Bills restructure Diggs contract; create 7.8. Mill in cap space

[scuba guy]

22 minutes ago, SectionC3 said:

 

Depends on the tax code.  

Tax code for player checks if all bonus money is paid upfront will be based on nys tax code player checks are from the states where the game is re florida has no state income tax

[thurst44]

16 minutes ago, H2o said:

Normally, I hate these sorts of things (even if i do them myself all the time). Both these posts made me laugh and smile!

[ALLEN1QB]

1 hour ago, Canadian Bills Fan said:

Love that Diggs agreed to do this.

 

Way to put the team first

Does this not put more $ in Diggs pocket getting in one lump sum upfront? Not so sure he deserves praise for it.

[BarleyNY]

18 minutes ago, Ethan in Portland said:

Actually it is the opposite. Yes the money is paid in full at the beginning of the year but the real risk is they cut the player the following year. Then all that prorated signing bonus money becomes dead cap space. That is how they lower the cap hit this year by spreading it over the next several years. 

I get that such a situation can look bad, but it’s not bad from a cap perspective as the two year hit is the same.  You might be pointing at a team using the extra space to overextend itself and that would definitely create problems.  The potential other issue I saw on the Steelers years ago.  They’ve been restructuring a lot of players like this for years.  Usually it’s worked out fine, but they have had players underperform (due to getting paid and phoning it in, getting off the juice, getting old, etc.) whom they couldn’t cut right away.

 

In general as long as a team is responsible it’s good to kick cap down to future years.  One benefit is that future cap hits are discounted by the percentage of the increase in cap.  Obviously 2020 threw a wrench in this, but for example if the cap rose a steady 5% per year then signing bonus hits would be discounted by 5% every year.  A $4M SB on a 4 year deal would show $1M each season, but due to the 5% annual cap increase they would be equivalent to $1M, $950k, $902.5k and $857.4K.  So you can see why teams love to utilize this to their advantage. 

[wppete]

[NewEra]

15 minutes ago, HOUSE said:

 

Spend spend spend 

I don't know about you, but I want to win the Super Bowl.  Our corners couldn't cover the KC weapons last year.  They looked like JV players covering NFL stars.  

 

I believe that we can.....if we have 2 corners capable in man coverage.  As @Buffalo716 has pointed out, we play mostly man on 3rd downs. Winning 3rd downs = winning football games. Levi isn't a competent man corner.  Maybe Dane can be?  I have high hopes for him, but I certainly wouldn't want to risk our season on it.  Wildgoose?  doubtful.  We needed to become more competitive on the boundaries.  We didn't.  At this point, we have to hope that Mcd and frazier can come up with a plan to stop them...based on what we saw last year, wouldn't want to risk our season on that either

 

Regarding Ertz, I can take him or leave him.  He's a nice upgrade over Knox. I wouldn't really want to extend him long term, rather pay a 7th and hope he can help win us a SB in 21.  Trading for him wouldn't break the bank or have much of an impact on our future cap.

[John from Riverside]

It doesn’t seem like it would be enough money for Julio it might make sense for hertz

[716er]

Still waiting on that NFL Network Stats Babe's big news, right?

[Beerball]

1 hour ago, McBean said:

I thought Diggs was a selfish prick and not a good teammate?

He lost nothing here. You do understand that?

2 hours ago, YoloinOhio said:

 

Beane has a plan. 👨‍🔬

[BADOLBILZ]

1 hour ago, HappyDays said:

They wouldn't make this move for no reason, so there must be a signing or trade coming.

 

 

You would think so.........but it doesn't really change anything if they don't use all of the cap space in 2021..........they can just roll the unused cap room over anyway.

[Boxcar]

38 minutes ago, MJS said:

Well, Tyreek Hill has refused to do that in the past, for no good reason.

Yeah, because Tyreek Hill is an idiot.

[MJS]

1 minute ago, Boxcar said:

Yeah, because Tyreek Hill is an idiot.

Tyreek Hill is a horrible person and as selfish as they come. And yes, also an idiot.

[Boxcar]

Just now, MJS said:

Tyreek Hill is a horrible person and as selfish as they come. And yes, also an idiot.

In this case, he isn't even being selfish. It's possible he THINKS he's being selfish, though, since he is a massive idiot.

[HappyDays]

3 minutes ago, BADOLBILZ said:

 

 

You would think so.........but it doesn't really change anything if they don't use all of the cap space in 2021..........they can just roll the unused cap room over anyway.

 

They could have made this move at any time and are just choosing to do it now. That makes me think it means a move is coming. Probably not any of the moves anyone is predicting.

[BuffaloRebound]

Beane has to get one of the CB’s out there right?  Nelson or Sherman signing imminent would be my guess.  

[ngbills]

1 hour ago, Conlan58 said:

I may be wrong, but I believe signing bonuses would be taxed at a higher rate rather than salary? Either way - restructuring is always a player doing the team a favor in my eyes. This is huge!

Its all taxed at the highest rate. We are talking about millions of dollars not a normal persons salary. 

