La Liga Salary Cap – Season 2019/2020

La Liga recently published the figures for the salary cap for the season 2019/2020.

As expacted the salary cap for the two big players Real Madrid and FC Barcelona clearly exceed the other clubs in La Liga.

The salarycap is the maximum amount that each club can spend during the 2019/2020 season after the winter market, and includes the expenditure on players, first coach, second coach and first team physical trainer (staffing costs eligible under Article 38 of the Budgeting Rules).

It includes fixed and variable salaries, social security, collective premiums, acquisition costs (including commissions for agents) and amortisation (purchase amount of players charged annually according to the number of years of the player’s contract).

This limit also includes expenditure on subsidiaries, youth teams and other sections (non-registrable staff, as defined in Article 38 of the Budget Rules).

The salary cap for each club is based on the following:

1. Expected income (e.g. television, marketing and match-day revenue)
2. Average amount of transfer income over the previous three years

 The Non-sport expenses such as travel, security and non-sports staff will be deducted.

Each club calculates their salary limit and it is submitted to La Liga for validation and also applies to the Segunda Division. It is up to the LaLiga Validation Body to approve the proposed limit or, where appropriate, to rectify it up to an amount that guarantees the financial stability of the club.

The Sports Staffing Cost Limit may be increased under the conditions and procedure set out in Title III of the Rules for the Preparation of Budgets for Clubs.