Performance Bonuses and Carryovers

Performance Bonuses

Performance Bonuses are paid to players based on their achievements and are not guaranteed.  Only certain players are eligible for performance bonuses in their contract:

-Entry-Level Contract Players

-Players that are 35 years or older and sign a 1 year contract

-Players with a minimum of 400 NHL Games Played signing a 1 year contract after having a long-term injury.  A long-term injury is defined as a player on Injured Reserve for a minimum of 100 days in the last year. 

While performance bonuses eventually count against the salary cap, they do not use up space during a season unless a team’s potential bonuses exceed 7.5% of the Salary Cap.  Once the season is completed, bonuses earned are added to the final team cap hit. If the total exceeds the salary cap, the amount in excess of the cap is an overage cap charge the following season.

If a team exceeds the Salary Cap due to performance bonuses, then any amount over the Salary Cap is considered a Bonus Carryover, and counts against the cap in the next season. 

Signing Bonus

Signings Bonuses are paid upon signing a contract, or paid out on July 1 of a contract year.  Signing bonuses are similar to salary as both are guaranteed.