How will the LA Rams pay their 2020 NFL Draft class?
By Larry Brake
Considering the current LA Rams salary cap situation, how are they going to pay for their 2020 NFL Draft class?
The countdown to the 2020 NFL Draft is winding down. Unless the LA Rams make a move, they will make their first draft pick in round two, with the 52nd pick on April 24th. Have you seen their current salary cap situation?
According to overthecap.com, the Rams are in the red. They are $5,349,165 over the salary cap limit. Unless there is a mass contract reconstruction of the top salaries, how will their draft class get paid?
Remember, Todd Gurley’s release will get them close to a zero balance. The Brandin Cooks’ trade has done little to ease the Rams’ financial strain. The Rams will be stuck with a $21 million dead money which will count against their cap number.
The Rams could gain $13.7 million in salary cap by trading Jalen Ramsey, per overthecap.com. Trading away Ramsey would be as unpopular with Rams fans as is the new logo. In reality, can the Rams afford another high salary on the books?
LA can not sign any available free agent until they deal with their money woes are straightened out. Of course, if overthecap.com is accurate in its assessment of the Rams cap numbers. Which contracts could be restructured?
Would the LA Rams restructure these contracts to pay the 2020 rookie class
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First, QB Jared Goff has the largest contract on the Rams team. His earnings for 2020 will account for $36 million or 18% against the salary cap space. The LA Rams could theoretically save $31 million if traded after June 1st.
Goff is scheduled to become a free agent in 2025. LA would not be able to extend his deal past 2025 because of dead cap potential for seasons to come. Perhaps the Rams should trade him before the draft. Probably won’t happen but would be interesting to see if they would to move into round 1.
The most likely scenario is that the Rams and Goff’s agent rework Goff’s contract. By doing so, the Rams convert both his $10 million salary and $21 million roster bonus into 2020 signing bonuses, activating the ability to spread the cap hit over the life of the contract. As we had discussed over the Brandin Cooks contract, the total contract price remains the same. But the exercise pushes 80% of the $31 million cap hit of 2020 into the next four seasons. That relieves the Rams cap hit in 2020 of approximately $24 million. Of course, that $24 million merely shows up in future years.
Next, defensive tackle Aaron Donald has the next most expensive contract. Donald’s cap number is $25 million or 12.6% of the salary cap. Like Goff, he becomes a free agent in 2025. Keep Donald as long as he wants to play, at a reasonable cost. But should the team desire to do so, savings could be found simply by extending him. Donald will turn 29 years old in May. At what point does Father Time begin to win the battle in the trenches? He is still performing at an elite level.
In conclusion, it does make financial sense to trade Goff to draft his successor. Do the Rams believe that they have their franchise quarterback? If they have any doubts, the Rams could save $16 million with a draft week trade. Would it be worth trading Goff to obtain Joe Burrow or Tua Tagovailoa under a four-year rookie contract? Could the Rams return on a Goff trade allow them to select one of the projected 2020 NFL Draft elite quarterback prospects?
There will decisions made to get the Rams under the salary cap. That’s why Gurley and Cooks are gone. Who’s next, because the draft class has to get paid.