Loyalty Bonuses - how do they work?

I'm going for some rather obvious questions this morning....... but I'm a little baffled by this.

Can someone please explain how this works?

I've done a search and the most relevant threads discuss the pitfalls of it, but not how it works!

Regards

LAM

I'm wondering about this too!

They are paid on installments over the duration of the contract and if you sell the player you pay him whatever is remaining of the bonus in a single installment.

If the player requests a transfer you don't need to pay the bonus on that instance.

It's basically an incentive for re-signing paid over the contract in installments I believe.

Edit - Beaten to it by the above poster

Thanks chaps.

So the instalment payments for the Loyalty Bonus would be added directly into the weekly wage roll figure for accounting purposes. Meaning that these stage payments must be included in the Club's Wage Roll figure when you need to see how much WR you have left compared to budget.

This is important because I generally paid less attention to this in contract negotiations, my main aim being to keep the WR figure as low as possible. If the Loyalty bonus is also a "WR expense" I need to think again.

I think they are separate. At least there is a separate line in the expenditure finance screen for loyalty bonuses.

EDIT: Yes they are seperate. My player wages added to my loyalty bonus expenditure is mroe than my weekly wage cost.

right to put it simply the bonus is paid seperately from the wage bill etc etc it is paid monthly .

as an example which may help a 1 million bonus over 4 years is 250,000 a year so if at the end of year 1 you sell him you have to pay 750,000 year 2 500,000 year 3 250,000 year 4 depending on where it is upto 250,000

as stated if player asks for transfer then no bonus has to be paid. if your unsure when a bid comes it it usually says before going to accept or decline on the bottom line the outstanding bonus to be paid if he signs for someone else.

hope this helps

Also, when I negotiate Loyalty bonus it is a separate thing. It doesn't go straight into my WR bill & negatively affect my margin of future wages available?

This is my main concern.

No it doesn't. It's in a separate heading in Finances - Expenditure I think. (Don't have FM open atm to confirm)

Always good to check players you are preparing to sell after one season, eg. You signed them pre contract and move them on after one season. It could start to affect your balance if giving large loyalty bonuses.

I feel they don't have a huge affect if you lower them slightly. Most of the money is going to the agent at the end of the day.