Real Madrid, the club with the highest salary cap
LaLiga has updated the salary limits for players and staff through the current season. The update places Real Madrid at the forefront again, with a maximum salary cap of 727 million euros, rising from 683 million euros last season. Atletico Madrid sits second, with a cap of 296 million euros, down from 344 million the year before, while Barcelona and Sevilla follow with ceilings of 270 million and 168 million euros respectively. These figures reflect ongoing adjustments as clubs recalibrate their payrolls to align with sustainable budgeting and competitive needs across the league.
Valencia gets 85 kilo fair play
Valencia CF has expanded its fair-play allowance for the current season, now reporting an investment cap of 85 million euros. This marks an increase of 10 million euros compared with the prior year, signaling a shift in financial flexibility for the club. In contrast, Alavés, UD Las Palmas, and Getafe hold the lowest ceilings in La Liga, with 31, 35, and 40 million euros to deploy respectively. The distribution of these caps highlights how the league balances competitiveness with long-term fiscal responsibility among its teams.
What salary cap will each La Liga team have in the 2023-2024 season?
The precise figures reflect ongoing adjustments after the winter window. Clubs must align their declared selection costs with the league’s budgeting rules, and the LaLiga Validation Body evaluates and can adjust proposed limits to safeguard financial stability. This process ensures teams do not overextend beyond sustainable levels, even as individual situations vary from club to club. The system rewards prudent planning and transparent reporting, allowing fans and analysts to gauge each team’s financial health alongside on-field performance.
The rules for clubs exceeding their salary cap
During the 21/22 season, LaLiga’s delegated committee introduced changes to how teams that exceed their salary cost limit can register players. The aim is to push clubs toward reduced payrolls and sustainable spending. When a club surpasses its cap, it can still register players under specific conditions. First, it may add players whose salaries do not exceed 25% of the released salary mass. Second, it can register players whose costs do not exceed 25% of the net benefit from the transfer of those players. In some cases, a higher threshold—up to 50% of the net profit from a sale—applies, provided the individual salary of the player is at least 5% of the registrable squad’s cost. These rules create a careful balance between immediate squad needs and long-term financial health, encouraging clubs to make measured decisions about recruitment and player retention.
How does LaLiga’s salary cap work?
LaLiga’s official guidance explains that each club or SAD proposes its selection cost limit to the league, following budgeting rules. The Validation Body then approves or adjusts the proposed limit to ensure the club’s financial stability. Importantly, the proposed expenditure does not necessarily equal the approved limit, and the cap can rise or fall depending on the club’s budgetary conditions and the procedural steps outlined in the league’s governance framework. This framework ensures a consistent approach to balancing sport and sustainability across the league.
How is the salary limit calculated?
The calculation rests on Articles 34 to 41 of the SAD Club and Budget Preparation Rules. Income sources include sponsorships, subscriptions, TV rights, competition revenues, advertising, and player sales. Expenditures cover player purchases, operating costs, depreciation, facility costs, personnel, and other non-playing expenses, as well as variations in negative stock values. The break-even point, defined in Article 34.1, hinges on the costs of the sports team, including the registrable group of players, coaching staff, and support personnel, versus the broader expenses of subsidiaries and other sporting sections. The framework is designed to keep clubs financially balanced over the season while allowing for necessary competitiveness on the field. This structure supports a transparent, accountable approach to budgeting that fans can follow as the season unfolds.
Source: Goal, cited for transparency on the rules and numbers.