unrestricted Free Agents, the Unrestricted Free Agent Tender, if made, will be included in Team Salary as of July 15 or the first scheduled day of the first NFL Training Camp, whichever is later, and thereafter until the player is signed, the Tender is withdrawn, the Team’s rights are relinquished or extinguished, or the Tuesday following the tenth week of the regular season (if the player is unsigned).

    (b)(v)

    For Transition Players and Franchise Players, the tender will be included in Team Salary when made until the player is signed, the Tender is withdrawn, the Team’s rights are relinquished, or the Tuesday following the tenth game of the regular season (if the player is unsigned).

    (b)(vi)

    All Offer Sheets will be included in Team Salary when tendered until the player is signed to a Player Contract by any NFL Team, or the Offer Sheet is withdrawn.

    (c)Practice Squad Contracts.

    Any Practice Squad contract Salaries shall be included in Team Salary except to the extent otherwise provided in Article 33, Section 6.

    (d)Termination Pay.

    Any type of Termination Pay liability will be included in Team Salary at the time the player is released, except to the extent the Team is relieved of any such liability.

    (e)Grievances.

    When a player salary grievance is filed against a Club, 40% of the amount claimed (or, for a player whose contract qualifies under Article 27, 40% of the player’s Salary Cap count, prorated to reflect the number of weeks remaining in the regular season) will be counted in Team Salary until the grievance is resolved or until the end of the League Year, whichever comes first; at the end of the League Year, if any grievances have been settled or awards have been made, if the net total grievance amounts paid by the Club are more than the original 40% attributions and put the Club over the Salary Cap, the excess will be deducted from the Club’s Team Salary in the following League Year; if the net total grievance amounts paid are less than the original 40% attributions and the Club finishes the season at the Salary Cap or below the Salary Cap by less than the amount of the unawarded attributions, the difference will be added to the Club’s Team Salary for the following League Year. If an award or settlement is made for a grievance in a League Year after the grievance was filed, and the grievance amount paid is more than the original 40% attribution, the excess shall be included in Team Salary when paid; if the grievance amount is less than the original 40% attribution, the difference shall be deducted from Team Salary when the award is made. If a player files a salary grievance against a Club for Injury Protection or Extended Injury Protection, the “amount claimed,” as that term appears in this Subsection, shall be net of any salary guaranteed to the player under Article 45, Section 3 or Article 45, Section 8 of this Agreement, as applicable, for the purposes of calculating the required 40% charge to the Club’s Team Salary under this Subsection.

    (f)Expansion Bonuses.

    Except as set forth in Article 32, any expansion bonuses paid to players shall be included in Team Salary.

    (g)Offseason Workouts.

    Beginning on the first day of the League Year, each Club’s Team Salary will be charged an amount that is calculated as follows: multiply the minimum daily amount set forth in Article 21, Section 3 ($235 for the 2020 League Year) by 2,880 (90 players (or the maximum roster limit for that League Year) × 4 days/week × 8 weeks = 2,880). At the conclusion of the program, but no later than August 15, this charge will be adjusted based upon the amounts actually paid to players who participated in the offseason program. At that time, the amount paid to each player will be charged to Salary and Team Salary, and the original charge set forth in the first sentence of this Subsection shall be removed from Team Salary. In addition to these amounts, any incentives in Player Contracts related to offseason workouts shall be included in Team Salary pursuant to Section 6(c) below.

    (h)Rookie Football Development Program.

    Daily amounts paid to players for any workouts or classroom instruction pursuant to the Club’s Rookie Football Development Program or any voluntary or mandatory veteran minicamp, as provided in Article 22, Section 8(b) and Section 4 (c), respectively, will be charged to each Club’s Team Salary at the conclusion of the Club’s offseason program, but no later than August 15.

    (i)Injury Protection.

    To the extent provided in Article 45, Section 3 and Section 8 of this Agreement any type of Injury Protection liability shall be included in Team Salary at the later of: (i) the League Year for which such Injury Protection applies; or (ii) the League Year in which such Injury Protection is paid, agreed to be paid by settlement, or awarded, whichever (i.e., payment, settlement, or award) occurs first. Examples relating to the inclusion of Injury Protection in Team Salary are set forth in the Side Letter Agreement, dated November 2, 2015.

    (j)Other Amounts.

    Any other Salary not listed above paid to players shall be included in Team Salary.

  • Section 6. Valuation of Player Contracts

    Notwithstanding any provision in a Player Contract to the contrary or when such payments are actually made, the following rules shall apply in determining the amount of a player’s Salary that is to be included in Team Salary in a particular League Year for purposes of the Salary Cap:

    (a)(i)

    The highest applicable Salary set forth in Paragraph 5 of the NFL Player Contract shall be included in Team Salary in the year earned, except that, between the start of the League Year and the first day of the regular playing season, only the following amounts from Paragraph 5 shall be included for players whose Player Contracts are not among the Team’s 51 highest valued Player Contracts, tenders and Offer Sheets (as determined under this Section 6):

    (a)(i)(1)

    Any amount that exceeds the Minimum Active/Inactive List Salary for Undrafted Rookie Free Agents; and

    (a)(i)(2)

    Any amount that exceeds twice the applicable Minimum Active/Inactive List Salary for all other players.

    (a)(ii)Deferred Salary..

    Any Paragraph 5 Salary to be earned in a particular year but not to be paid until after the next League Year shall be considered “Deferred Salary” and will be included in Team Salary during the League Year earned at its present value based on the Discount Rate. Salary to be paid any time before the end of the League Year after it is earned shall not be considered Deferred Salary and will be included fully in the Team’s Salary during the year earned.

    (b)(i)Proration.

