Skip to content

Here’s the deal with retaining salary in trades

Jan 8, 2013, 11:02 AM EDT

marleauridingzamboni

More details of the NHL’s new CBA were unearthed on Monday, with a big one — teams gaining the right to retain salary in trades — getting plenty of reaction across the league.

The rule, as according to ESPN’s Pierre LeBrun:

A club cannot absorb more than 50 percent of the players’ annual cap hit/salary in any trade. Any NHL club can only have up to three contracts on their payroll in which the contract was traded away under the retaining salary proviso.

Also, only up to 15 percent of your upper limit cap amount can be used up by the money you have retained in trades.

Take, for example, San Jose Sharks forward Patrick Marleau, who has two years remaining on his four-year, $27.6 million deal — he’s owed $6.9 million in salary annually and carries a $6.9 million cap hit.

Now, say the Sharks want to trade him to Montreal. (NOTE: Marleau has a no movement clause. ANOTHER NOTE: Montreal is mentioned solely for example purposes.)

The new rule would allow San Jose to absorb $3.45 million in both salary and cap hit to facilitate the deal, leaving Montreal to pay the remaining $3.45 million.

Pretty interesting, huh?

The key part is it’ll allow much more flexibility when it comes to flipping players, especially guys with big price tags.

In the case of Marleau (who’s been the subject of trade rumors for a while), one sticking point has always been his contract — he has the NHL’s 23rd-highest cap hit for 2013-14, a hefty chunk of change that potential suitors would have a tough time swallowing.

Chop the incoming cap hit in half, though, and the deal suddenly becomes much easier to stomach.

Latest Posts
  1. Report: Further coaching hires expected for Sharks

    Jul 30, 2015, 10:27 PM EDT

    Peter DeBoer Getty Images

    Former NHL stars are among the list of likely candidates.

  2. Habs’ Galchenyuk inks two-year extension

    Jul 30, 2015, 7:52 PM EDT

    Alex Galchenyuk Getty Images

    The deal is reportedly worth $5.6 million.

  3. Flames prospect Kylington cleared to play in North America

    Jul 30, 2015, 7:11 PM EDT

    Oliver Kylington Getty Images

    At one point he was listed as the top European skater in the 2015 draft.

  4. Voracek turns monster season into massive eight-year deal

    Jul 30, 2015, 5:52 PM EDT

    Jakub Voracek Getty Images

    The Flyers also have forwards Claude Giroux and Sean Couturier locked up.

  5. Zubrus clears waivers, is ‘surprised’ by buyout

    Jul 30, 2015, 4:22 PM EDT

    Dainius Zubrus Getty Images

    The 37-year-old still wants to continue his career.

  6. Coyotes want long-term deal with Glendale

    Jul 30, 2015, 2:01 PM EDT

    PNI Coyotes Deal 0611 PNI Coyotes Deal 0611

    “Nobody benefits from a short-term deal like this, in particular, our hockey department.”

  7. Report: Canucks, Sutter closing in on five-year deal, north of $20M

    Jul 30, 2015, 1:15 PM EDT

    Pittsburgh Penguins v New York Rangers - Game One Getty Images

    Vancouver wasting little time locking up the target of Tuesday’s trade.

  8. Bruins in talks with veteran d-man Zidlicky

    Jul 30, 2015, 12:50 PM EDT

    Tampa Bay Lightning v Detroit Red Wings - Game Three Getty Images

    Boston could use some depth on its back end.

  9. Ex-NHLer Ling charged with battery, theft

    Jul 30, 2015, 10:50 AM EDT

    David Ling in action Getty Images

    Alleged incident involved a female victim.

  10. Jacobs feels firing Chiarelli was right move, cites cap management

    Jul 30, 2015, 9:00 AM EDT

    Jeremy Jacobs Getty Images

    The former general manager “wasn’t prepared to make the changes that needed to be made.”

  11. Former NHL forward Berezin arrested for alleged fraud

    Jul 29, 2015, 10:40 PM EDT

    Sergei Berezin Getty Images

    He played in 502 games, primarily with the Toronto Maple Leafs.

  12. Coyotes sign German League standout goalie Treutle

    Jul 29, 2015, 9:12 PM EDT

    Niklas Treutle Getty Images

    The 24-year-old gives agreed to an entry-level deal.

  13. Shero: Buying out Zubrus creates flexibility to add forward

    Jul 29, 2015, 6:27 PM EDT

    Dainius Zubrus Getty Images

    “It really wasn’t about Dainius himself.”

Top 10 NHL Player Searches
  1. D. Stepan (2599)
  2. G. Bettman (1753)
  3. A. Larsson (1673)
  4. L. Couture (1626)
  5. B. Holtby (1622)
  1. J. Toews (1561)
  2. A. Chiasson (1425)
  3. M. Johansson (1320)
  4. A. Semin (1273)
  5. B. Gionta (1218)