Question
QUESTION 7 of 20 : Matthew Stafford threw for 3,777 yards in 2018. He has an incentive in his contract for 2019 that will reward him with 150,000 If he throws for 3,000 yards, another 150,000 for 4,000 yards, and a final 150,000 for 5,000 yards. What portion of the incentives above will count against the salary cap in 2019? a) so b) 150,000 C) 300,000 d) 450,000
Solution
4.7
(264 Votes)
Annabelle
Master ยท Tutor for 5 years
Answer
The answer is (b)
150,000 incentive for reaching 3,000 yards is considered LTBE and counts against the 2019 cap.The incentives for 4,000 and 5,000 yards are considered ULTE because he didn't achieve those milestones in 2018. They won't count against the cap *unless* he actually reaches those milestones during the 2019 season. If he does, the team will need to account for that additional cap hit at that time.