How this summer's transfers have actually cost us nothing

[Rammyblues]

So the players we've sold/released were worth £45m per year in wages, but the new signings are only costing us £20m per year in wages? £20m per year is about £385,000 per week, which sounds like a low total for Ederson, Silva, Walker and Mendy combined; an average of less than £100k per week?

The wage figure will obviously get a lot bigger if we sign Sanchez, and a lot bigger again if Mbappe were to happen, never mind the transfer fee amortisation.

Wasnt there a report somewhere that Sanchez was prepared to drop his wage demands if he joined us?

 

[Big Swifty]

Yes, Sanchez says he wants to join us and will take a wage cut to do so.

 

[VOOMER]

Yes, Sanchez says he wants to join us and will take a wage cut to do so.

City, impoverishing footballers since 2008

 

[quiet_riot]

Hadn't we started getting players in on much lower wages, but with better bonus fees, which didn't count towards FFP or something?

 

[crazyg]

The press always like to slag the club of who spends the money never the club that holds out to the best price

Only if it's City!

 

[Prestwich_Blue]

Is this not a calculation every club works out? Sales plus loss of wages = budged. I guess the restructuring of our basic salaries will be a big advantage this summer.

Of course every club will do this but have you seen any press reports saying something like "City have spent big but they'll recoup that through wage savings and player sales in the longer term"? Me neither.

So the players we've sold/released were worth £45m per year in wages, but the new signings are only costing us £20m per year in wages? £20m per year is about £385,000 per week, which sounds like a low total for Ederson, Silva, Walker and Mendy combined; an average of less than £100k per week?

The wage figure will obviously get a lot bigger if we sign Sanchez, and a lot bigger again if Mbappe were to happen, never mind the transfer fee amortisation.

Five players were out of contract. Kolarov & Nolito have already gone with Fernando & Iheanacho not far behind. Yaya has taken a wage cut (& I'd guess that could be as much as £50k a week) and Hart is effectively off the wage bill. Bony could well be on his way and I'm assuming we'll also sell Nasri & Mangala. So that's possibly 13 off the wage bill plus Yaya's cut, with 6 coming in. And of those Walker will have been on the biggest money at his old club and that won't have been more than £60k I bet.

We're also not paying what we paid people like Nasri & Clichy in the boom years of 2010-11, when we were paying top whack for anyone decent. So I don't think the comparison is unreasonable.

 

[jimmygrimblesboots]

Yes, Sanchez says he wants to join us and will take a wage cut to do so.

Not sure how Sanchez would survive on £250k a week , but i would give it a go.

 

[domalino]

So the players we've sold/released were worth £45m per year in wages, but the new signings are only costing us £20m per year in wages? £20m per year is about £385,000 per week, which sounds like a low total for Ederson, Silva, Walker and Mendy combined; an average of less than £100k per week?

The wage figure will obviously get a lot bigger if we sign Sanchez, and a lot bigger again if Mbappe were to happen, never mind the transfer fee amortisation.

All going as planned, we'll be getting :

Hart
Caballero
Sagna
Zabaleta
Mangala
Clichy
Kolarov
Fernando
Delph
Nasri
Nolito
Navas
Bony

As first team players off the wage bill, and Yaya's taken a massive paycut.

We've added 5, and I don't see them earning too much more then the ones they're replacing so we'll be making a massive saving.

 

[Delphacito]

No this isn't one of those stupid rag type calculations where they work out shirt sales and all that crap.

Been running a few figures following on from a comment in the Balance Sheet thread but think this is important enough to warrant its own thread.

There's been much wailing and gnashing of teeth over our spending this summer naturally but no one has looked at the bigger picture.

We've so far brought in 6 players (including Luiz) who've cost us around £215m. Over the next 5 years they'll probably cost us around £100m in wages, meaning the 5 year cost will be £315m.

But we've also lost or will be losing loads of players off the wage bill and have got/will be getting fees for some of them where they're still under contract. I reckon we'll have reduced the wage bill by something like £45m a year, which is £225m over the same 5 year period.

The fees for these players (plus Mooy, Zuculini, Unal etc) should easily exceed £100m, meaning that our overall gain over 5 years is at least £325m from cash in and wage savings. So over a 5 year period these players have had no net impact in cash terms.

There's a small flaw in your theory there regarding the wage bills of players that are sold. You are going with the assumption that had they not been sold, their contract would've been extended to the amount of 5 years with the same wage amount that they're in now, which would never happen. It would obviously be lower than what they are now.

 

[meltonblue]

We are in the privileged position of being able to purchase players in the first place without having to cover it through accrual of debt though aren't we?

I get the p&l side, just trying to work out the balance sheet side.