Originally Posted by ChampionTexan
So in essence, if the Texans cut Schaub today and make it an outright cut, they've generated $3.625 Million (Current cap hit of $14.125M less dead money of $10.5 M), whereas if they cut him and designate him a June 1 cut, they generate no cap space until June 2, at which time they would get $10,625M in space, but also see the difference of $7M count against their 2015 cap.
So the final question is - if there's no cap benefit to a June 1 designation, why do it? Well, it gives the player a head start on signing with another team, but I can't really think of an example of the team benefitting, so if anybody else can, pass it on.
I think Schaub as a June 1st cut is the way to go. $3.625M is nothing, especially considering the league just gave us $10M. We won't realize the savings until June 2nd, but it's substantial compared to cutting him before. It more than doubles the money available. >$7M in 2014, & ~$10M in 2015 (even though we're carrying $7M in dead money).
I don't think it's fleecing our future, the money for Schaub is already accounted for in the cap for 2014 & 2015. $14M for 2014, $17M for 2015. Making him a June 1st cut adds money to our cap both years.