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OOTP Revenue Sharing: Explained

Posted: Wed Jan 02, 2013 1:37 pm
by ReignOnU
I'm writing this from memory and I'll double check later...

Who Pays:
- If your total player expenses + staff expenses are greater than the league average, then you pay 50% on every dollar.
- This includes costs for firing coaches and paying out their contracts and releasing players.
- Do NOT confuse this with player payroll. The payroll is just the total of the current salaries. The luxury tax is based on actual expenses paid. So if you have a huge payroll for 3/4 of the season, then make drastic cuts at the deadline, you will still likely be over in expenses.

Who Receives:
- The bottom half (14 teams out of 28; 15 teams out of 30), based on total player expenses + staff expenses.

Special Notes:
- Even if you are $1 under the league average, you will receive the full amount of revenue sharing.
- Revenue sharing amount is based on total paid into revenue sharing (based on luxury tax/salary cap) divided by half of the total teams (14 in 2020, 15 in 2021).
- It IS possible to pay into revenue sharing and also receive revenue sharing. For instance, in 2020, Washington was 1 of the bottom 14 teams in total player + staff expense. However, they were also over the salary cap and had to pay. (this is why you see different revenue sharing incomes!)

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jan 02, 2013 1:41 pm
by Ry
where do we see where our organization ranks in total expenses to date?

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jan 02, 2013 1:44 pm
by ReignOnU
BigRy wrote:where do we see where our organization ranks in total expenses to date?

And here in lies the ultimate confusion.

It takes some work to figure it out. If you just look at the financial report page, none of those rankings are what you need. To figure it out, you have to look at the individual team sections, then add up the player expense and staffing expense.

I hand keyed them all into Excel and then did all of the math. That's how I figured out the process. The only part that threw me off for awhile was a situation like Washington in 2020.

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jan 02, 2013 2:16 pm
by brwnbear
Do draft expenses play a role?

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jan 02, 2013 2:33 pm
by ReignOnU
I'm not sure what rolls into the player expenses line. Maybe that's the next venture!

Re: OOTP Revenue Sharing: Explained

Posted: Fri Jan 04, 2013 9:45 am
by ReignOnU
Bump... just want to be sure guys read this. AJ, can you pin it on the forum?

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jul 24, 2013 1:43 pm
by The_Niddler
Reading through this, as I am trying to expand my OOTP understanding, since Reign, you have a spreadsheet, can you post in your first post what the league average is?

Or am I asking too much and this is something that we will have to figure out on our own?

Re: OOTP Revenue Sharing: Explained

Posted: Wed Jul 24, 2013 2:26 pm
by ReignOnU
It requires building a spreadsheet if you want exact numbers... and it's not something that will be incredibly helpful this early in the season. If you'd like to understand how it works, you could figure it out based on LY information from the individual team finances.

Re: OOTP Revenue Sharing: Explained

Posted: Mon Jan 25, 2021 9:25 am
by DParm
i think this needs to be revisited. we are running on a policy that is almost 8 calendar years old?