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The NFL salary cap for 2019 was set at $ 188.2 million per team, up from $ 177.2 million last year. This is a sixth consecutive year of at least $ 10 million.
The final figure is the result of negotiations between the NFL and the NFL Players Association and is primarily related to league revenue. It does not include benefit costs, which one source estimates would cost about $ 40.5 million per team this year. This means that the total allocation of each team for players' costs will rise to around $ 228.7 million.
Benefits of $ 40.5 million per team include old-age pension payments, health care costs, 401 (k) payments, injury protection costs and performance pay.
A novelty this year in the performance-based pay category is a "performance-based pay" pool that will only be available to players with one or more accredited seasons. The total amount allocated per team to performance pay is approximately $ 7.2 million. According to the source, $ 2.6 million would be the new "Performance Veteran" credit, an amount that would allow teams to reward veteran players (instead of recruits) who outperformed their contracts.
The 2011 collective agreement provided for two four-year periods during which teams would spend at least 89% of the total cost of the cash wage cap. The league is currently in the third year of the second of these four years and, according to the NFLPA, only four teams are under that 89% threshold – the Dallas Cowboys, Buffalo Bills, Indianapolis Colts and Houston Texans.
Any team that does not meet the 89% expense requirements at the end of the four year period is required to make up the difference between the cash payments to the players who played for them during that period.
The 2011 collective agreement expires after the 2020 season. The league and the union have not yet engaged in substantive discussions on a new one.
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