COLA to be replaced by rent subsidy

[Meg]

You can put the 800k in the middle year.

Just an example of the kind of thinking that is likely to go one to squeeze as much out of a COLA as possible. Like Mick Malthouse can talk, when Carlton had that shady Visy deal for Judd. And the Tippo deal at Adelaide. When there's money involved, it's amazing how clever people can be or stupid in the Adelaide case. I'm sure there will be some imaginative stuff going on.

The new structure, if true, will remove any advantage the Swans might have had with the present COLA, but I don't think it will leave us at a disadvantage. We will probably have to be a bit more ruthless in cutting aging players. Someone like Shaw might find it harder to get another year when you can replace his salary with a new draftee's. You can get a bit of insight as to why players like Chapman and Pods got cut, even though they certainly had something to offer for another year or so.

At some point Buddy's salary will top a million, but not sure when. I'm still confused on the Tippett deal and whether this has even been made public. Don't know if he's on a 2 year deal of a 4 year deal.

I agree with most of this, including the comparison to the Geelong situation in cutting Chapman and Pods.

Re Franklin, the following is the structure that was 'exclusively' reported by SMH last year (which doesn't necessarily make it right!). This report also said that the amounts include payments under an Additional Services Agreement - the capped marketing payments that clubs can make to players for appearances and work for sponsors and which don't form part of the standard salary cap.

Yr 1 2014 $700,000
Yr 2 2015 $700,000
Yr 3 2016 $1.2 mill
Yr 4 2017 $1.2 mill
Yr 5 2018 $1.2 mill
Yr 6 2019 $1.3 mill
Yr 7 2020 $1.4 mill
Yr 8 2021 $1.5 mill
Yr 9 2022 $1.0 mill

Total $10.2 mill

Revealed: Buddy Franklin to profit heavily in later years of mega-deal

I recall reading separately that Franklin was thought to have received $800 - $850,000 at Hawthorn in 2012 & 2013.

I also don't know about the Tippett contract. It was widely reported that the offer was originally around $3.5 million over four years. But that was before the story broke about Adelaide's secret payments and the subsequent AFL actions. I haven't read a report of what the final contract was thought to look like, but some on this site have suggested it was a two year deal with an option for a further two year extension.

[Matt80]

You can put the 800k in the middle year.

Just an example of the kind of thinking that is likely to go one to squeeze as much out of a COLA as possible. Like Mick Malthouse can talk, when Carlton had that shady Visy deal for Judd. And the Tippo deal at Adelaide. When there's money involved, it's amazing how clever people can be or stupid in the Adelaide case. I'm sure there will be some imaginative stuff going on.

The new structure, if true, will remove any advantage the Swans might have had with the present COLA, but I don't think it will leave us at a disadvantage. We will probably have to be a bit more ruthless in cutting aging players. Someone like Shaw might find it harder to get another year when you can replace his salary with a new draftee's. You can get a bit of insight as to why players like Chapman and Pods got cut, even though they certainly had something to offer for another year or so.

At some point Buddy's salary will top a million, but not sure when. I'm still confused on the Tippett deal and whether this has even been made public. Don't know if he's on a 2 year deal of a 4 year deal.

I'm a great admirer of the San Francisco 49s in the NFL. During their Super Bowl winning era of the late 80s, they has a simple philosophy on player management:

"It's better to make the mistake of letting players go one year too early than one year to late".

The Swans don't practice this principle. Here are some examples.

ROK should not have had a new two year contract at the end of 2012. He should have got one year and finished up at the end of 2013. Now is one year too long.

Jude Bolton should have finished up at the end of 2012. He went on one extra year but despite some encouraging early season form he tailored off during the back end of the season. The club would have also known that the had Jed Lamb and Mitchell waiting for an opportunity.

Not sure of his contact situation, but Matner should have finished at the end of 2012.

Shaw should have finished last year after doing his ACL. Despite now playing well this should be his last year.

This should be LRTs last year!

Unless Goodes can produce some great games towards the end of 2014 then this year should be it

It's important to turn our list over because we have some great 2nd year rookies such as Lloyd, Naismith, Biggs, X Richards who deserve opportunities on the Senior list . We have one or two players who may leave at the end of the season to get more senior opportunities. Towers, Membey and Mitchell would be most at risk. This may lead to us having more that two live picks under 40, which we should use at the draft.

[Ludwig]

It's hard to say how the COLA phase out will affect Buddy's contract, as so much is unclear, especially how much is the marketing portion. Surely, potential changes in the COLA arrangements were discussed during the contract review with the AFL and you would imagine that all contingencies have been covered. For all you know the AFL will cut the COLA on Buddy's contract but add some additional marketing allowance to compensate. We will probably never know.

[Bloods05]

PS: I wonder if Eddie really said 'one foul swoop' or its just the journos or copy editor.

