Common use of Salary Cap Clause in Contracts

Salary Cap. The Salary Cap for the Salary Cap Year commencing on January 1, 2014 shall be nine hundred and one thousand dollars ($901,000). The Salary Cap for each Salary Cap Year thereafter during the term of this Agreement shall be calculated as follows: add twelve thousand dollars ($12,000) to the Salary Cap for the immediately preceding Salary Cap Year, increase the total by the Growth Factor applicable to the Salary Cap Year for which the Salary Cap is being calculated (as defined in Section 1(e) below), and subtract twelve thousand dollars ($12,000).