[Buftex]

16 minutes ago, John from Riverside said:

It doesn’t seem like it would be enough money for Julio it might make sense for hertz

Agreed.  If they traded for Julio Jones, they would have to give him a new (big) contract... Diggs is going to need to get paid too... I just don't see Beane committing that much money to two receivers, especially, when one of them will be on the "wrong side" of 30 by the end of the contract.  Plus, the QB is going to be due for a pretty big contract....

[Buffalo_Stampede]

1 minute ago, BuffaloRebound said:

Beane has to get one of the CB’s out there right?  Nelson or Sherman signing imminent would be my guess.  

Sherman is such a perfect fit for our defense. 

[Shaw66]

1 hour ago, Buffalo03 said:

Ertz so good

Come on, baby make it Ertz so good

Our tight ends never play like they should

Let's make it, Ertz so good

Nicely done

[BuffaloBills1998]

I could be wrong but I think some of you guys that want either Ertz or Julio are going to be disappointed. This restructure is most likely to make room for Allen and Edmunds extensions. Don’t be surprised or disappointed if Beane doesn’t go for either Ertz or Julio in a trade.

Just now, Buffalo_Stampede said:

Sherman is such a perfect fit for our defense. 

He lost a lot of steps last year in San Fran. I don’t know how much of an improvement he would be Vs who we already have on our roster. 

4 minutes ago, Buftex said:

Agreed.  If they traded for Julio Jones, they would have to give him a new (big) contract... Diggs is going to need to get paid too... I just don't see Beane committing that much money to two receivers, especially, when one of them will be on the "wrong side" of 30 by the end of the contract.  Plus, the QB is going to be due for a pretty big contract....

Julios best destination is either Green Bay or Tennessee. Both those teams are starving for a number 1 WR. 

[ChronicAndKnuckles]

1 hour ago, Boxcar said:

People are interpreting the restructuring as Diggs doing something for the good of the team, which isn't really true.

 

I mean he didn't HAVE to agree to restructure his deal. How is that not good for the team?

[Buffalo_Stampede]

4 minutes ago, BuffaloBills1998 said:

 

He lost a lot of steps last year in San Fran. I don’t know how much of an improvement he would be Vs who we already have on our roster. 

Lost a step? I didn't see it. Such a smart player. 

[TPS]

1 hour ago, Ethan in Portland said:

You asked if it had anything to do with Allen extension. And I answered. Allen’s new contract when it is done is an extension. It will have no impact on his salary in 2021. It’s how the CBA works for second contracts of draft picks. So the answer to your question, freeing up salary cap space in 2021 has nothing to do with Allen’s extension.

Yes, this is about making a move and adding someone this year.

[Not at the table Karlos]

5 minutes ago, BuffaloBills1998 said:

 

Julios best destination is either Green Bay or Tennessee. Both those teams are starving for a number 1 WR. 

Green bay has Adams, one of the best WRs in the league and Titans have AJ Brown. 

[ChronicAndKnuckles]

2 hours ago, teef said:

interesting.  can this have anything to do with a new josh contract?

 

I'm praying it does. 🙏 I just want him locked in for the next decade. I don't want any BS happening in the mean time like him being low-balled or another team reaching out to him. I'm a paranoid **** by nature. Just get er' done, Beanes! 

[teef]

1 minute ago, ChronicAndKnuckles said:

 

I'm praying it does. 🙏 I just want him locked in for the next decade. I don't want any BS happening in the mean time like him being low-balled or another team reaching out to him. I'm a paranoid **** by nature. Just get er' done, Beanes! 

i don't think you'll see this.  this team has been in desperate need for a qb for a very long time, and i can't imagine there's any scenario where he isn't signed.  as ethan mentioned, this money may not be for that.

[BuffaloBills1998]

3 minutes ago, Not at the table Karlos said:

Green bay has Adams, one of the best WRs in the league and Titans have AJ Brown. 

Yeah but that’s all they have. If Julio went to Green Bay, that would be a dangerous offense. Also Rodgers is still bitching about wanting  another WR. I’m sure if they trade for him and get him, then Rodgers will go from wanting out to wanting to stay put and being happy

Edited June 1, 2021 by BuffaloBills1998

[BillsShredder83]

13 minutes ago, BuffaloBills1998 said:

Julios best destination is either Green Bay or Tennessee. Both those teams are starving for a number 1 WR. 

Davante is probably the best WR in football and Brown is pretty darn good too.

Edited June 1, 2021 by BillsShredder83

[BuffaloBills1998]

7 minutes ago, Buffalo_Stampede said:

Lost a step? I didn't see it. Such a smart player. 

He can’t play man to man anymore, I saw him get burned quite a bit last year. Also he’s gotten injured a lot as well and we don’t know what kind of contract he wants.

[GunnerBill]

9 minutes ago, Buffalo_Stampede said:

Lost a step? I didn't see it. Such a smart player. 

 

He gave up 4 more TDs in 5 games in 2020 than he did in 15 games in 2019.

