The Broncos needed a bit of a break on their salary cap.
They modified a contract with an injured player in order to create it.
Denver converted $6 million of wide receiver Tim Patrick’s $8 million base salary into bonus money, a source confirmed to the Post, allowing them to split the $6 million prorated over the two contract years. Patrick’s remaining assets and create a $3 million cap for 2023.
Since bonus money is pro-rated over the length of the contract (up to five years), taking the money Patrick would have already earned and paying it out as a bonus saved the Broncos money. ceiling space this year.
According to data from the NFL Players Association and OverTheCap, Patrick’s base salary was $8 million and the conversion brought it down to $2 million. Prorated bonus amounts — the initial signing bonus Patrick received when he signed a three-year, $30 million extension in 2021 plus conversions from the past two years — now total just over $6 million. dollars for each of the next two seasons. This resulted in a cap charge of $8.072 million for 2023, compared to $11.072 million before the restructuring.
Patrick’s cap climbs to $16.072 million in 2024 — that’s up from $3 million with proration — but consider that if the Broncos end up rolling over the money they made this year, that essentially only covers the increased number of Patrick next year.
Why convert now?
Thursday marks the NFL’s move to salary cap rules for the regular season, which means teams must account for their entire roster of 53 players, injured reserve players and practice squad. rather than just top 51 contracts, which is the offseason rule.
According to OTC data, the Broncos are now around $3.5 million cap. ESPN first reported Patrick’s restructured deal.
Patrick, of course, is out for the season after tearing his Achilles tendon early in training camp.
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