    The total amount of any signing bonus shall be prorated over the term of the Player Contract (on a straight-line basis, unless subject to acceleration or some other treatment as provided in this Agreement), with a maximum proration of five years, in determining Team Salary and Salary, except that:

    (b)(i)(1)

    Any contract year in which the player has the right to terminate based upon events within his sole control shall not be counted as a contract year for purposes of proration. In the event the NFL and the NFLPA cannot agree upon whether an option is within the player’s sole control, such issue shall be resolved by the Impartial Arbitrator.

    (b)(i)(2)“Deion Rule.”.

    For any multiyear Player Contract that extends into any year beyond the expiration of the express term of this Agreement, if (1) the sum of the player’s Paragraph 5 Salary, roster bonuses that are based upon the player making any of the Club’s roster categories without limitation, and reporting bonuses during all League Years of the contract within the express term of this Agreement (but, if there are fewer than three such remaining League Years, during the first three years of the contract) is in the aggregate less than (2) the portion of the contract’s signing bonus that would be allocated to those years if the signing bonus were prorated equally over the term of the contract, then: the difference between the amounts calculated pursuant to (2) and (1) of this sentence, up to 50% of the portion of the signing bonus that would otherwise be allocated to the years after expiration of the express term of this Agreement (the “Difference”), shall be deducted in equal portions from those years and reallocated in equal portions over the League Years of the contract within the express term of this Agreement (or, if there are fewer than three such League Years, within the first three years of the contract). For purposes of this Subsection only, a renegotiation shall be treated as if it is an entirely new Player Contract. The rule in this Subsection shall not apply to a Rookie Contract.

    (b)(i)(3)

    If a Player Contract provides for an increase in Salary upon the assignment of such contract to another NFL Team, such increase shall be included in the player’s Salary upon such assignment and be attributable to the Team paying the bonus.

    (b)(i)(4)

    Any signing bonus given in connection with a contract extension entered into before the expiration of the player’s existing contract will be prorated over the remaining years of the unexpired contract together with its extension. The player shall receive such a signing bonus at the time that the extension is executed, unless the player expressly agrees in the contract to defer payment of the extension bonus, in which case only the present value of the deferred payment, calculated using the Discount Rate, shall be prorated (unless the extension is executed within one year of the execution of the contract being extended, in which case the gross amount of the extension bonus shall be prorated).

    (b)(ii)(1)

    For any player removed from the Team’s roster, or whose Contract is assigned to another Club via waivers or trade, on or before June 1 in any League Year prior to the Final League Year, or at any time during the Final League Year, any unamortized signing bonus amounts will be included in Team Salary for such League Year, except that for each League Year preceding the Final League Year, each Club may designate up to two Player Contracts that, if terminated (i) on or after the first day of that League Year; and (ii) on or prior to June 1 and if not renegotiated after the last regular season game of the prior League Year, shall be treated (except to the extent prescribed by Section 6(d)(iv) below) as if terminated on June 2, i.e., the Salary Cap charge for each such contract will remain in the Club’s Team Salary until June 2, at which time its Paragraph 5 Salary and any unearned LTBE incentives will no longer be counted and any unamortized signing bonus will be treated as set forth in Subsection (2) below. If acceleration puts a Team over the Salary Cap, the Team will have seven days to conform with the Salary Cap, but may not sign any players until there is Room to do so under the Salary Cap.

    (b)(ii)(2)

    For any player removed from the Team’s roster or whose Contract is assigned via waivers or trade after June 1, except in the Final League Year, any unamortized signing bonus amounts for future years will be included fully in Team Salary at the start of the next League Year.

    (b)(ii)(3)

    In the event that a player who has had a signing bonus allocated over the years of his Player Contract is traded, or whose Contract is assigned to another team pursuant to the NFL’s waiver procedure, the Team Salary of the player’s new team will not include any portion of the signing bonus.

    (b)(ii)(4)

    Any contract year that the player has the right to terminate based upon a contingency shall count as a contract year for purposes of proration until the contingency is fulfilled, at which time any amounts attributed to such year shall be accelerated and included immediately in Team Salary (notwithstanding the foregoing, if the player has one or more rights to terminate based upon one or more not “likely to be earned” incentives and the player also being on the roster at a subsequent time, no acceleration shall occur until both the incentive(s) and the roster precondition(s) have been satisfied). To the extent that such acceleration would put the Team over the Salary Cap in a League Year prior to the Final League Year, the difference shall be charged to its Team Salary for the following year; to the extent that such acceleration would put the Team over the Salary Cap in the Final League Year, the Team will have seven days to conform with the Salary Cap, but may not sign any players until there is Room to do so under the Salary Cap.

    (b)(ii)(5)

    The unamortized portion of any signing bonus contained in an NFL Player Contract that is renegotiated to reduce the number of years of such Player Contract shall be included, to the extent attributable to such reduced year or years, in Team Salary at the time of the renegotiation.

    (b)(iii)Amounts Treated as Signing Bonuses.

