How do vet minimum contracts count in cap

[clydewally]

I know teams over the cap can freely add vet minimum players. But if they are under the cap can they exclude those vet minimum contacts already in place when calculating available cap room?

[Smitty731]

I know teams over the cap can freely add vet minimum players. But if they are under the cap can they exclude those vet minimum contacts already in place when calculating available cap room?

No. They count either as their minimum amount (rookie minimum and 1 YOS minimum) or at the 2 YOS minimum (regularly called the Veteran Minimum) for players with 2 or more YOS. So, if a team signs, or already has under contract, a player for the Veteran Minimum, that amount counts towards any cap space calculations.

This is why if a team is signing a player for the minimum AND also using cap space, they'll wait to complete the minimum signing until all their cap space has been used. The exception is mostly regarding rookies who a team wants to give more than a two-year contract to, as the minimum exception only allows for two-year contracts.

FWIW, this is why whenever a team is planning to use the minimum exception or the room exception, they use their cap space first. As the exceptions, as the name implies, allow you to exceed the cap to sign the player(s).

[DBoys]

I know teams over the cap can freely add vet minimum players. But if they are under the cap can they exclude those vet minimum contacts already in place when calculating available cap room?

No. They count either as their minimum amount (rookie minimum and 1 YOS minimum) or at the 2 YOS minimum (regularly called the Veteran Minimum) for players with 2 or more YOS. So, if a team signs, or already has under contract, a player for the Veteran Minimum, that amount counts towards any cap space calculations.

This is why if a team is signing a player for the minimum AND also using cap space, they'll wait to complete the minimum signing until all their cap space has been used. The exception is mostly regarding rookies who a team wants to give more than a two-year contract to, as the minimum exception only allows for two-year contracts.

FWIW, this is why whenever a team is planning to use the minimum exception or the room exception, they use their cap space first. As the exceptions, as the name implies, allow you to exceed the cap to sign the player(s).

I agree with all of this, great job Smitty!, except one part needs to be clarified.

The salary cap hit on a minimum salary player with more than 2 YOS does not always get reduced to the 2 YOS number. Such a player's salary is counted as a smaller number if (and only if) the league is reimbursing the team for some of the contract. What is counted is the amount that the team pays, and such reimbursements do not happen on multi-year minimum salary deals (even if they are in the final year of that deal).

It should be noted that the online salary charts researched and provided by Smitty and others (such as Basketball Insiders) will show the amount the team is paying, not the entire salary, in such a situation. So when using their numbers, you don't have to go try to figure out if there's an adjustment needed on certain salaries.

[Smitty731]

I know teams over the cap can freely add vet minimum players. But if they are under the cap can they exclude those vet minimum contacts already in place when calculating available cap room?

No. They count either as their minimum amount (rookie minimum and 1 YOS minimum) or at the 2 YOS minimum (regularly called the Veteran Minimum) for players with 2 or more YOS. So, if a team signs, or already has under contract, a player for the Veteran Minimum, that amount counts towards any cap space calculations.

This is why if a team is signing a player for the minimum AND also using cap space, they'll wait to complete the minimum signing until all their cap space has been used. The exception is mostly regarding rookies who a team wants to give more than a two-year contract to, as the minimum exception only allows for two-year contracts.

FWIW, this is why whenever a team is planning to use the minimum exception or the room exception, they use their cap space first. As the exceptions, as the name implies, allow you to exceed the cap to sign the player(s).

I agree with all of this, great job Smitty!, except one part needs to be clarified.

The salary cap hit on a minimum salary player with more than 2 YOS does not always get reduced to the 2 YOS number. Such a player's salary is counted as a smaller number if (and only if) the league is reimbursing the team for some of the contract. What is counted is the amount that the team pays, and such reimbursements do not happen on multi-year minimum salary deals (even if they are in the final year of that deal).

It should be noted that the online salary charts researched and provided by Smitty and others (such as Basketball Insiders) will show the amount the team is paying, not the entire salary, in such a situation. So when using their numbers, you don't have to go try to figure out if there's an adjustment needed on certain salaries.

Good call out on the times it isn't reduced.

As far as showing the cap hit vs the actual salary on salary sheets, I can only speak for myself, but I do this because 99% of people should only care about the cap number vs the actual number. We aren't the ones writing the checks after all!

[clydewally]

Many thanks guys.