Forward Paying 2019 Contracts

[liljohny]

One of the articles basically says "letting Mybe, Woods go by june 30 allows us to forward pay some 2019 contracts". I would say this would essentially mean using the space in this years cap left by the departure of a few key players and paying down some of the back ended contracts for next season thus increasing salary cap from 2019.

Whats everyone's thoughts?

Given our prospects for this year and our position, tactically sounds like a very intelligent concept on the previse we can recruit well!

Heres the link to the article

https://www.nrl.com/news/2018/05/26/moses-mbye-to-join-tigers-as-aaron-woods-hits-the-market/

 

[Oatley Dog]

The strategy, if true, is to take pressure off our cap for next year due to the ratchet clauses, not so we can buy another player. If true, then it tells you that our cap is so shot that we are stuck in a timewarp for the next couple of years, which sadly is what I have been told by key people. the only bit I'm not sold on is the selling of Mbye.

 

[Baby Blues]

The strategy, if true, is to take pressure off our cap for next year due to the ratchet clauses, not so we can buy another player. If true, then it tells you that our cap is so shot that we are stuck in a timewarp for the next couple of years, which sadly is what I have been told by key people. the only bit I'm not sold on is the selling of Mbye.

It makes you wonder how these contracts were approved? Did we have nobody at the club who budgeted for this? Des was a coach and a teacher by trade I’m sure somebody else was responsible for the finances?

 

[Spoonman84]

It makes you wonder how these contracts were approved? Did we have nobody at the club who budgeted for this? Des was a coach and a teacher by trade I’m sure somebody else was responsible for the finances?

Vince Costa is the CFO and is heavily involved in the cap I have no idea how he is still at the club.

 

[Oatley Dog]

It makes you wonder how these contracts were approved? Did we have nobody at the club who budgeted for this? Des was a coach and a teacher by trade I’m sure somebody else was responsible for the finances?

Comes back to the origins of our problem and that is the stupid gamble that the cap would be $10m this year and then $10.4+m next year. that's on Dib. He thought he could influence the outcome and sadly to our detriment he found out he couldn't. If we had an extra mill in our cap for next year we would be sailing relatively smoothly.

 

[piggy]

The strategy, if true, is to take pressure off our cap for next year due to the ratchet clauses, not so we can buy another player. If true, then it tells you that our cap is so shot that we are stuck in a timewarp for the next couple of years, which sadly is what I have been told by key people. the only bit I'm not sold on is the selling of Mbye.

Fukin get rid of foran and tolman and keep mbye......we are not in a position lose mbye on top of the Morris brothers....we will need to play forwards in our backline.....honestly what a fukin mess we are in....how could dig and castle allow hasler to destroy our club....

 

[Mr Invisible]

We already have this article posted under rumours. https://www.thekennel.net.au/forum/index.php?threads/moses-mbye-rumour-superthread.109581/

Only thing we need to be cap compliant in 2019 is the 5 players for $500k.

Also that's not how the salary cap works.. you can't forward load contracts.

 

[liljohny]

We already have this article posted under rumours. https://www.thekennel.net.au/forum/index.php?threads/moses-mbye-rumour-superthread.109581/

Only thing we need to be cap compliant in 2019 is the 5 players for $500k.

Also that's not how the salary cap works.. you can't forward load contracts.

No problems. What do they mean by forward paying then?

 

[Arazern]

Pay the back end deals or some of it with Mbyes cash we free up making less hurt next year and the year after. If we get 650k free use 100k on a jnr and 550k of future payments from back end deals and same next year. Not sure if it’s possible but would be a quick out of hole option.

 

[Spoonman84]

I think NRL contracts run till the end of October so Mbye would have already been paid most of the money for this year anyway so it wouldn’t free up much to front load.

 

[Mr Invisible]

No problems. What do they mean by forward paying then?

As Spoonman84 said.. because contracts run October - October, technically you can pay a player in Nov/Dec/Jan/Feb, before the season starts.

But the end result is the same as it still comes from your following seasons cap.

 

[GrogDog]

I can't see how we would have fit under the cap even if it did go to 10mil this year.

 

[Oatley Dog]

We already have this article posted under rumours. https://www.thekennel.net.au/forum/index.php?threads/moses-mbye-rumour-superthread.109581/

Only thing we need to be cap compliant in 2019 is the 5 players for $500k.

Also that's not how the salary cap works.. you can't forward load contracts.

You can forward load contracts. Knights and Rorters have done it this year. Basically you can pay it in any multiples you like unless it exceeds or undercuts the cap by the requisite limits. They can pay Cronk $2m this year and $200k next if they want to. They prob are doing something like that to fit Crichton in next year....

 

[Baby Blues]

Vince Costa is the CFO and is heavily involved in the cap I have no idea how he is still at the club.

Doesn’t sound like he should still have a job.

Comes back to the origins of our problem and that is the stupid gamble that the cap would be $10m this year and then $10.4+m next year. that's on Dib. He thought he could influence the outcome and sadly to our detriment he found out he couldn't. If we had an extra mill in our cap for next year we would be sailing relatively smoothly.

That should never have been Dib’s call. The CFO is responsible for the financial position of the organisation. That includes budgets for salaries and wages. The clubs were told to budget for a salary cap of $8.8mill for 2018 so this position is even more confusing. Many people at the club haven’t done their jobs and it’s actually not fair on the players.

 

[Mr Invisible]

You can forward load contracts. Knights and Rorters have done it this year. Basically you can pay it in any multiples you like unless it exceeds or undercuts the cap by the requisite limits. They can pay Cronk $2m this year and $200k next if they want to. They prob are doing something like that to fit Crichton in next year....

I was pretty certain you can't pay out a contract from a following year.

In other words you can pay now for part of a players 2019 / 2020 contract.

 

[coach]

I was pretty certain you can't pay out a contract from a following year.

In other words you can pay now for part of a players 2019 / 2020 contract.

You can forward pay contracts no drama at all, Knights have done it because the money they had left in cap
Instead of backending in its front ended
So joe blow gets 700k this year and 300k next to make his 500k a season contract for his 2 years

 

[Oatley Dog]

I was pretty certain you can't pay out a contract from a following year.

In other words you can pay now for part of a players 2019 / 2020 contract.

You can forward pay from the following year but I think it is a rolling thing. All clubs do it including us when we have money.

 

[Oatley Dog]

Doesn’t sound like he should still have a job.

That should never have been Dib’s call. The CFO is responsible for the financial position of the organisation. That includes budgets for salaries and wages. The clubs were told to budget for a salary cap of $8.8mill for 2018 so this position is even more confusing. Many people at the club haven’t done their jobs and it’s actually not fair on the players.

We blame dib because he was chairman but there was a committee that included the cfo who hand a hand in it. But you can imagine dib saying to them leave the cap size to me keep signing them!!

 

[Baby Blues]

We blame dib because he was chairman but there was a committee that included the cfo who hand a hand in it. But you can imagine dib saying to them leave the cap size to me keep signing them!!

The info that’s coming out the last few weeks isn’t painting him and Castle on a particularly favourable light. Seriously what were they thinking?

 

[Kratos]

Fukin get rid of foran and tolman and keep mbye......we are not in a position lose mbye on top of the Morris brothers....we will need to play forwards in our backline.....honestly what a fukin mess we are in....how could dig and castle allow hasler to destroy our club....

No, get rid of Mbye, he's just not a winner