What is LTIR in NHL? How does it affect a team's salary cap?

LTIR stands for Long-Term Injured Reserve in the National Hockey League (NHL). It is a mechanism that allows teams to place players who are injured and expected to miss a significant amount of time on a special reserve list. By placing a player on LTIR, the team gains relief from the player's salary cap hit.

When a player is designated as LTIR, their salary cap hit is temporarily excluded from the team's overall salary cap calculation. This provides the team with additional flexibility to make roster moves or sign new players to replace the injured player.

The amount of relief granted is equal to the injured player's cap hit, minus any replacement player's cap hit. This allows the team to exceed the salary cap by the amount of the injured player's cap hit, providing some relief from financial constraints.

It's worth mentioning that LTIR usage and its impact on the salary cap are subject to specific rules and regulations outlined in the NHL's Collective Bargaining Agreement (CBA). Teams must adhere to these rules to ensure compliance and avoid any potential penalties or sanctions.

Explaining LTIR Pool and its conditions

The "LTIR Pool" refers to the maximum amount by which a team can exceed the salary cap due to long-term injured reserve (LTIR) status. It is calculated based on the cap hit of the LTIR player minus the team's available cap space when the player goes on LTIR.

If a team can be cap compliant on opening day without using LTIR or utilizes LTIR at any point during the season, the LTIR Pool is determined by subtracting the team's cap space from the cap hit of the LTIR player. For instance, if a player with a $6 million cap hit goes on LTIR when the team has $300,000 of cap space, the LTIR Pool would be $5.7 million ($6 million - $0.3 million).

However, if a team cannot be cap compliant on opening day without LTIR, the LTIR Pool is equal to the amount by which the team exceeds the salary cap. For example, if a team is $2 million over the cap and places a player with a $3 million cap hit on LTIR for the opening roster submission, the LTIR Pool would be $2 million, representing the excess over the cap.

During the period when a player is on LTIR, the team does not accrue cap space, meaning any unused portion of the LTIR Pool cannot be carried over for future use.