Very likely Eddie said it, inexcusable for The Age to report it as such, without a (sic).

[Meg]

We will probably never know.

True (nor have we any right to know). But won't stop us speculating, particularly in a bye week!

[Ludwig]

Very likely Eddie said it, inexcusable for The Age to report it as such, without a (sic).

It should be obligatory to put (sic) after everything Eddie says.

[dimelb]

It should be obligatory to put (sic) after everything Eddie says.

[Meg]

What is the average AFL players wage?

- - - Updated - - -

Whoops, meant the AFL Players Average wage?

It was reported that the average AFL salary in 2013 was $265,179, up from $251,559 in 2012. So the forecast figure of $300,000 in 2017 sounds on target.

We should be grateful if the average salary as been chosen as the benchmark for the rent subsidy as, looking at this report on 2013, the median salary must be considerably less.

AFL $1 million boys down to five in 2013 - AFL.com.au

[Mug Punter]

I'm OK with these changes.

I know it is off thread topic but the last para of Caro's article identifies Swans players who are off-contract. Bird and then Pyke the most urgent to resign for mine. You'd imagine LRT and Goodes will retire or stay on in red and white. AJ is now a big risk but will surely receive an offer. Can't see Rhyce or Mal going anywhere unless we drastically reduce their earn. ROK might get one more year as a playing mentor - there are a few clubs that could benefit from that but not at Sydney.

Given Buddy's wad I think we will need to be totally ruthless in opening up salary cap space as we have a small window before Buddy's salary starts to bite.

ROK and LRT are no chance at all to be re-signed imo and there is no way our current Australian of the Year is worth $600K. We need to re-sign as many of our next generation and any savings will allow some frontloading

- - - Updated - - -

COLA will be dumped by 2017, which we more or less knew, but what is new is that the plan is to replace it with a rent subsidy for those earning less than the average AFL wage.

On the upside for the Swans, while COLA will be phasesd out, "all existing contracts, including Lance Franklin's," will be honoured going forward.

Swans' cost-of-living allowance on way out, but rent subsidy on way in

I am satisfied with this compromise although it will do nothing to shut idiots like Malthouse up

[Meg]

Ironic isn't it that one of the reasons Malthouse was able to woo Andrejs Everitt to Carlton was because Everitt found the cost of living in Sydney difficult, despite receiving COLA!

"Everitt argued vehemently that the often-ridiculed and recently culled Cost of Living Allowance was more than just a thinly veiled scheme to assist the Swans. Recently engaged and hoping to start a family at some point, he argued that making ends meet could be challenging for players in Sydney making less-princely sums, and that despite being offered a contract by the Swans, financial considerations steered him to Visy Park."

Read more: Carlton's Andrejs Everitt showing his worth after move from Sydney

[Nico]

I don't know if that's a serious question about Foxtel but I wouldn't be surprised. I knew an AFL boundary umpire & he could claim Fox Footy as a work related expense.

Jockeys can claim Foxtel as a business expense.

[R-1]

It's hard to say how the COLA phase out will affect Buddy's contract, as so much is unclear, especially how much is the marketing portion. Surely, potential changes in the COLA arrangements were discussed during the contract review with the AFL and you would imagine that all contingencies have been covered. For all you know the AFL will cut the COLA on Buddy's contract but add some additional marketing allowance to compensate. We will probably never know.

We are also taking a calculated risk on where the total cap goes as a result of broadcast deals and EBA negotiations. The risks and variability around that would be a far bigger concern than whether COLA remains.

[barry]

Changing to a rental model for Under $300k wont stop us using it to sign big deals.

Say we have a few players at the $200k. Level. Ie,what other clubs would offer them.
we offer them $190k, and let the top up take them to $205k. Enough to keep them. But also enough to free up $10,000 per player in our cap. 10 players like that.. Equals $100k extra to offer the next buddy.

[Reggi]

Fact remains we have lost more players to salary cap pressure than any other club and I expect it To return

Darren Gaspar
Adam hueskes
Shannon grant
Anthony rocca
Simon Garlick
( Ross Lyon and tony mcguiness)
Paul Licuria
Jed lamb
Andrews Everitt
Adam Schneider
Sean dempster
Jesse white
Shane Mumford

To name but some

[Doctor J.]

Fact remains we have lost more players to salary cap pressure than any other club and I expect it To return

Darren Gaspar
Adam hueskes
Shannon grant
Anthony rocca
Simon Garlick
( Ross Lyon and tony mcguiness)
Paul Licuria
Jed lamb
Andrews Everitt
Adam Schneider
Sean dempster
Jesse white
Shane Mumford

To name but some

You could add Maurice Rioli and Tim Barling. In fact we were the first club to lose players due to salary cap pressure