by sussexpob » Tue Jan 24, 2023 2:53 pm
It became in vogue recently to do this in USA sports where you have salary caps. They put what they call "voidable" years into a contract, so if you want to pay a player a massive short term deal you say 50 million over 6 years, all the money is spread evenly so it does not impact the salary cap, then after a pre-determined point (say 2 years), the player can void the deal and is guaranteed all the money under it.. or essentially, he signs a 2 year deal for 25 million a year, with all the remaining money hitting the cap as dead value in the 3rd year, but the idea is by that stage the team have shed enough costs to absorb it.
Slightly different in football, but I cannot see how a club that pays fully upfront is allowed to amortise the cost of an asset over multiple accounting years.. that to me is fraud. Of course, amortisation is a useful tool of accounting for the falling asset value of what you own (for instance a company car will decline continually in value, and you can account for that value with amortising it)..... but that is not this, is it? This is flat out lying to cook the books. I dont see how its legal
2010 French Open fantasy league guru 2010 Wimbledon fantasy league guru 2014 Masters golf fantasy guru 2015 Players Championship FL Guru 2016 Masters Golf Fantasy Guru
And a hat and bra to you too, my good sirs!