    For purposes of determining Team Salary under the foregoing, the term “signing bonus” shall include:

    (b)(iii)(1)

    Any amount specifically described in a Player Contract as a signing bonus;

    (b)(iii)(10)

    Any salary advance which a player is not obligated to repay;

    (b)(iii)(11)

    Any amount of a Salary advance, offseason workout bonus, offseason roster bonus, or offseason reporting bonus that is guaranteed for skill, injury and Salary Cap terminations, on a non-contingent basis for all of the guarantees. (Notwithstanding Subsections (8)–(9) above, a Salary advance, offseason workout bonus, offseason roster bonus, or offseason reporting bonus that is guaranteed for skill, injury and Salary Cap terminations, but on a contingent basis for any of the potential guarantees, shall be included in Team Salary only in the League Year in which the bonus is earned by the player; e.g., in the case of an offseason roster bonus, in the League Year in which the player is required to be on the roster to earn the bonus. The rules set forth in this Subsection (11) shall not affect Salary Cap accounting for any other purpose.);

    (b)(iii)(12)

    In a Player Contract, or any renegotiation or extension of a Player Contract, that is executed in the Final League Year, each of the following, if it is to be earned or paid to the player in the season following the Final League Year: (a) any Salary advance which the player is not and cannot be obligated to repay; (b) any offseason workout bonus that is contingent upon the player’s participation in less than half of the Club’s offseason workout program; (c) any offseason roster bonus; and (d) any offseason reporting bonus;

    (b)(iii)(13)

    Any bonus to be paid to a player solely for fulfilling his obligations to play under his Player Contract without seeking to renegotiate and/or “holding out” (i.e., a “completion bonus”), and which bonus is otherwise guaranteed for skill and injury, except that the amount of any such completion bonus shall be calculated at its present value, computed using the Discount Rate. Further, if any event occurs which extinguishes the player’s right to receive such completion bonus, any amount of the bonus that has previously been included in Team Salary shall be immediately added to the Club’s Team Salary for the current League Year, if such event occurs prior to June 1, or for the next League Year, if such event occurs after such date, with the remainder of the bonus that has been allocated to Team Salary for future League Years immediately extinguished.

    (b)(iii)(14)

    Any relocation bonus which is individually negotiated between a player and a Club; and

    (b)(iii)(15)

    Any increase in a player’s Salary for the current League Year that occurs as a result of the renegotiation or extension of the player’s Contract in that League Year, if the NFL does not receive notice of the salary terms of such an executed extended or renegotiated contract prior to 4:00pm (New York Time) on the Monday of the tenth week of the regular season. Notwithstanding the above provisions or anything else in this Agreement, but subject to Section 6(d) below, any guaranteed Paragraph 5 Salary in a Player Contract, including but not limited to renegotiations or extensions of pre-existing Player Contracts, will not be treated as a signing bonus solely on the basis of the guarantee.

    (b)(iii)(2)

    Any guaranteed reporting bonus;

    (b)(iii)(3)

    Any consideration, when paid, or guaranteed, for option years, contract extensions, contract modifications, or individually negotiated rights of first refusal;

    (b)(iii)(4)

    Any option exercise fee or bonus, subject to the rule set forth in Section 7(c) below, and any option buyout amount, when paid or guaranteed;

    (b)(iii)(5)

    The difference between the Salary in the second contract year and the first contract year when Salary in the second contract year is less than half the Salary called for in the first year of such Contract;

    (b)(iii)(6)

    Any reporting bonus in the season of signing when a contract is signed after the start of training camp;

    (b)(iii)(7)

    Any roster bonus in the season of signing when a contract is signed after the last preseason game;

    (b)(iii)(8)

    Any salary advance paid on a guaranteed basis;

    (b)(iii)(9)

    Any guaranteed bonus tied to workouts;

    (b)(iv)Credit for Salary Forfeited or Refunded.

    In the event that a Club receives a refund from the player of any previously-paid Salary, or the Club fails to pay any previously allocated portion of a signing bonus (including any amount treated as signing bonus), such amount as has previously been included in Team Salary shall be credited to the Club’s Team Salary for the next League Year. For purposes of this Subsection, to the extent that they constitute reimbursement for previously paid Salary, insurance proceeds received by a Team as beneficiary to cover the player’s inability to perform services required by his Player Contract shall be deemed a “refund from the player” if (a) the Club or the player purchased the policy (b) the amounts covered by the policy are so specified in the Player Contract; and (c) the policy is made available for inspection upon request by the NFL or the NFLPA.

    (b)(v)(1)

    A Club may designate an amount of its current League Year Room (“Room”) to credit to its Team Salary for the next League Year by providing the NFL with written notice signed by the owner. The NFL must be in receipt of this notice prior to 4:00 pm New York Time (“NYT”) on the day following the Club’s final regular season game (“Carry Over Measuring Date”). The NFL shall promptly provide a copy of any such notice to the NFLPA.

    (b)(v)(2)

    This notice must identify the amount of the Club’s Room (expressed in dollars or as a percentage of its Room at the conclusion of the Club’s final regular season game) that the Club intends to Carry Over to the next League Year. In the event that a Club designates an amount exceeding its Room at the conclusion of the Club’s final regular season game, such notice shall be automatically amended to reflect the Club’s entire Room at that time.

    (b)(v)(3)

    If a Club provides such notice, then at 4:00 pm NYT on the Carry Over Measuring Date, there will be an additional charge to that Club’s current League Year Team Salary corresponding to the amount of Room it has designated to Carry Over to the next League Year. The Club will receive an equivalent credit to its Team Salary for the following League Year. (For example, and without limitation, if one week before its final regular season game a Club possessing $5 million in Room provides notice to the NFL of its intent to Carry Over $5 million in Room to the next League Year, and if at the conclusion of the Club’s final regular season game the Club has $4 million in Room, then the Club’s notice shall be automatically amended to reflect a $4 million designation. As a result, at 4:00 pm NYT on the Carry Over Measuring Date, the Club shall: (i) be charged $4 million to its current League Year Team Salary; (ii) have no Room for the remainder of the current League Year; and (iii) be credited $4 million to its Team Salary for the following League Year (i.e., increasing the Club’s Room in the following League Year). As another example, and without limitation, if one week before its final regular season game a Club possessing $5 million in Room provides notice to the NFL of its intent to Carry Over $5 million in Room to the next League Year, and if at the conclusion of the Club’s final regular season game the Club has $7 million in Room, then the Club’s notice shall not be amended and its designation shall remain $5 million. As a result, at 4:00 pm NYT on the Carry Over Measuring Date, the Club shall: (i) be charged $5 million to its current League Year Team Salary; (ii) have $2 million in Room; and (iii) be credited $5 million to its Team Salary for the following League Year. Alternatively, if the same Club had designated 100% of its Room to Carry Over (rather than $5 million), then it would instead: (i) be charged $7 million to its current League Year Team Salary; (ii) have no Room for the remainder of the current League Year; and (iii) be credited $7 million to its Team Salary for the following League Year.)

