Minimum Salary Provision

1. What is the minimum salary provision?

A: The collective bargaining agreement (CBA) specifies minimum salaries for players based on years of experience. For every year of experience, the minimum salary increases. This rule was instituted to reward players with more experience by creating a floor for their minimum salary. A player’s minimum salary is dependent on his number of credited seasons (CS). Refer below for the minimum salaries established for players on the active/inactive list and players who are on a team but not on the active/inactive list (for example, a player on injured reserve). Practice squad players are paid using a different scale and are not subject to these tables. Amounts are in thousands of dollars.

Minimum salary for a player on the active/inactive list:

table1

Minimum salary for a player on a team’s roster but not on its active/Inactive list:

table2

2. Won’t teams avoid signing more experienced players to minimum salary contracts because of the increased cap hit?

A: To prevent teams from shying away from veteran players due to their higher minimum salaries, the CBA developed the minimum salary benefit rule (see Minimum Salary Benefit Q&A –coming soon), which reduces the cap hit associated with signing veterans at minimum salary contracts.