Julio’s Extension Deal— Cap Space Related

[stingbee 483]

Julio just signed his new extension and making him the highest paid receiver.

The question I have for you guys is that how Cap friendly is this? It sounds he got 97% of his new contract upfront via a signing bonus.

From what I can see, this is very Cap-friendly deal for the Falcons while keeping Jones for another 5 years. What do you guys think? I need some expert Cap Analysis on this contract. 

Now, let’s go and get that win tomorrow... 

[ya_boi_j 48,202]

64 of the 66 is fully guaranteed. Nothing wrong with that at all. GG 

[falcons007 18,198]

Julio got 45 M guaranteed out of 66M extension. The additional 19 M was already guaranteed next 2 years. 

[SoCalFalconFan 966]

Yeah, with $64m at signing his cap hit will be relatively tiny for being the top paid wideout in the game. 

[shockerfalcon 1,812]

4 minutes ago, falcons007 said:

Julio got 45 M guaranteed out of 66M extension. The additional 19 M was already guaranteed next 2 years. 

Says he’s due $64 million at signing

[falcons007 18,198]

Just now, shockerfalcon said:

Says he’s due $64 million at signing

Yes it’s an extension, 2 years left on his deal plus extension.

[hjerry 22,927]

12 minutes ago, ya_boi_j said:

64 of the 66 is fully guaranteed. Nothing wrong with that at all. GG 

Unlike Goff, Julio actually earned/deserved that kind of guarantee 

[stingbee 483]

So, the question is will this help us in future? Next year and the following year? I see us signing Hooper and Neal as the next core players for next season. 

[Return of the Gaucho 2,185]

So this essentially seems like a 5 year, 85 million contract. If he is guaranteed an additional 45 million, I would assume some is guaranteed salary for the first year the extension goes into effect, but how does the remainder prorate over the other 5 years?

it sounds like his 2019 salary didn’t get adjusted, and there was only like 5 mil in cap space, so I would think the non-salary guarantees could only be up to $20 million. Any cap gurus care to take a stab at it?

[Stray Dog THA GAWD 4,196]

It equates to $66M per TD catch.  Great work, if you can get it.

[Return of the Gaucho 2,185]

1 minute ago, Stray Dog THA GAWD said:

It equates to $66M per TD catch.  Great work, if you can get it.

Kids, this is why you don’t eat paint chips...

[Stray Dog THA GAWD 4,196]

Just now, Return of the Gaucho said:

Kids, this is why you don’t eat paint chips...

But they're so tasty!

[FalconFanSince1970 21,167]

1 hour ago, stingbee said:

So, the question is will this help us in future? Next year and the following year? I see us signing Hooper and Neal as the next core players for next season. 

Will depend on the structure. If he's truly getting a $66M signing bonus that cap will be prorated over five years at $13.2M per year. The other $26.4M on his current contract will have to be parked somewhere. Mostly in years 3-5 because we don't have much space in the first two years. If he's getting a guaranteed $66M signing bonus he could come asking for more when he's spent his bonus and his salary drops to the $8-10M range. Kinda like he did on his current contract.