New York Giants left tackle Nate Solder chose to leave the 2020 season on Wednesday, citing concern for the safety and well-being of his family.
Considering Solder’s son Hunter has had a long battle with cancer, the tackle’s decision seems logical. Add that Solder himself has battled cancer and that he and his wife have just welcomed a new baby, and the veteran’s decision not to participate seems obvious.
But what does it mean financially for the Giants? Well … that’s a difficult question.
The short answer is that no one seems to be sure. The long answer is that it is extremely complicated.
On the surface, it would appear that the full issue of Solder’s cover just comes out of the books and is postponed until 2021, but that’s not exactly the way things will shake up.
First, if Solder is considered a “high risk” foreclosure option, which is him, he will receive a $ 350,000 stipend that will not count against future earnings. If your opt-out is considered voluntary, which is not the case, you would receive a stipend of $ 150,000 that is considered a salary advance.
From there, things get even more cloudy.
With Solder’s opt-out, his contract is essentially delayed by one year, meaning 2020 becomes 2021 and 2021 becomes 2022. However, even then there are other odds and that factor ends.
On the surface, the numbers suggest the Giants would free up approximately $ 16 million in salary cap space, but due to a restructuring of the previous contract and a March $ 3 million list bonus, part of Solder’s salary will remain on the books. , including a maximum limit hit of between $ 6 million and $ 6.5 million.
NFL salary cap expert Joel Corry says that number will be $ 6.5 million as part of Solder’s bonus overtime.
However, Art Stapleton of USA TODAY reports that the upper limit hit is slightly less, $ 6 million, and that the Giants will receive approximately $ 13 million in total salary cap relief.
Solder was slated to represent a $ 19.5 million hit against the salary cap in 2020, and received a $ 3 million list bonus in March. His base salary of $ 9.9 million will come out of the books, so that’s the minimum number for cap relief. There’s likely to be a roughly $ 6 million dead money limit remaining due to the Giants’ restructuring of the Solder contract, so the amount of space freed is expected to be around $ 13 million.
While many expect the Giants to use that money to splurge, they are more likely to carry it over to the next season to help balance against a cap that is expected to decrease due to lost revenue as a result of the COVID-19 pandemic. .
The bottom line is that Solder’s opt-out doesn’t give the Giants free money. If they spend it this year, they won’t have it next year. If they save it this year, they can use it in Solder next year, which seems to be the smartest financial option given the volatility of the salary cap.
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