    (b)(v)(4)

    The amount of any Room Carry Over pursuant to this Section shall be taken into account in the year-end netting of incentives described in Section 6(c)(ii) and (iii) of this Article.

    (b)(v)(5)

    Nothing in this Section shall affect the Guaranteed League-Wide Cash Spending or Minimum Team Cash Spending provisions set forth in Article 12.

    (c)(i)

    Any and all incentive amounts, including but not limited to performance bonuses, shall be included in Team Salary if they are “likely to be earned” during such League Year based upon the player’s and/or Team’s performance during the prior year. In the case of a Veteran who did not play during the prior season, in the event that the NFL and the NFLPA cannot agree as to whether such performance bonus is “likely to be earned,” such disputes shall be referred to the Impartial Arbitrator. Any incentive in year one of a Rookie Contract (as described in Article 7, Section 6) shall be deemed “likely to be earned.” Any incentive within the sole control of the player (e.g., non-guaranteed reporting bonuses, offseason workout and weight bonuses) shall be deemed “likely to be earned.”

    (c)(ii)

    At the end of a season, if performance bonuses actually earned resulted in a Team’s paying Salary in excess of the Salary Cap, then the amount by which the Team exceeded the Salary Cap as a result of such actually paid performance bonuses shall be charged to the Team’s Team Salary for the next League Year (i.e., reducing the Club’s Room in the next League Year). For the purposes of this Subsection, the Team’s Room at the end of the season shall reflect any charge to its Team Salary in the current League Year resulting from its election to Carry Over Room to the next League Year pursuant to Article 13, Section 6(b)(v).

    (c)(iii)

    At the end of a season, if performance bonuses previously included in a Team’s Team Salary but not actually earned exceed performance bonuses actually earned but not previously included in Team Salary, an amount shall be credited to the Team’s Team Salary for the next League Year equaling the amount, if any, by which such overage exceeds the Team’s Room under the Salary Cap at the end of a season (i.e., increasing the Club’s Room in the next League Year). For the purposes of this Subsection, the Team’s Room at the end of the season shall reflect any charge to its Team Salary in the current League Year resulting from its election to Carry Over Room to the next League Year pursuant to Article 13, Section 6(b)(v). (For example, and without limitation, if a Club carries over 100% of its Room pursuant to Article 13, Section 6(b)(v), then for purposes of this Subsection the Club’s Room under the Salary Cap at the end of the season shall be zero and the entire amount by which performance bonuses previously included in Team Salary but not actually earned exceed performance bonuses actually earned but not included in Team Salary shall be credited to the Club’s Team Salary for the next League Year (i.e., increasing the Club’s Room in the next League Year, in addition to any Room Carry Over pursuant to Article 13, Section 6(b)(v)).

    (c)(iv)

    Any team performance will be automatically deemed to be “Likely to be earned” if the Team met or exceeded the specified performance during the prior League Year, and will be automatically deemed to be “not likely to be earned” if the Team did not meet the specified performance during the prior League Year.

    (c)(v)

    Any incentive bonus that depends on team performance in any category not identified in Exhibit A hereto is prohibited.

    (c)(vi)

    Any incentive bonus that depends on a player’s individual performance in any category not identified in Exhibit B hereto is prohibited.

    (c)(vii)

    Any incentive bonus that depends on a player’s individual performance in categories other than those used to assess performance at the player’s primary position is prohibited.

    (c)(viii)

    Any incentive bonus based on a player receiving Honors or Media Recognition not listed in Exhibit C hereto is prohibited.

    (c)(ix)

    Any incentive bonus for special teams playtime is prohibited unless the player participated in at least 50% of the Club’s special teams plays in the immediately prior regular season.

    (c)(x)

    Any player whose primary position is on offense cannot have an incentive bonus that depends on team performance on defense (or special teams), unless such player played in 15% or more of the Club’s defensive (or special teams) in the prior season (pro rating participation in the event of games missed due to injury). Any player whose primary position is on defense cannot have an incentive bonus that depends on team performance on offense (or special teams), unless such player played in 15% or more of the Club’s offensive (or special teams) plays in the prior season (pro rating participation in the event of games missed due to injury).

    (c)(xi)

    Official National Football League statistics as provided by the NFL shall be utilized in determining whether a player has earned any incentive described in Exhibit A or B. All such statistics are final and their validity is not subject to challenge. Copies of such statistics, and the methodology upon which they are calculated shall be provided to the NFLPA promptly after receipt. If the NFL discontinues using an outside entity to provide official NFL statistics, the parties shall revisit this issue.

