Patriots lose less than $ 5million in caps by re-signing Cam Newton

Soon after news came out that the New England Patriots have re-appointed starting quarterback Cam Newton for a one-year contract, the first details of the deal began to swirl. The first such report put the pact at a value of “nearly $ 14 million” but lacked additional information to determine its salary cap, guarantees and other important details.

Looking at these as reported by Mike Garafolo of NFL Network, it becomes clear that the $ 14 million is a far cry from the actual impact of Newton’s deal cap. In fact, his contract will hit the Patriots’ books with just $ 4.91 million – the league’s 31st highest cap among quarterbacks.

Newton’s deal has a base value of $ 5 million and can be broken down as follows:

• $ 2 Million Signing Bonus
• Base salary of $ 1.5 million
• $ 1.5 million roster bonus per game
• Incentives of $ 9 million

While Newton’s signing bonus and base salary are fully guaranteed and therefore count towards the Patriots’ salary cap, his per-game bonuses are not yet fully on the team’s books: Newton missed a contest in 2020. after testing positive for Coronavirus, which means only $ 1.41 million of the $ 1.5 million bonus – the value of 15 games – is considered likely to be won this season.

This 16th game, meanwhile, falls into the “unlikely to win” category: the $ 93,750 it is worth will only count against the Patriots’ books if Newton hits the necessary parameter. This means that only if he’s active for 16 games in the 2020 regular season will New England’s salary cap have to absorb the bonus of $ 93,750.

His additional $ 9 million in incentives, meanwhile, cannot impact the Patriots’ cap for 2021 – they only become relevant for 2022 if they are met.

What do these incentives look like? While no full details are available, they likely relate to individual honors such as Pro Bowl, All-Pro, or MVP selections, and playoff success. Newton didn’t achieve either in 2020, which means these bonuses probably won’t be earned either.

For Newton to reach the full value of his contract, then, he would have to play at MVP level while leading the Patriots to a Super Bowl victory. At the bare minimum, his deal still gives New England solid value for a well-respected veteran with considerable starting experience.

Adding Newton’s contract to the equation (but not those of Trent Brown or Justin Bethel) gives the Patriots a salary cap of $ 60.37 million, according to Miguel Benzan.