[BuffaloBills1998]

Just now, BillsShredder83 said:

Davante is probably the best WR in football and Brown is pretty darn good too.

Rodgers is still bitching about the WR position. If they traded for Julio then I guarantee that would shut Rodgers up and would go from wanting out of Green Bay to wanting to stay put. 

[SectionC3]

59 minutes ago, scuba guy said:

Tax code for player checks if all bonus money is paid upfront will be based on nys tax code player checks are from the states where the game is re florida has no state income tax

 

What about the prevailing tax rate?  Maybe it's better to get it now before NYS leg raises taxes on ultra wealthy.  So maybe the Bills did him a bit of a favor in the long run here.  

[BillsShredder83]

1 minute ago, BuffaloBills1998 said:

Rodgers is still bitching about the WR position. If they traded for Julio then I guarantee that would shut Rodgers up and would go from wanting out of Green Bay to wanting to stay put. 

I dont disagree with that, just "starving for a #1" was overkill. I do think GB should be heavily involved, but won't because they act spiteful with Rodgers. It's baffling 

[Buftex]

19 minutes ago, BuffaloBills1998 said:

I could be wrong but I think some of you guys that want either Ertz or Julio are going to be disappointed. This restructure is most likely to make room for Allen and Edmunds extensions. Don’t be surprised or disappointed if Beane doesn’t go for either Ertz or Julio in a trade.

 

I think it could be Ertz...it is one named (by Beane) position of some need, that they haven't really addressed in a big way.  Hollister could turn out to be decent (and so too could Knox), but neither has the track record of Ertz.  I feel like they are freeing up the money for something specific.

[Shaw66]

22 minutes ago, BuffaloBills1998 said:

I could be wrong but I think some of you guys that want either Ertz or Julio are going to be disappointed. This restructure is most likely to make room for Allen and Edmunds extensions.

I don't understand this stuff very well, but why would moving cap hit our of 2021 into later years help in extending these two guys?   The extensions will primarily hit in those later years two.   I would think that if you're working on extending them, you'd want MORE room in the later years, rather than restructuring other guys so you have less room. 

 

It seems to me it must mean that there is an acquisition coming that they need cap room for this season.

[Cheektowaga Chad]

Probably for a cornerback (Nelson) and tight end (ertz)

 

But Julio is tempting from a fan stand point

 

Are the bills in the fantasy football equivalent of when you make a wavier claim on someone just so your oppenent doesn't get him? In this case I'm referring to the bills grabbing Julio so that a team like the colts or ravens doesn't

[Einstein's Dog]

1 hour ago, Royale with Cheese said:

We save more if Addison is cut now being that its June 1?

Yes, but Addison's finances make it a bad move.  While you save more, the Bills still lose out on significant cap space.  Butler, on the other hand, has cap savings of around $4mill if traded.

 

IMO, this could be the move to unlock enough for Ertz and Nelson.  I would be ecstatic.

[YattaOkasan]

27 minutes ago, BuffaloBills1998 said:

I could be wrong but I think some of you guys that want either Ertz or Julio are going to be disappointed. This restructure is most likely to make room for Allen and Edmunds extensions. Don’t be surprised or disappointed if Beane doesn’t go for either Ertz or Julio in a trade.

Agree with @Shaw66, Josh and Tremaine are on the books for this year so you dont need to free space THIS year for their contracts.  Overall, I don't expect Tremaine to get an extension till probably after his 5th season.  Really need to see sustained growth with him.  

 

I do agree this is more likely to be an uexpected move.  My dark horse is for a 1 Tech and now that Star doesnt cost money to cut they bring in some competition.

[Cheektowaga Chad]

3 minutes ago, Shaw66 said:

I don't understand this stuff very well, but why would moving cap hit our of 2021 into later years help in extending these two guys?   The extensions will primarily hit in those later years two.   I would think that if you're working on extending them, you'd want MORE room in the later years, rather than restructuring other guys so you have less room. 

 

It seems to me it must mean that there is an acquisition coming that they need cap room for this season.

I agree that this is likely an acquisition move but a move like this could be an Allen extension. This would allow the team to spread the QB cap hit out over an additional year which could end up being a slight net positive

[YattaOkasan]

6 minutes ago, Cheektowaga Chad said:

Are the bills in the fantasy football equivalent of when you make a wavier claim on someone just so your oppenent doesn't get him? In this case I'm referring to the bills grabbing Julio so that a team like the colts or ravens doesn't

No, the bills have a cap that most fantasy football leagues dont have.  Particularly ones where you make that type of move.

2 minutes ago, Cheektowaga Chad said:

I agree that this is likely an acquisition move but a move like this could be an Allen extension. This would allow the team to spread the QB cap hit out over an additional year which could end up being a slight net positive

Are there any examples of that type of contract structuring happening.  Also would note were talking about moving up 7 mil.  That would be 1.4 mil per year savings if a 5 year deal.  Not even that much benefit imo.

Edited June 1, 2021 by YattaOkasan