Void years are contract years that automatically void (cancel) on a specific date. They exist solely to spread signing bonus proration over additional years, lowering the annual cap charge.
Void years, also called dummy years, are one of the most creative cap management tools in the modern NFL. A void year is a contract year that the team and player agree will automatically cancel on a predetermined date, usually the start of the next league year. The player never actually plays under the void year, and the salary listed for that year is never paid. The sole purpose of void years is to extend the number of years over which a signing bonus can be prorated, reducing the annual cap charge. Here is how it works in practice: if a player has 2 years left on his contract and receives a $25 million restructured signing bonus, the bonus would normally prorate over 2 years ($12.5 million per year). But if the team adds 3 void years to the contract, the bonus now prorates over 5 years ($5 million per year), saving $7.5 million in cap space in each of the two real years. The catch is that when the void years activate (the contract voids), any remaining prorated bonus accelerates as dead money. The New Orleans Saints became the poster child for aggressive void year usage under GM Mickey Loomis and salary cap guru Khai Harley. They used void years extensively to push cap charges into the future, allowing them to field competitive rosters while Drew Brees was in his twilight years. The strategy worked in the short term but left the Saints with massive dead money charges once those void years activated, contributing to their prolonged cap difficulties. Other teams have since adopted void years more judiciously, using them as a targeted tool rather than a systemic crutch. The CBA limits proration to five years total, so void years cannot extend proration beyond that window.
Category: Contract Structure. Part of the StickToTheModel NFL Encyclopedia.