    (EXHIBIT A)
    TEAM INCENTIVES
    OFFENSEDEFENSESPECIAL TEAMS
    Points scored by TeamPoints allowed by TeamOwn punt return average
    Touchdowns scored by TeamTouchdowns allowed by TeamOwn kickoff return average
    Total offense (net yards)Total defense (net yards)Opposition punt return average
    Average net yards gained per rushing playAverage net yards allowed per rushing playOpposition kickoff return average
    Average net yards gained per passing playAverage net yards given up per passing play 
    Sacks allowedSacks  
    Passing % completedInterceptions 

    ALL
    Wins
    Playoffs
    Conference Championship
    Super Bowl
    Touchdowns on returns and recoveries
    Net difference takeaways/giveaways

    (EXHIBIT B)
    INDIVIDUAL INCENTIVES

    RUSHING
    Total yards
    Average yards (100 attempts)
    Touchdowns

    PASSING
    Passer rating (224 attempts)
    Completion percentage (224 attempts)
    Interception percent (224 attempts)
    Total yards Yards per pass (224 attempts)
    Touchdown passes

    RECEIVING
    Total receptions
    Total yards
    Average yards (32 receptions)
    Touchdowns

    DEFENSE
    Interceptions
    Interception return yards
    Touchdowns on interception returns
    Opponent fumble recoveries
    Opponent fumble return yards
    Touchdowns on opponent fumble returns
    Sacks

    PUNT RETURNS
    Total yards Average (20 returns)
    Touchdowns

    KICKOFF RETURNS
    Total yards Average (20 returns)
    Touchdowns

    PUNTING
    Gross average (40 punts)
    Net average (40 punts)
    Inside 20-yard line

    PLACE KICKING
    Total points
    Field goals
    Field goal percentage (16 attempts)
    Field goal percentage 0-19 yards (4 attempts)
    Field goal percentage 20-29 yards (4 attempts)
    Field goal percentage 30-39 yards (4 attempts)
    Field goal percentage 40-49 yards (4 attempts)
    Field goal percentage 50 yards or longer (3 attempts)

    OTHERS
    Roster bonuses
    Reporting bonuses
    Playtime bonuses (excluding special teams)
    Special teams playtime

    (EXHIBIT C)
    HONORS AND RECOGNIZED MEDIA

    VETERAN HONORS
    PRO BOWL
    ALL NFL (First and Second Team)
    ALL CONFERENCE (First and Second Team)
    SUPER BOWL MVP (ROZELLE TROPHY)
    NFL MVP
    OFFENSIVE PLAYER OF YEAR — NFL OR CONFERENCE
    DEFENSIVE PLAYER OF YEAR — NFL OR CONFERENCE
    PLAYER OF YEAR — NFL OR CONFERENCE

    VETERAN MEDIA
    ASSOCIATED PRESS
    PRO FOOTBALL WRITERS OF AMERICA
    SPORTING NEWS
    SPORTS ILLUSTRATED

    (c)(xii)

    Any team performance-related incentive will be revalued under the “likely to be earned” rules if the contract is assigned to a new Team through trade or waiver.

    (c)(xiii)

    Any renegotiated contract will be revalued at the time of the renegotiation. Thus, if at the time of the renegotiation, the conditions for an incentive bonus have already been satisfied, that bonus will be deemed “likely to be earned.” Any new or altered incentive bonuses renegotiated in a preexisting contract after the start of the regular season in which they may be earned automatically will be deemed “likely to be earned” during that season.

    (c)(xiv)

    Any incentive bonus based upon another player’s performance is prohibited.

    (c)(xv)

    Any incentive bonus based on the team’s performance automatically will be deemed “likely to be earned” if it sets a minimum level of statistical performance that is equal to or lower than that achieved by the team finishing fifth from the bottom in the League in the applicable category during the previous season. For example, an incentive bonus based on a team winning at least a specified number of games will be evaluated by determining whether this number of wins was equal to or lower than that achieved by the team that was fifth from the bottom of the League in wins during the previous season. Conversely, any incentive bonus based on the team’s performance automatically will be deemed “not likely to be earned” if it sets a minimum level of statistical performance that is equal to or higher than that achieved by the team finishing fifth from the top of the League in the applicable category during the previous season.

    (c)(xvi)

    Any incentive bonus that is based upon the team achieving a particular ranking in its performance relative either to other teams in the League, or to other teams in its Conference, automatically will be deemed “likely to be earned” if it sets a ranking level equal to or lower than fifth from the bottom of the League or third from the bottom of the Conference, respectively. For example, an incentive bonus that is based on a team finishing 28th in the League in total offense will be deemed “likely to be earned” in a League consisting of 32 teams; similarly, an incentive bonus based on a team finishing 14th in its Conference will be deemed “likely to be earned” in a Conference consisting of 16 teams. Conversely, any incentive bonus that is based upon the team achieving a particular ranking in its performance relative either to other teams in the League, or to other teams in its Conference, automatically will be deemed “not likely to be earned” if it sets a ranking level equal to or higher than fifth from the top of the League or third from the top of the Conference, respectively.

    (c)(xvii)

    Any incentive bonus based on the team’s ranking in its Division automatically will be deemed “likely to be earned.”

    (c)(xviii)

    In any Player Contract signed by a player other than a Rookie, if more than three different team performance categories are included as incentives, covering the Final League Year or thereafter, all but the three incentives with the lowest dollar value automatically will be deemed “likely to be earned.” In addition, any team performance bonus for a player other than a Rookie covering the Final League Year or thereafter automatically will be deemed “likely to be earned” unless coupled with a playtime requirement equal to or greater than the player’s actual playtime during the year prior to the execution of the new Player Contract. If the latter requirement is satisfied, a determination of whether the incentive is “likely to be earned” will be made pursuant to Section 6(c)(i). The calculation of these playtime requirements shall exclude special teams plays.

    (c)(xix)

    Any incentive bonus that is stated in terms of a per play or per game occurrence automatically will be deemed “likely to be earned” to the extent the specified performance was achieved by the player (if an individual incentive) or by the team (if a team incentive) in the previous year.

    (c)(xx)

    Any incentive bonus to a kicker or punter for leading his team in any kicking or punting category automatically will be deemed “likely to be earned.”

