Teams across the NFL felt the financial impact of the COVID-19 pandemic this year when the league was forced to lower the salary cap as a result of lost revenue from stadiums being at limited capacity or not allowing fans at all. The cap decreased by 8%, dropping from 198.2 million in 2020 to $182.5 million this year.
Fortunately, the cap is bound to bounce back up in 2022. According to Tom Pelissero of NFL Network, the NFL and NFLPA agreed to a salary cap ceiling of $208.2 million next year. That means the cap can increase by as much as $25.7 million in 2022, but there hasn’t been a floor set yet.
So the salary cap could fall below the $208.2 million ceiling, depending on revenue projections from the league.
The real spike in the salary cap could come in 2023 and the following years when money starts flowing from the NFL’s lucrative new TV deals. This year, the league announced new long-term contracts with Amazon, FOX, NBC, ABC and CBS for broadcasting games.
Plus, with sports betting getting legalized in more states, revenue from that area should also help the league – and thus, the salary cap.