Photo: The Sportster
CapFriendly.com tweeted on Tuesday afternoon how income taxes are considered in contracts. This came after Tampa Bay Lightning forward Nikita Kucherov signed an eight-year contract extension worth $76 million ($9.5 million AAV) on Tuesday. Kucherov, who was third in the NHL with 100 points this season, could have become an unrestricted free agent.
This relates to Kucherov’s contract because Florida has no income tax.
Tampa Bay along with the Nashville Predators, Dallas Stars, Florida Panthers and the Vegas Golden Knights have the highest take-home pay in the league while the Ottawa Senators and Toronto Maple Leafs have the lowest.
The Washington Capitals (counted as Virginia) have 11th lowest in the league with a federal tax rate of 39.14% and a state rate of 5.75%. The estimated tax rate is 47.87%, the tax paid by the Capitals is $4,547,370, and the net salary is $4,952,630.
Here is how the Capitals stack up to the rest of the league.
This is how $9.5M salary stacks up when income taxes are considered.
Highest take home pay: TBL, NSH, VGK, DAL, FLA
Lowest: OTT, TOR
— CapFriendly (@CapFriendly) July 10, 2018
By Harrison Brown