It remains uncertain whether there will be an increase in offer sheets this summer in the NHL.
However, the compensation thresholds associated with offer sheets have been revealed. Here are the various levels, ranging from no compensation to the maximum of four first-round draft picks:
| OFFER SHEET AAV | COMPENSATION |
|---|---|
| $1,544,424 or less | None |
| Over $1,544,424 to $2,340,037 | Third-round pick |
| Over $2,340,037 to $4,680,076 | Second-round pick |
| Over $4,680,076 to $7,020,113 | First- and third-round picks |
| Over $7,020,113 to $9,360,153 | First-, second-, and third-round picks |
| Over $9,360,153 to $11,700,192 | Two firsts, one second and one third |
| Over $11,700,192 | Four first-round picks |
Teams are allowed to begin discussions with restricted free agents (RFAs) starting on the evening of June 30th. However, no official signings can take place until free agency formally opens at 12:01 PM Eastern Time on July 1st.
A key point to remember is how the Average Annual Value (AAV) of an offer sheet is determined: the total salary is divided by the lesser of the contract term length or five years.
