Sun Sentinel Palm Beach Edition
Tighter-fitting salary cap for 2021
Projected figure down 9%, would leave little room for free agents
The NFL’s salary-cap floor fell nearly $20 million because of the lost revenue caused by the COVID19 pandemic, and the shortfall will force many teams to make tough financial decisions.
The Miami Dolphins, who will have roughly $24 million in cap space after this week’s signing of kicker Jason Sanders to one of the largest contracts for his position, are among the teams that will be forced to either purge their roster or take a frugal approach to free agency when it begins March 17.
The NFL issued a memo Thursday morning that indicated the league’s salary-cap floor would be $180 million for the 2021 season. That’s a drop from the 2020 cap figure of 198.1 million per team, or about a 9% reduction.
That’s up at least $5 million from previous projections of a $175 million cap in 2021, which had been agreed upon by the league and players union.
This financial benchmark was made following the NFL’s “discussions with the players association that addressed both actual 2020 revenues and projected attendance for the 2021 season.”
The official salary-cap figure will be determined once there has been a full audit on 2020 league revenues, and its possible the final salary floor could come in higher than $180 million.
Most teams spent above the salary floor because of their cap carryover — unused cap space — from past seasons. The Dolphins have slightly more than $171.5 million committed to the top 51 players under contract, which is all that counts against the salary cap. Sanders’ $2 million signing bonus and his $1.8 million roster bonus are reflected in these figures.
The ripple effects from a leaguewide cutback could lead to a flooded free-agent market after teams start purging their rosters, cutting players without guaranteed money to create additional cap space.
It’s possible that teams might have to shed two to three starters, releasing established veterans like Houston did last week with threetime Defensive Player of the Year
J.J. Watt and Denver expects to do with Von Miller, releasing the pass rusher who is slated to make $18 million this season.
Teams will also try to leverage players into restructuring their contracts, as the Pittsburgh Steelers are doing with quarterback Ben Roethlisberger.
Most of these financial shakedowns will take place in late Feburary and early March.
The financial rollback could also affect the use of the franchise tag, length of deals and the financial commitments teams make to the top end free agents such as quarterback Dak Prescott, safeties Justin Simmons and Anthony Harris and receivers Allen Robinson, Chris Godwin and Kenny Golladay.
Second-tier free agents such as Dolphins defensive tackle Davon Godchaux, tight end Jonnu Smith and receivers T.Y. Hilton, Curtis Samuel and Marvin Jones might be forced to take shorter deals than expected because of the unstable market. It’s hard to project where free-agent salaries will go because a flooded market might drive down offers’ asking prices.
The Dolphins need to preserve nearly $12 million in cap space to sign the 2021 draft class, which features four picks in the top 50, two first-round selections and eight total selections. That financial obligation will likely change if the Dolphins trade draft picks.
But with $12 million committed to the rookies, the Dolphins have roughly $12 million in cap space to re-sign their own free agents and lure players to fill voids.
March 17 is the first day of the league’s new year, which is when any deals agreed to during the previous two days can become official.
The Dolphins have 18 impending free agents, but one (offensive lineman Adam Pankey) is a restricted free agent, and another four (cornerbacks Nik Needham and Jomal Wiltz, linebacker Calvin Munson and quarterback Jake Rudock) are exclusive-rights free agents, which means the team can give them one-year deals for the NFL minimum and hold onto their rights in 2022 as restricted free agents.
Of the 13 unrestricted free agents, six of them — punter Matt Haack, quarterback Ryan Fitzpatrick, Godchaux, center Ted Karras, linebackers Vince Biegel and Elandon Roberts — were starters for the Dolphins at some point the past two seasons.