gold coast salary cap - is it really that much more

[ralph1970]

i have alluded to this on another thread, but i'm wondering if i have it wrong. according to the chart from afl website, gold coast will have an extra $1m in it's salary cap, but will also need to pay a further 10 players. guessing the minimum of around $50k, that leaves them only $500k for extra payments to lure players. this is only $100k for 5 players, which is not what i would consider massive. is there something i am missing or is an extra $500k going to cause that much grief.

Gold Coast would also have an expanded list size and TPP allowance in the club’s initial four years from 2011 to 2014, which would be as follows:
2011 - 48 senior list, nine rookies with $1m TPP extra allowance;
2012 - 46 senior list, nine rookies with $800k TPP extra allowance;
2013 - 42 senior list, nine rookies with $600k TPP extra allowance;
2014 - 40 senior list, nine rookies with $400k TPP extra allowance;
2015 - 38 senior list, nine rookies in line with other AFL clubs

 

[Simon]

Re: gold coast salary cap - is it really that much more?

The bigger thing is that a bulk of their list are going to be on 1st year contacts, well below the league average.

 

[ralph1970]

Re: gold coast salary cap - is it really that much more?

The bigger thing is that a bulk of their list are going to be on 1st year contacts, well below the league average.

yep, that'd be what i'm missing.

 

[Zvim]

Re: gold coast salary cap - is it really that much more?

The AFL also have a brown paper bag called K.Hunt.

 

[Marklar_33]

Re: gold coast salary cap - is it really that much more?

yep, that'd be what i'm missing.

Even still, if you sign players on sub-standard contracts, you'd be implying they were substandard players

Its not a big advangtage

 

[ralph1970]

Re: gold coast salary cap - is it really that much more?

Zvim, whats the deal with k hunt situation. in the news reports i remember it was described as an afl special player or something like that. i can't be bothered scouring the archives. but is karmichael completely outside of all the tpp etc as a marketing tool for the afl. is he the only one they get. is the funding unlimited. does gws get one. does anybody know the rules on this.

 

[Zvim]

Re: gold coast salary cap - is it really that much more?

Zvim, whats the deal with k hunt situation. in the news reports i remember it was described as an afl special player or something like that. i can't be bothered scouring the archives. but is karmichael completely outside of all the tpp etc as a marketing tool for the afl. is he the only one they get. is the funding unlimited. does gws get one. does anybody know the rules on this.

His payment of some $500k+ is all outside the salary cap for some bullshit AFL propaganda spreading loophole they found.

AFL is pretty good at finding loopholes for GC. Not very good at closing them before self-exploiting.

 

[jim boy]

Re: gold coast salary cap - is it really that much more?

Even still, if you sign players on sub-standard contracts, you'd be implying they were substandard players

Its not a big advangtage

Rubbish - First year salaries are determined by the CBA, not their true market value. I did the sums at the sum point, but is GC stuck to kids, and put them all on first-round draft salaries, they were well under the cap by some millions. In five years time they will be in trouble though.

 

[PomCat]

Re: gold coast salary cap - is it really that much more?

You still make a good point, ralph1970. If Ablett goes and gets anything like the amount being suggested, it will surely make a dent in the GC excess. Given all the names being banded around, you'd think just a couple of big name signings (ie 500K more each than their current Clubs could offer) would just about bring them back to the field? They would no doubt get many more next level down players if they did not commit such big dollars to a few. I'd have thought Joel Selwood would make a more attractive target than Ablett, given he would/should still be in his prime when the talented youngsters they will have are a few years down the development path....

 

[Selective Retention]

Re: gold coast salary cap - is it really that much more?

In five years time they will be in trouble though.

Yeah it is fools gold for players like Ablett. He will earn the big cash for 2-3 years and then be asked to take pay cuts to accomodate all the young guns wanting their slice of the pie when their standard contracts expire.

On the flip side if he stayed at Geelong, most of the clubs big earners would be gone by then and he could earn the Kouta like wage at the cats in his twilight years.

 

[Cohzee]

Re: gold coast salary cap - is it really that much more?

Yeah it is fools gold for players like Ablett. He will earn the big cash for 2-3 years and then be asked to take pay cuts to accomodate all the young guns wanting their slice of the pie when their standard contracts expire.

On the flip side if he stayed at Geelong, most of the clubs big earners would be gone by then and he could earn the Kouta like wage at the cats in his twilight years.

I hope Ablett thinks this way!