    (c)(xxi)

    Any portion of an incentive bonus that is earned, but which had not been deemed likely to be earned, will be deemed earned at the end of the season and not immediately upon attainment of the required performance level except: (1) roster or reporting bonuses stated in terms of a per game or per event occurrence; (2) if the incentive bonus is actually paid before the end of the season, in which case it will count when paid; (3) if a player leaves the team’s roster prior to the end of the season and the conditions of the incentive clause are satisfied prior to leaving, in which case the entire value of the earned bonus will count immediately; or (4) if the contract is renegotiated and the incentive has been earned prior to such renegotiation. Without limitation to other examples, the following examples demonstrate the application of this Subsection:

    Example 1: If a player’s contract states that the player will receive $1,000 for each rushing touchdown scored by the player during the 2021 regular season, and the player scored five rushing touchdowns during the 2020 regular season, $5,000 will automatically be deemed “likely to be earned” and will be charged to the Club’s 2021 Team Salary on the first day of the 2021 League Year. If the player scores more than five rushing touchdowns during the 2021 regular season, $1,000 for each additional rushing touchdown scored will be deemed earned at the end of the 2021 regular season and not immediately upon achievement by the player, unless one of the conditions stated in Subparagraphs (2)-(4) of this Subsection applies.

    Example 2: If a player’s contract states that the player will receive $1,000 for each game during the 2021 regular season for which the player is on the Club’s 48-Player Roster, and the player was on a Club’s 48-Player Roster for three games during the 2020 regular season, $3,000 will automatically be deemed “likely to be earned” and will be charged to the Club’s Team Salary on the first day of the 2021 League Year. If the player is on the Club’s 48Player Roster for more than three games during the 2021 regular season, $1,000 for each such additional game will be deemed earned immediately upon achievement and will be charged to the Club’s 2021 Team Salary at that time.

    Nothing in this subsection is intended to, or shall operate to, add to, subtract from, or alter in any way the provisions of Section 6(c)(xix) of this Article.

    (c)(xxii)

    Any incentive bonus which a player and a Club agree to that: (i) depends upon performance in any category not identified in Exhibit A or Exhibit B; and (ii) is stated in terms of per play, per event or per game, or for leading or any ranking on the Club in any such category; shall be prohibited.

    (c)(xxiii)

    Any roster bonus which is deemed not “likely to be earned” based upon the player’s performance during the prior year shall immediately be included in Team Salary when earned. Preseason roster bonuses are automatically deemed “likely to be earned.”

    (c)(xxiv)

    Any incentive bonus (or portion thereof) that is earned during the Final League Year, but which had not been deemed likely to be earned during that League Year, will be deemed earned and counted against the Salary Cap immediately upon attainment of the required performance level. Conversely, any incentive bonus (or portion thereof) that had been deemed likely to be earned during the Final League Year will be immediately credited toward the Salary Cap if the required performance level should, during the course of the Final League Year, become impossible for the player to attain.

    (c)(xxv)

    To determine the value of an incentive clause for Salary Cap purposes, under either Subsection (xxi) or (xxiv) above, such incentive clauses will be valued using the Club’s performance in the prior season in lieu of the Club’s current season performance. Thus, for example, if a Club had 1,000 offensive plays “last season,” and an incentive clause were tied to a player’s participating in 50 percent of the Club’s offensive plays “this season,” the incentive would be deemed earned, for Salary Cap purposes only, as of the time the player participated in 500 offensive plays. Similarly, such an incentive would be deemed not earned, for Salary Cap purposes only, as of the time the player had not participated in a sufficient number of offensive plays so that the player could not achieve the incentive based on last year’s performance (e.g., had participated in only one of the Club’s 502 offensive plays). Nothing herein, however, shall affect the player’s contractual right to receive or not receive the specified incentive, based upon the performance level actually achieved during that year.

    (c)(xxvi)

    Other than in the Final League Year, if more than eight different team performance categories are included in a Player Contract signed by a Veteran as incentives, all but the eight incentives with the lowest dollar value automatically will be deemed “likely to be earned.” See Subsection (xxviii) regarding the calculation of the number of team performance categories.

    (c)(xxvii)

    Subsection (xxvi) above does not supersede the terms of any other provisions or other agreements between the parties that automatically deem certain performance incentives to be “likely to be earned” depending upon whether the incentive fulfills other specified criteria.

    (c)(xxviii)

    For purposes of determining the number of team performance incentives, any reference to a performance category listed in Exhibit A as a criterion (whole or partial) for an incentive shall count as a separate team performance incentive (e.g., a Player Contract for an offensive lineman that provides for an incentive if the team leads the Conference in average net yards gained per rushing play, or if the team improves its Conference ranking in average net yards gained per rushing play, or if the team leads the Division in average net yards gained per rushing play counts as having three team performance incentives); provided, however, that purely conjunctive combinations of performance categories shall be counted as one performance category (e.g., an incentive clause reading, “if A and B and C, then player will receive $X” shall be counted as one performance category). (For the avoidance of doubt, and without limitation, each of the following examples (1) and (2) would be counted as having three team performance incentives: (1) Player has 35% defensive playtime and team: (a) has one more sack than it had in the prior season; or (b) improves its ranking in sacks in the conference; or (c) improves its ranking in sacks in the league; (2) If team has one more sack than it had in the prior season, then player will earn the following on a cumulative basis: (a) $100,000 for 35% defensive playtime; (b) $200,000 for 50% defensive playtime; and (c) $300,000 for 70% defensive playtime.)

    (d)Guaranteed Contracts.

