Great article about Stone and his tax benefits of signing his contract in NV vs states with income taxes.
forbes.com/sites/ryanlake/2019/03/07/mark-sto...
forbes.comPosted Mar 7, 2019, 5:08 PM UTC
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forbes.comLets all hope it stays that way.
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Can Someone Explain this...
The 2012 NHL Collective Bargaining Agreement initiated several new revenue sharing features, including the escrow requirement. Under the escrow agreement, a portion of a player's salary is placed into an escrow account. This agreement ensures that at the end of the season the players as a whole are receiving 50% of the total revenue generated by the league. The owners receive the other 50%.
The escrow rate is typically around 15.5% each season. The 2018-19 season started with a substantially reduced escrow rate of 11.5% however this was raised to 13.5% in December.
So Players lose 15.5% to an escorw account....that goes where? And when does the 50% of total revenue to players come into play?
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I used Google-FU and figured it out
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it goes to whichever side came up short at the end of the season when all the money has been counted. Players and Teams work together to decide the next years cap. They can set it lower which means less escrow or they can accept a higher escrow to bring the cap up higher so there is more money available to the teams to spend, but if the league falls short on revenue, then the owners keep some of or all of the escrow. If the league hits the higher total, the players get to keep their money. in 14/15 they paid 15% and got 2% back for example.
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So what do we think if it comes out they're waiting until the offseason to do anything with his contract?
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I don’t think that is the case. Between the game schedule and the GM meeting this week it will be done before the trip to Vancouver this weekend or the 4 days off after the Sunday CGY game. If it put off I’m not sure what to think. I would obviously be concerned.
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I dunno. I am worried. If that's the case, I don't see how Stone could be playing these games (and risking injury) instead of just signing asap? Seems like he might not be signing because he is not gonna sign during the season.
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Jesse Granger of the Athletic did a Q&A earlier and had this to say on the subject:
"Stone, his agent, and George McPhee all agreed to the contract in principal before the trade happened, and they simply haven't had the time to sit down and hash things out since then. Stone has been busy playing, getting acclimated with his new team, and moving from Eastern Canada to Las Vegas. McPhee flew to Florida almost immediately after the deadline for the annual NHL GM meetings. He's been busy with that, and just got back to Vegas today. So today is the first time McPhee and Stone have really been in the same place."
The guy's signing away 8 years of his life and there's a lot going on right now. There's really no reason to panic.
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If that last graphic is accurate, he's still only bringing home just over 50% of his salary. I realize he'll get some of the escrow back but wow!
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Beats Canada socialist tax rates
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If you can afford your own health insurance, yes. If you can't, fuck no.
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My health insurance was affordable before ACA and a PPO with a reasonable deductible. After it’s been a freaking disaster.
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You're in the extreme minority.
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When Pacioretty signed, there was tax talk too. Love that this is another great bonus of playing for the Knights.
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Remember, taxation is theft. Let’s keep Nevada a highly incentivized place to play.
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Now if only he could just sign the damn contract lol