 

[Simon_Nesbit]

Re: gold coast salary cap - is it really that much more?

A first round pick that plays 22 games will earn around 120k from memory. So if you take the view that GC will have just 10 seniors players, and 40-odd juniors:

12 x 120k (juniors playing every game) ....1440
26 x 80k (juniors not playing)..................2080
---------------
3.5 million on their 38 juniors.

The cap is around 8 million at the moment. Their final 10 players can earn in the region of 800k each per season, without breaking the bank.

I guess my concern is....with these 30-odd draftees they're going to have (all on 2yr contracts)....where will there delistings come from?

 

[Spluff]

Re: gold coast salary cap - is it really that much more?

His payment of some $500k+ is all outside the salary cap for some bullshit AFL propaganda spreading loophole they found.

AFL is pretty good at finding loopholes for GC. Not very good at closing them before self-exploiting.

It's not all outside the salary cap, it's just heavily front ended because he'll spend the first year on the rookie list, which IIRC is outside the cap.

 

[thesmallprint]

Re: gold coast salary cap - is it really that much more?

Yeah it is fools gold for players like Ablett. He will earn the big cash for 2-3 years and then be asked to take pay cuts to accomodate all the young guns wanting their slice of the pie when their standard contracts expire.

On the flip side if he stayed at Geelong, most of the clubs big earners would be gone by then and he could earn the Kouta like wage at the cats in his twilight years.

Good point. But if Ablett does go then he won't do it for anything less than $1m per year for 5+ years.

 

[Hawkers Hero]

I think the general gist of it is that of the 48 in 2011 30+ will be 17-19yr olds earning little more than $50k per year.

Im not sure what the cap is in 2011 but if it is ball park $8m (including their extra $1m) at an absolute minimum they have to pay $7.28m (91%) so that leaves about $5.5m to spend on 18 players (about $300k each). If they pay the full cap that jumps to $360k per player.

Basically, its not the quantum of the $1m that gives them such purchasing power but rather the low salaries of the vast majority of the club. It will be very interesting to see how they manage the cap as some of these younger guns start to mature and want more money.....

 

[Ants]

I think the general gist of it is that of the 48 in 2011 30+ will be 17-19yr olds earning little more than $50k per year.

Im not sure what the cap is in 2011 but if it is ball park $8m (including their extra $1m) at an absolute minimum they have to pay $7.28m (91%) so that leaves about $5.5m to spend on 18 players (about $300k each). If they pay the full cap that jumps to $360k per player.

Basically, its not the quantum of the $1m that gives them such purchasing power but rather the low salaries of the vast majority of the club. It will be very interesting to see how they manage the cap as some of these younger guns start to mature and want more money.....

But surely to lure some of those kids not to opt for the draft they had to make it at least a decent offer? I wouldn't expect that the guys they drafted over the last two years to be on minimum wages.

That said, the very fact they have no prior committments and can carve up the salary cap how they want does give them an enormous flexibility. But probably every AFL player they lure they'll be paying over the odds to.

 

[Rob]

But surely to lure some of those kids not to opt for the draft they had to make it at least a decent offer? I wouldn't expect that the guys they drafted over the last two years to be on minimum wages.

Rookies that are drafted are on wages set by the AFL depending on what round they're drafted. I'd imagine GC rookies are no different.

 

[Snuka]

Re: gold coast salary cap - is it really that much more?

I am not sure all the fuss about the extra cap. The OP makes a good point and also they will have to pay way over value for their senior players.

A new team needs senior players to be half competitive and they have no choice but to gather these from other sides. And remember all these players will have to move interstate (or at least an hour away) and GC will need to pay them more than any other team would. Wouldn't this mean that any advantage of the extra cap space would be null? Quite simple I would have thought.

 

[FOOOOTY]

Re: gold coast salary cap - is it really that much more?

Is it simply a case of they can have 48 players, or do they *have* to?

 

[Beats]

But surely to lure some of those kids not to opt for the draft they had to make it at least a decent offer? I wouldn't expect that the guys they drafted over the last two years to be on minimum wages.

That said, the very fact they have no prior committments and can carve up the salary cap how they want does give them an enormous flexibility. But probably every AFL player they lure they'll be paying over the odds to.

It was a decent offer made to the 17yo signings. Josh Toy for example, lives in Melbourne and has signed to GC, he gets paid for this year even though he is based in a different state. He basically gets 55k to stay in Melbourne and finish his schooling with very little commitment to the club required this year.