The NHL and NHLPA announced today that the salary cap for 2016-2017 will be set at $73 million. The cap floor has been set at $54 million (minimum amount of salary). The salary cap raised 2.6 million from last years $71.4 million dollar cap and the minimum raised $1.2 million from last years floor of $52.8 million.
The critical factor in the salary cap rising is the fact that the players had to elect to use the escalator clause in the CBA. The players elected to use this 5% escalator to help increase the cap by 1.6 million.
There are a few factors that limited the salary cap change this year, the most prevalent being the value of the Canadian dollar. This played a major role in the decline in league revenue this past season. This decline limited a larger cap increase.
The new salary cap plays a large role in the decisions that NHL General Managers face in the coming months. It will play a big role in what General Managers can spend on unrestricted free agents such as Tampa Bay Lightning superstar Steven Stamkos.
Brad Burud the owner/editor of the Inside Edge Hockey News. I am a huge fan of hockey, from youth hockey, to junior hockey, and of course professional hockey. I have played, coached, worked as statistician, and watched hockey all of my life. Hockey is not just a game, it is a lifestyle and family. The game of hockey is great! It can bring you nights of great enjoyment. It also brings nights where you feel like your team will never win. I am proud to be a journalist for the greatest game in the world. I have a degree in Business Administration, Psychology from Minot State University. I also have a Hockey General Manager and Scouting, and Sports Communications/Journalism degree from Sports Management Worldwide. I am also a member of the Sports Executives Association. Most of all I am a fan. Hockey is a huge part of my life and my families life.