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Teams have the ability to buy out contracts at a reduced cap hit from June 15 to 30 each year. They are also allowed two compliance buyouts in June 2013 and June 2014 that cost the team actual cash but have no salary cap consequences. CapGeek.com's buyout calculator simplifies the complicated formula by determining the actual salary and cap costs of these buyouts with a few clicks.

Buyout Parameters

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Victor Hedman is 23 years old on the buyout date of July 28, 2014, setting the buyout ratio at 1/3 and the total buyout cost at $4,666,667 spread over 6 years. His contract was originally valued at $20,000,000 beginning in 2012 and ending in 2017, with $14,000,000 remaining from the buyout year forward. The following is a season-by-season breakdown of the buyout. A negative buyout cap hit indicates a credit.


Buyout Details

SEASON SALARY CAP HIT BUYOUT SAVINGS BUYOUT CAP HIT
2014-15 $4,000,000 $4,000,000 $777,778 $3,222,222 $777,778
2015-16 $5,750,000 $4,000,000 $777,778 $4,972,222 -$972,222
2016-17 $4,250,000 $4,000,000 $777,778 $3,472,222 $527,778
2017-18 $0 $0 $777,778 -$777,778 $777,778
2018-19 $0 $0 $777,778 -$777,778 $777,778
2019-20 $0 $0 $777,778 -$777,778 $777,778

TEXT CAP HIT BREAKDOWN (for copying and pasting)

Victor Hedman buyout from CapGeek.com

  • 2014-15: $777,778
  • 2015-16: -$972,222
  • 2016-17: $527,778
  • 2017-18: $777,778
  • 2018-19: $777,778
  • 2019-20: $777,778