Last year brought an earlier resolution on the salary cap front. The $224.8MM figure emerged in late January, but it is not out of the ordinary for the process to take longer to produce a number. A slower run-up is transpiring this year.
In December, we heard teams were expecting the cap to check in around $240MM. Teams’ internal projections at that point were going on a salary ceiling between $235-$240MM. It looks like clubs are now expecting that number to be a bit higher; a year-to-year increase of more than $20MM may now be in play.
After indicating an expectation the 2024 cap would be north of $243MM, Pro Football Talk’s Mike Florio added the number will likely veer closer to $250MM. This would be approaching a historic one-year increase.
The previous record came between the 2021 and ’22 offseasons, and extraordinary circumstances drove that. After the COVID-19 pandemic led to the second-ever cap decrease, the 2022 number ($208.2MM) came in $26MM higher than the 2021 ceiling. Flirting with that type of increase under more normal circumstances would be an interesting development for the league.
The NFL and NFLPA negotiate the salary cap, and Florio adds the league may be attempting to enact a more gradual increase from the 2023 number. The March 2021 TV agreements, along with money coming in from gambling partnerships, will factor into this year’s salary cap. The YouTube TV seven-year “NFL Sunday Ticket” agreement, worth more than $2 billion, will impact future caps as well.
Once the 2024 salary ceiling emerges, matters like franchise tag numbers and RFA tenders — along with fifth-year option prices for the 2021 first-rounders — will crystallize. The cap has only climbed by $20MM-plus in a year once, and it has only jumped more than $15MM twice (last year and in 2006, when a new CBA was ratified).
Illustrating the league’s growth, the 2024 cap is expected to reside more than $110MM above where it stood in 2014. Here is how the salary cap has climbed over the past two CBAs:
- 2011: $120.4MM
- 2012: $120.6MM
- 2013: $123.6MM
- 2014: $133MM
- 2015: $143.3MM
- 2016: $155.3MM
- 2017: $167MM
- 2018: $177.2MM
- 2019: $188.2MM
- 2020: $198.2MM
- 2021: $182.5MM
- 2022: $208.2MM
- 2023: $224.8MM
Is this a question or a statement
$50 million for QB and $200 million for rest of the team.
Basically
Sounds like a great bargain when compared to the $700MM the Dodgers gave Ohtani…lol
50 mil of that is being deferred and invested. by the time the Dodgers finish paying him his money they will basically have gotten him for free. LOL
Hardly. Deferred or not they are paying him $700million. There is no possible way a $50million dollar investment will yield $700million over the next twenty years. It’s also a tax dodge for Ohtani, who will no longer live in CA when that money is earned. Tax dodgers and small investment doesn’t equate to getting a guy for free.
Good news for the Saints
This article is framed around league growth, but does not mention how much total revenue the league had in each year along side the indicated salary cap. Is the league actually growing or is the percentage of revenue going towards the players increasing? Without more data this is a pointless article.
It would be a pointless article if this was a sports business site but PFR is not attempting to be that. The percentage of revenue going to players was negotiated during the last CBA. The cost of obtaining an NFL franchise keeps escalating so that would be a good indication that the revenue generated for the league continues to grow accordingly. Of course the NFLs greed can never truly be satisfied which is why Goodell keeps pushing his agenda for expansion into foreign markets.
The league is growing exponentially….
The league broadcast revenue that is largely based on viewers has increased in almost every category. This is well documented and becoming known as “The Taylor Swift Effect”.
The other major area of growth, as we all know, is gambling. The league has benefited from the ongoing spike in gambling money, with the “tri-exclusive” partnership with DraftKings, FanDuel, and Caesers, along with the “secondary deals” with BetMGM, WynnBet, FoxBet, and PointsBet.
I believe Highwaymenace wanted to see specific numbers pertaining to revenue included in the article. They are out there if you do some digging but the NFL generally doesn’t want to advertise to the public how insatiable their greed is.
According to sportico the goal is to achieve $25 Billion by 2027. According to Forbes and S&P the gambling earnings this year were 10.92 Billion, with $2.3 Billion in the 2nd quarter alone.
link to sportico.com
https://www.forbes.com/sites/danirvine/2023/09/13/2023-nfl-season-has-fans—and-sports-betting-stocks—in-a-frenzy/?sh=372d57803dac
Thanks for that info. The GDP of Bosnia in 2022 didn’t even reach the $25 Billion level so that gives you an idea of the profits the NFL are raking in.
That is a beyond sobering fact.