Post-June 1st Designation: How does it work in the NFL?

Mar 28, 2024, 12:00 PM

SANTA CLARA, CALIFORNIA - OCTOBER 03: Defensive end Arik Armstead #91 of the San Francisco 49ers looks on against the Los Angeles Rams during the fourth quarter at Levi's Stadium on October 03, 2022 in Santa Clara, California. (Photo by Thearon W. Henderson/Getty Images)

(Photo by Thearon W. Henderson/Getty Images)

BY AMILIANO FRAGOSO

San Francisco 49ers Beat Writer

After a few crazy weeks of speculation and deals, 2024 NFL Free Agency is finally winding down.

The 2024 offseason has seen a flurry of move reset the NFL landscape, with several mainstay players departing their long-time teams for greener pastures. Along with that comes some confusion however, especially when it comes to Post-June 1st cuts. Many key players were designated for such this year, including former San Francisco 49ers captain Arik Armstead.

But what exactly does that mean for an NFL team? Let’s dive into the specifics on Post-June 1st designations.

The following players were officially released overnight with Post-June 1 designations.

Cardinals LT D.J. Humphries
Ravens WR Odell Beckham, Jr.
Bills CB Tre'Davious White
Broncos QB Russell Wilson
Raiders QB Jimmy Garoppolo
Dolphins CB Xavien Howard
Saints WR Michael Thomas…

— Field Yates (@FieldYates) March 14, 2024

What is the Importance of Post-June 1st in the NFL?

June 1st serves as an important day on the NFL league calendar as it is the final day before different salary cap implications come into effect for teams.

If a player is released or traded prior to June 1st, all of his future guarantees and remaining signing bonus will be accelerated into the team’s cap space for that season. If the team designates the player for post-June 1st, then the remaining money gets split into two league years.

NFL teams will do this to offset costs of high cap hits in order to create more financial flexibility.

For more explanation, click here.

How does the NFL Post-June 1st Designation Work?

A good example of a Post-June 1st designation is the Arik Armstead situation.

DE Arik Armstead's Post June 1st Designation release means the #49ers will carry his $28.3M cap hit until 6/1, then take on dead hits of:

2024: $10.3M ($18M saved)
2025: $15.5M

Armstead is free to sign elsewhere immediately.

— Spotrac (@spotrac) March 13, 2024

The former 49ers defensive tackle was on the books for a $28.3 million cap hit in 2024, third highest on the roster. After contract restructure talks broke down, SF cut him on a Post-June 1st designation. Because of that, Armstead’s immediate release created $2 million in available cap space in the moment, and $16 million that can be used after June 1st this offseason.

The 49ers will still hold onto $10.3 million in dead money in 2024, but will divide his remaining guaranteed money over into 2025. For Armstead, that’s $15.5 million of dead cap the 49ers will hold onto next league year.

While those numbers might seem daunting, for an organization in win-now mode like the 49ers, it gives them more flexibility in the present moment to make additional moves. SF used the additional space to add talent on both the offense and defense this month, and will get additional room after June 1st to take moves.