Do NHL Draft picks get paid?

The NHL Entry Draft is an annual event where NHL teams select the rights to promising ice hockey players eligible to join the league. Notably, it originated in 1963 and is open to North American players aged 18-20 and international players aged 18-21. It is one of the ways for National Hockey League (NHL) teams to select new young talent from different junior leagues, collegiate level and from International Leagues ( most often from European leagues). These Draft selection process usually consists of seven rounds with each of the 32 NHL teams typically making one selection per round, totalling in more than 220 players getting selected annually. Looking back, it was known as the NHL amateur draft and was mostly indoors before it became a televised event in 1984. For the 2024 NHL Draft, many notable young prospects from around the globe will be eligible to make their dreams come true.

Are NHL Draft picks paid?

NHL draft picks do not get paid at the time they are drafted.

The NHL Entry Draft is primarily a means for NHL teams to select the rights to negotiate with amateur players. Once a player is drafted, they do not immediately receive a salary or contract. Instead, they continue to develop in their amateur or junior league (such as NCAA, CHL, or European leagues) until they sign an NHL contract with the team that drafted them. Once a player signs an NHL contract, they begin to receive a salary based on the terms of that contract. Therefore, the process of being drafted is the first step towards potentially earning a professional salary, but it does not result in immediate payment.

Do NHL Draft picks get signing bonus?

NHL draft picks receive signing bonuses when they sign their entry-level contracts with the team that drafted them. Signing bonuses are included in the contract and the signing bonus amount varies depending on various factors, including the player's draft position, negotiation leverage, and the team's strategy. Signing bonuses are paid to players shortly after they sign their contracts and are generally guaranteed. They can vary in amount but are often structured to provide financial security to the player as they transition into professional hockey. In addition to signing bonuses, entry-level contracts include a base salary and performance bonuses. Performance bonuses are conditional based on achieving certain milestones.

Unlike signing bonuses, performance bonuses depend on the player meeting certain criteria, like scoring some goals or helping the team reach the playoffs. These bonuses do affect the team's salary cap, but some rules allow teams to manage this impact.