NFL Collective Bargaining Agreement

Article 13
Salary Cap Accounting Rules

Section 6(d)(iv)
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:


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.