    Any portion of Salary for which a Team guarantees payment for all of skill, injury, and, if applicable, Salary Cap-related termination shall be included in Team Salary during the year earned, except that:

    (d)(i)

    Salary that is guaranteed for both skill and injury-related termination in any year after the Final League Year shall be reallocated into the remaining League Years of the contract that are within the express term of this Agreement in a proportion to be determined by the Club if payment of the player’s entire Salary for the Final League Year is not guaranteed for all of skill, injury, and Salary Cap-related termination. For example, without limitation on any other applicable example, if a player enters into a four-year Player Contract in the 2029 League Year, and if the Salary for the 2030 League Year is not guaranteed for all of skill, injury, and Salary Cap-related termination, then the full amount of any Salary for the 2031 or 2032 seasons that is guaranteed for both skill and injury-related termination shall be included in Salary and Team Salary for the 2029 and 2030 League Years in a proportion to be determined by the Club.

    (d)(ii)

    Fifty percent (50%) of any Salary for a season more than three years after the Final League Year that is guaranteed for both skill and injury-related termination shall be reallocated into Salary and Team Salary into the remaining League Years of the contract within the express term of this Agreement in any manner the Club chooses.

    (d)(iii)

    If any Player Contract provides for yearly Salary in a sequence that, in the Final League Year or later, is guaranteed for both skill and injury-related termination, then unguaranteed for either such termination, and then guaranteed again for both such termination, the amount guaranteed after the first such unguaranteed year will be allocated into Salary and Team Salary over the League Years of the contract within the express term of this Agreement in any manner the Club chooses.

    (d)(iv)

    Any portion of Salary guaranteed for any period after a player is released for a reason covered by the guarantee (e.g., future years’ guaranteed Salary, when the player is released for a reason covered by the guarantee) shall be immediately included in Team Salary at the time of his release at its present value rate calculated using the Discount Rate. To the extent that such inclusion puts the Team over the Salary Cap, the rule set forth in Subsection 6(b)(ii)(1) above, shall apply.

    (e)(i)Loans.

    The principal amount of any loan made, guaranteed, or collateralized by a Club or its Club Affiliate to a player shall be included in Team Salary. However, when a player pays back any portion of the principal amount of any such loan, such amount will be credited to the Club’s Team Salary to the extent previously included in Team Salary.

    (e)(ii)

    A fraudulent agreement pursuant to which the player and the Club claim that the player has received a “loan” from the Club, when in fact there is no bona fide loan and the player is merely holding the money for the Club so that he can purport to “repay” the Club during a subsequent Capped Year (and thereby transfer a credit to the Club’s Team Salary for that year), constitutes an improper circumvention of the Salary Cap in violation of Subsection 6(e)(i) above.

    (e)(iii)Salary Advances.

    Except as provided in Subsection 6(b)(iii) above, the full amount of any Salary advance paid to a player will be included immediately in Salary and Team Salary.

    (e)(iv)(1)

    The fair market value of all non-cash provisions (e.g., automobiles, houses, insurance policies) shall be included in Team Salary during the year in which such provision is made. If the parties cannot agree on the fair market value of such provisions, such dispute will be submitted to the Impartial Arbitrator.

    (e)(iv)(2)

    Any tangible item of value provided to unsigned players (or their affiliates) recruited by Clubs will be included in Salary. Reasonable travel cost, lodging and entertainment, incurred in connection with recruiting an unsigned player (or his affiliate) at a Club facility or Club geographic area will not be included in Team Salary or Benefits. Miscellaneous costs associated with recruiting unsigned players but not paid to players (or their affiliates) are not included as part of Salary or Benefits, except as set forth above.

    (e)(iv)(3)

    Expenses for travel, board and lodging for a player participating in an offseason workout program or classroom instruction shall not be included in Salary or Team Salary, so long as such expenses are reasonable and customary and generally offered to all players by that club. Any such expenses in excess of reasonable and customary levels, or not generally offered to all players by that Club, shall immediately be included in Salary and Team Salary.

    (e)(iv)(4)

    The voluntary provision to all players on a Club of meals, team apparel, or one team trip for celebrations in each League Year (plus any trips to the White House for the Super Bowl Champions) will not be included in Team Salary or Player Costs. This Subsection does not affect the treatment of consideration paid to a player for services other than football playing services, as provided in Section 4(b) above.

    (e)(iv)(5)

    Except as provided in Subsections 6(e)(iv)(2)–(4) above, if any money or tangible item of value is provided by any Club to any player (or his affiliate) not pursuant to this Agreement or a Player Contract, the value of the money or item shall immediately be included in Salary and the Team Salary of the Club making such provision. This Subsection does not apply to consideration paid to a player (or his affiliate) for nonfootball playing services, which are subject to Section 4(b) above.

    (e)(iv)(6)

    If a Club provides one or more gifts to a player during the term of the player’s Player Contract to commemorate the player’s retirement, and the player has been under contract with the Club in three or more seasons, the fair market value of such gifts up to $15,000 shall not be counted as Salary, and any excess fair market value above $15,000 shall be counted as Salary. Notwithstanding the previous sentence, if the player has been under contract with the Club in less than three seasons, the entire fair market value of any such gifts shall be counted as Salary.

    (e)(iv)(7)

    Without limiting Subsection (4) above or any other provision of this Agreement, each Club participating in the Super Bowl may elect to provide its players with a gift or gifts, the value of which shall not, in the aggregate, exceed a manufacturer’s suggested retail price (less an imputed discount of 10%) of $1,350 in the 2020 League Year, increasing $50 per League Year thereafter. The total amount of such gifts provided to players shall be charged to the Club’s Team Salary for that League Year (or, if the Club does not have adequate Room to absorb the full charge, then the difference shall be carried over and charged to the Club’s Team Salary for the following League Year). The Club shall provide the Management Council and the NFLPA with a description of the gifts provided, proof of the manufacturer’s suggested retail price, and a list of the players receiving the gift. The terms of this Subsection shall not affect in any way the status or any treatment of Super Bowl rings provided to players, and this Subsection may not be referred to in any dispute regarding such rings.

