The NFL may gift the LA Rams a huge boost to salary cap space

Let's discuss PPEs and how they work

The LA Rams roster is built primarily from players who were selected in the NFL Draft in rounds two through five, with the occasional undrafted player sprinkled in intermittently as well. Because the NFL and NFLPA Collective Bargaining Agreement has negotiated a rather strict pay scale for rookies in their first contact, the two sides agreed to define specific PPEs to add additional compensation to the final year of that rookie's contract.

• Level One - Level One is structured a bit differently for Round 2 players versus Round 3-7 players. Path A requires the player (Round 2) to play 60 percent of the offensive or defensive snaps in any two of his first three seasons. For other players (Round 3-7) they need only play 35 percent of the offensive or defensive snaps in any two of his first three seasons. Path B requires the player (Round 2) to average 60 percent of the offensive or defensive snaps over his first three seasons. Other players (Round 3-7) need only to average 35 percent of the offensive or defensive snaps over their first 3 seasons.
• Compensation for Level One PPEs increases the compensation in the fourth contract year to that of an original-round tender for restricted free agents in that fourth year.

• Level Two - Level Two PPEs require the player to participate in at least 55 percent of the offensive or defensive snaps in each of his first three seasons.
• Compensation for Level Two PPEs increases the compensation in the fourth contract year to that of an original round tender for restricted free agents in that fourth year, plus an additional $250,000.

• Level Three - Level Three PPEs require the players to be selected to the Pro Bowl on the original ballot in at least one of his first three seasons. Because the Pro Bowl is a rare honor for a player on their rookie contract, this is an especially difficult plateau to reach. In 2024, both WR Puka Nacua and RBB Kyren Williams were able to achieve this feat.
• Compensation for Level Three PPEs increases the compensation in the fourth contract year to that of a second-round tender for restricted free agents and the player's Year 4 rookie salary, less any signing bonus prorations. For Puka Nacua and Kyren Williams, their projected fourth-year compensation will now rise to more than $4.633 million. Williams will earn that amount in 2025, while Nacua will earn that amount in 2026.

That is just the tip of the iceberg, but it does give you a solid beachhead to navigate the white water rapids of how various factors can impact how much a team can spend on players, and how those unknown variables from the past can play a significant role in how much the Rams can spend in the future.

Now that we have that all behind us, and assuming that you are still reading along, let's get to the juicy stuff, just how much can the Rams spend in 2024?