LaLiga Announces Salary Limits for Spanish Football Clubs: Barcelona Experiences Significant Drop

As happens every summer days after the market closes, LaLiga announced this Thursday the Sports Squad Cost Limits (LCPD) of the LaLiga clubs EA Sports and LaLiga Hypermotion, what is commonly known as salary limits. The most striking thing is that Barcelona goes from 648 million salary limit that he had after the last winter market at the 270 million. That means a drop of no less than 378 million in their salary limit.

Once the effect of last summer’s levers had passed, Barcelona already knew that it had to tighten its belt so as not to be overextended. Despite the efforts since it has reduced its salary bill by around 160 million, the club chaired by Laporta remains exceeded and does not abide by the 1/1 rule, which has prevented it from making big signings (in terms of cost) this summer .

As expected, the team with the highest salary limit continues to be Real Madrid. The white club goes from the 683 it had last season to 727. Atlético de Madrid also has a higher salary limit than Barcelona and is the second team with the highest limit with 296 million.

What the LCPD includes

The sports squad cost limit includes spending on players, first coach, second coach and physical trainer of the first team (what is called registerable squad) and also spending on subsidiaries, quarry and other sections (non-registerable squad).

The concepts that are included in the limit of the cost of registerable and non-registerable sports staff are: fixed and variable salaries, social security, collective bonuses, acquisition expenses (including commissions for agents) and amortizations (player purchase amount imputed annually depending on the number of years of the player’s contract). Clubs do not have to consume the entire limit.

How LCDP is calculated

To calculate the Sports Squad Cost Limit, the budgeted income of each club is taken into account (income from subscriptions, box office, commercial contracts, television rights, player transfers, forecast of where they will arrive in the Champions League…) This is subtracted from the budgeted non-sports expenses (office rental, non-sports personnel payrolls, electricity, internet…), the payment of any debts you have and the losses you carry over from the previous season. The result of this operation is the Sports Squad Cost Limit, what the club can spend on its squad.

A club can also increase its salary limit with a capital increase (only in the case of SAD). Of this increase, only 80%, 65% or 50% can be allocated to transfers, depending on the financial situation of each club, and no more than 25% of the turnover can be increased. Furthermore, you cannot enjoy that money in one go, but in four seasons in LaLiga Santander and two in LaLiga Smartbank.

2023-09-14 10:42:48
#Barça #million #Madrid #soars

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