A Mika Zibanejad buyout spans 12 years, has a cost of $4,000,000 and savings of $2,000,000. Zibanejad is 31 years of age at the time of the buyout; therefore, the buyout ratio is 2/3. With $6,000,000 in salary remaining, the cost is $4,000,000, and the savings are $2,000,000. Buyouts span twice the length of the remaining years and because there are 6 years remaining in the contract, the buyout length is 12 years. The buyout cap hit is displayed in the Cap Hit Calculations table below.
Cost Calculations
BUYOUT DATE | BASE SALARY REMAINING | S.BONUS REMAINING | YEARS REMAINING | BUYOUT LENGTH | AGE | BUYOUT RATIO | TOTAL COST | TOTAL SAVINGS | ANNUAL COST |
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Jun. 15, 2024 | $6,000,000 | $44,000,000 | 6 | 12 | 31 | 2/3 | $4,000,000 | $2,000,000 | $333,333 |
Cap Hit Calculations
SEASON | INITIAL BASE SALARY | INITIAL CAP HIT | SIGNING BONUS | BUYOUT COST | POST-BUYOUT EARNINGS | SAVINGS | CAP HIT (NYR) |
2024-25 | $1,000,000 | $8,500,000 | $9,500,000 | $333,333 | $9,833,333 | $666,667 | $7,833,333 |
2025-26 | $1,000,000 | $8,500,000 | $9,000,000 | $333,333 | $9,333,333 | $666,667 | $7,833,333 |
2026-27 | $1,000,000 | $8,500,000 | $7,500,000 | $333,333 | $7,833,333 | $666,667 | $7,833,333 |
2027-28 | $1,000,000 | $8,500,000 | $6,750,000 | $333,333 | $7,083,333 | $666,667 | $7,833,333 |
2028-29 | $1,000,000 | $8,500,000 | $5,750,000 | $333,333 | $6,083,333 | $666,667 | $7,833,333 |
2029-30 | $1,000,000 | $8,500,000 | $5,500,000 | $333,333 | $5,833,333 | $666,667 | $7,833,333 |
2030-31 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2031-32 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2032-33 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2033-34 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2034-35 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
2035-36 | $0 | $0 | $0 | $333,333 | $333,333 | -$333,333 | $333,333 |
TOTAL | $6,000,000 | $51,000,000 | $44,000,000 | $4,000,000 | $48,000,000 | $2,000,000 | $48,999,996 |