Real-Life Math
There are not many math skills required by the game of hockey itself.
Yet this is no reason that hockey players should not learn math! For example,
math skills will allow players to track their incomes, negotiate better contracts
and set themselves up financially for a second career.
"A player would
use math to calculate their signing bonus, the payment of a 3-year contract
or to calculate deferred payments," says Peter Anholt. Anholt is a former
coach of the Red Deer Rebels in the Western Hockey League.
For example,
if it makes financial sense, players can negotiate to have their money paid
out to them over a time span longer than their contract. "Say a player has
a $10 million, 3-year contract," says Anholt. "They may defer their payments
-- of the $10 million -- to span 15 or 20 years."
You're a pro
hockey player and you want to know how much you're earning. You pull
out your contract for the upcoming year:
- Your base salary is 3/4 of a million per year. In addition, you received
a signing bonus of $25,000. Your agent -- who's working on a 3 percent
commission -- has also worked in a goals scored and assists bonus system.
If
you score over 25 goals this season, you'll make $1,000 per goal over
25. If you score over 35, you'll receive $2,500 for each goal over 35.
If you reach 30 assists, for each assist over 30 you'll receive $500.
If you have over 40 assists, you'll receive $1,000 for each one past
40.
- Last season you scored 37 goals and had 30 assists. This year, you've
set a goal for yourself -- to score 40 goals and have 50 assists.
Based upon your expectations of performance, what do you estimate
your gross earnings will be next year?
How much will your agent get
paid?