CBA - "Marketing money"

[Jesse]

I have a friend who actually went through the CBA to find the clause about the non-CAP marketing money

CFL teams have an obligation to spend 110k on Non-Football Related Services. So the "CAP" becomes the CAP + 110k.

In 2024, the CAP is 5, 525, 000 + 110k for a total allowed expenditure of 5, 635, 000.

Teams can spend as much as they want above the 110k. But after that point it does eat into the existing salary cap.

[theaardvark]

So, is it you must spend at least $110k?  Or is $110k a set amount, no less, no more?

That chart sys cap + minimum non football and then a total.

Doesn't make sense, because not every team spends exactly to the cap, and NFR says minimum... you can add two variable numbers and get a specific number.

We need much more clarification on this

[peg_city]

I'm going off of memory here, but didn't Streveler get something like this?

[gobombersgo]

I'm going off of memory here, but didn't Streveler get something like this?

Not according to 3DownNation.

These are the numbers they provided for the higher paid players;

Oliveira 50k, Schoen 35k, Demski 20k, Lawson 5k.

[Jesse]

So, is it you must spend at least $110k?  Or is $110k a set amount, no less, no more?

That chart sys cap + minimum non football and then a total.

Doesn't make sense, because not every team spends exactly to the cap, and NFR says minimum... you can add two variable numbers and get a specific number.

We need much more clarification on this

Let me see if I can add some details for you.

NFRS is 110k minimum. Teams must hand out at least that much money per year.

Each team must spend within 600k of the salary cap. Thats the floor.

The two numbers together should not exceed the total expenditure amount, or they'll be subject to the fines.

[Blue In BC]

Let's assume that the $110K is the limit for sake of argument.

That would suggest that any amount above that would be charged against the SMS. So what would the point be of paying more in the 1st place?

Using Rourke as an example, he's due to get $200K marketing money in 2025. That puts $90K charged against the SMS and his real SMS salary at about $600K with another $150K charged to marketing in 2025.

In theory that doesn't leave any additional marketing money for other players that doesn't directly get charged to the SMS.

I suppose separate money for public appearances makes sense for non football duty. So I suppose it makes sense to put in that break down of what a player is paid for football and non football.

I can live with what Jesse posted and how that would break down.

What I don't understand is even for a franchise player, is he really worth $200K towards marketing? That's regardless of how much is charged or not charged to the SMS.

Ultimately a $110K limit ( non SMS ) levels the playing field in that sense, even for team not profitable. It's not an open ended number.

At the end of every season we hear which teams exceeded the cap. It would be interesting to know how many teams  are under the cap floor limit. We've never heard of any team being fined for being below the floor.

OTOH, getting the most bang for your buck is the road to success. IE: if a team spends $500K below the limit and finishes 1st and goes to the Grey Cup that would be a success at all levels.

Where as a team that spend $10 below the cap and finishes last would be the direct opposite.

[Jesse]

Yeah, I don't understand what the benefit may be in offering more than the 110k in marketing money to a player.

Unless it's one of the tax loop holes or is given out as a lump sum when the contract is signed and not doled out as part of game cheques.

[gobombersgo]

At the end of every season we hear which teams exceeded the cap. It would be interesting to know how many teams  are under the cap floor limit. We've never heard of any team being fined for being below the floor.

Every team tries to spend close to cap every year.

If a team was near the cap floor at the end of Novemeber they would just allocate salaries for the following year towards the current SMS.

[theaardvark]

So, I assume that marketing money is up front, no 6game IR retrieval, no retrieval if player is cut or traded?

And that BC now has less than zero marketing money for the next two years?  That any players receiving that this year are SOL for next?

[Blue In BC]

Yeah, I don't understand what the benefit may be in offering more than the 110k in marketing money to a player.

Unless it's one of the tax loop holes or is given out as a lump sum when the contract is signed and not doled out as part of game cheques.

If it's paid in advance like a signing bonus to an import, it will create the same tax advantage I suppose. Rourke is a Canadian so no advantage in that sense.

So a team can spend more than $110K for other players but it's a direct charge to SMS cap. That could create some tax friendly advantages to reduce an imports actual total, just as before with singing bonus.

No problem.

[Blue In BC]

Every team tries to spend close to cap every year.

If a team was near the cap floor at the end of Novemeber they would just allocate salaries for the following year towards the current SMS.

Sure but that's a circular problem just carried over to the next season. At least if there is a large amount not spent in a given season.

[blue_or_die]

Good job Tyler

[Jesse]

So, I assume that marketing money is up front, no 6game IR retrieval, no retrieval if player is cut or traded?

And that BC now has less than zero marketing money for the next two years?  That any players receiving that this year are SOL for next?

It's a minimum amount. They can choose to spend as much as they want under this category. If players already have it as part of their contract for next year, they are still getting it, I imagine.

[gobombersgo]

It's a minimum amount. They can choose to spend as much as they want under this category. If players already have it as part of their contract for next year, they are still getting it, I imagine.

I wonder what going to happen to Chad Kelly's 100k in marketing money for this season.

[Pete]

It sounds like another one of thosr things that the league put on to get the last cra passed without a real thought as to how it would be utilized, much like the nationalized america rule