    (e)(v)Annuities.

    The cost to the Team of any annuity provided to any player (but not including any annuity provided pursuant to the Player Annuity Program described in Article 55), computed at the one-year Treasury Note rate on February 1 of the applicable League Year, shall be included immediately in Team Salary.

    (f)(i)

    In the event that a Player Contract is assigned to another NFL Team, either by trade or pursuant to the NFL’s waiver procedure, the assignee Team will count as part of its Team Salary only that portion of the player’s Salary which remains unpaid and for which the Team may be obligated. The assignor Team will continue to count as part of its Team Salary only that portion of the player’s Salary which has already been paid by the Team and/or any Salary for which the Team remains obligated.

    (f)(ii)

    Subject to the requirements of Article 9, Section 3(h) of this Agreement, a Club is not required to have Room to execute a Player Contract with a player who is subject to any Required Tender permitted by Articles 8, 9, or 10 of this Agreement at the time the Player Contract is executed if the player is assigned to another Club via a trade on the same business day as the execution of the contract, and the assignee Club has or makes Room for such Player Contract.

    (g)Mid-Season Contracts.

    In the event that a player enters into a Player Contract after the first scheduled game of the regular season, a Team will only count as part of Team Salary that portion of the player’s Salary which it might actually pay or might be obligated to pay that season.

  • Section 7. 30% Rules
    (a)

    No NFL Player Contract extending into a season beyond the Final League Year may provide for an annual increase in Salary, excluding any amount attributable to a signing bonus as defined in Section 6(b)(iii) above, of more than 30% of the Salary provided for in the Final League Year, per year, either in the season after the Final League Year or in any subsequent season covered by the Player Contract. The 30% Rule set forth in this paragraph shall not apply to any Rookie Contract referred to in Article 7 of this Agreement, including without limitation, with respect to Rookie Salary, the Proven Performance Escalator described in Article 7, Section 4; the Performance Incentive described in Article 7, Section 6; and the Fifth-Year Option for First Round Selections described in Article 7, Section 7. Notwithstanding the preceding sentence, the 30% Rule set forth in this paragraph shall apply to any renegotiated or extended Player Contract that is permissible under Article 7, Section 3(k) and that such Player Contract shall not be subject to the rules that limit Rookie Contracts.

    (b)

    Any amount which a Club may pay to a player to buy out a right the player has or may have to terminate one or more contract years shall be treated as signing bonus at the time the buyout is exercised by the Club, and prorated at that time over the remaining term of the contract, including the current League Year, if the right to terminate and/or the right to buyout is based upon one or more incentives that are not “likely to be earned.” Such a buyout amount shall not be included in any calculation for purposes of the 30% Rule, set forth above. (The parties acknowledge a disagreement as to the treatment of allocated signing bonus and buyout payments when a player’s right to terminate one or more contract years and/or the Club’s right to buyout is based upon one or more incentives that are “likely to be earned,” and not upon any incentives that are not “likely to be earned.” These issues are expressly left open. Except to enforce the terms of this Subsection (b), the terms of this Subsection may not be referred to or used by any of the parties in any proceeding, or otherwise, and the parties otherwise reserve all their rights with respect to the subject of this parenthetical.).

    (c)

    Any amount specified to be paid for the exercise of an option by a Club to extend the term of a Player Contract shall be treated as signing bonus, prorated over the remaining term of the contract commencing in the League Year in which it is exercised or the last League Year in which the option may be exercised, whichever comes first. Such an option amount shall, immediately upon execution of the contract, renegotiation or extension, be included in any calculation for purposes of the 30% Rule, set forth above, prorated over the remaining term of the contract commencing in the last League Year in which the option may be exercised. Notwithstanding the foregoing: (i) if a Club renounces its right to exercise the option, the option amount shall not be included in Team Salary as of the date of such renunciation; and (ii) if the club does not renounce, but nonetheless does not exercise the option, the full amount of the option amount previously counted against Team Salary shall be credited to the Club’s Team Salary in the next League Year.

  • Section 8. Renegotiations and Extensions
    (a)

    Provided that all Salary Cap requirements are met, Player Contracts for current and future years may be renegotiated and/or extended except as follows:

    (a)(i)

    The contract of a Veteran Player may not be renegotiated to increase the Salary to be paid to the player during the original terms of the contract for a period of twelve months after the player’s most recent contract renegotiation. The first renegotiation of a Veteran Player Contract, however, may take place at any time.

    (a)(ii)

    No Team and player may agree to renegotiate any term of a previously signed Player Contract for a prior League Year.

    (a)(iii)

    No contract renegotiations may be done for a current season after the last regular season game of that season

    (a)(iv)

    A Player Contract signed by a Rookie may not be renegotiated except as provided in Article 7.

    (b)

    No Player Contract, and no contract renegotiation or extension, may be agreed to between a Player and a Club for any term that expires prior to the last day of a League Year. All rights by a player to terminate a Player Contract must be exercised prior to the first day of any League Year to be terminated.

    (c)

    Any agreement to compensate a player at the minimum amount set forth in Article 21 for participation in an offseason workout program or classroom instruction shall not be treated as a renegotiation of a Player Contract. Any agreement to compensate a player for such participation above such amount shall be treated as a renegotiation. All such agreements shall be set forth in writing and promptly filed with the League Office.

    (d)

    Any salary deferral agreed to by club and player which does not affect the player’s Salary for purpose of the Salary Cap and Rookie Compensation Pool shall not be treated as a renegotiation.

    (e)

    An amendment to a Player Contract that changes the terms under which signing bonus is paid is a renegotiation.