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Dead Money

Definition and explanation for NFLPA exam preparation

Definition

Salary cap charges for players no longer on the team's roster, typically from remaining prorated bonus money when a player is cut or traded.

Exam Tip

Understanding Dead Money is essential for the NFLPA certification exam. This concept frequently appears in questions about financial and is often tested alongside related terms like Salary Cap and Signing Bonus.

Related Terms

Salary Cap

The maximum amount of money NFL teams can spend on player salaries in a given league year. Set annually based on league revenue.

Cap Hit

The total amount a player counts against the salary cap in a given year, including base salary, prorated bonuses, and likely-to-be-earned incentives.

Signing Bonus

An upfront payment to a player that is prorated over the life of the contract (up to 5 years) for salary cap purposes.

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More Financial Terms

Salary CapCap SpaceCap HitProrationMinimum SalaryVeteran Minimum

Related Study Guide

Dive deeper into financial with our comprehensive study guide.

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