The keys to the financial ‘fair play’ of FC Barcelona

For months we have been listening insistently to the concept of Financial Fair Play in the Spanish League. But what is financial fair play? What does it consist of? Why is Barcelona not complying with it and right now it cannot register players?

We must first start by explaining what Financial Fair Play is. Conceptually speaking it is the maximum limit that a club can use in the salaries of its players, first coach, second coach and first team physical trainer. When setting it, the League, unlike UEFA, which sets 70% of the salaries of the players, takes into account two variables: the forecast of income expected by a club and the item of expenses except those corresponding to salaries. and amortization of footballers. In other words, variables such as structure expenses or the outstanding debt of the club. The equation is simple: non-sports income-expenses.

Based on these two variables, LaLiga establishes the limit of Financial Fair Play. Limit that in the case of the culé club and, considering all the previous concepts, it has set for this season 2021-2022 around 97 million (it did not help to impute more losses). Now, considering the current situation, salaries exceed 400 million.

The 1×4 and 1×2 rules

With these data on the table, the question that arises later is: How is it possible that with this gap, FC Barcelona can register players?

Well, because in such exceptional cases the League picks up the option of the so-called 1×4 rule. That is, for every 4 euros of savings you can spend one. Or put another way, you can only spend a quarter of what the club receives. This is an assumption that includes the Budgeting Rules for those clubs that already start the season with this salary limit exceeded. This is the case of FC Barcelona, ​​which, after the data provided to the League and considering all the above, has this salary limit when, according to the forecasts, its expenses are around 420 million euros.

This 1×4 rule is reduced to 1×2 (for every two euros saved, one can be spent) in those cases where the player’s cost exceeds 5% of the club’s wage bill. Rule that is fulfilled in the case of Coutinho whose record is around 16 million euros per season of gross fixed, plus the variables.

The next question that arises is: And what has to happen now to be able to enroll Ferran Torres? To do this, you must first start from the cost that the striker may incur this season for the Barça club. And here we must take into account two concepts: the amortization of the transfer and the player’s file. In the first case, there is talk of 55 million that has been paid to Manchester City for the transfer. In the case of the second, the international will earn around five million euros per season.

Now, and in order to determine the cost this season, we must divide the two parameters. The first depending on the seasons signed with the player. Considering that the contract extends until 2027, we would be talking about 10 million per season plus the five for the current average season. You also have to divide the player’s file by two, given that this season the Barça club will only pay him half of what he signed in each of the campaigns. This represents about 2.5 million euros for each concept. Adding both, contract and record amortization, the new signing will mean Barcelona this season around 5 million euros.

And in all this appears the transfer of Coutinho to Aston Villa. An operation that, according to the Barça club, will save him seven million euros. To this amount that FC Barcelona releases with this operation, despite being a transfer, the 1×2 rule continues to apply. In other words, one million can be invested for every two released, which would be equivalent to half, that is, 3.5 million.

If so, and considering everything explained above, 1.5 million of the salary bill should still be released to register Ferran with transfer or transfer operations in order to register Ferran Torres. It is what Barça will try to achieve in the next few days

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