Finances

[Lurker]

My finances keep Dropping to low levels evenough im about 20k under mywage budget and have debt.
Ich
The main money eater is loans it costs 300k per month but how ? Im only commiting to about 80k.

Pls help ;/

[Ğòđƨpęęđ]

Another "family sharing"?

[Snorks]

How many players do you have in on loan? What are the fees agreed for those loans? Playing wage percentage, non-playing wage percentage, unused subs, monthly payment on top?

How many players do you have away on loan? Are you still culpable for 100% of their wages?

[Lurker]

Originally posted by Snorks:

How many players do you have in on loan? What are the fees agreed for those loans? Playing wage percentage, non-playing wage percentage, unused subs, monthly payment on top?

How many players do you have away on loan? Are you still culpable for 100% of their wages?

Now that you say that, i have many players on loan about five and they would all be usefull.
Does their wage affect me, i mean they are in other clubs so i would assume they pay for it

[Spud]

Finances can be tricky, like everything in this game there can be many factors at play, for example it depends on how big the club is, which tier it plays in, whether there is debt and loan repayments.

First thing I do when I see we are spending more than we make is try to cut costs, a quick way to do this is to check entire squad salaries, sometimes selling just one or two highly paid players can push the club out of the red. If you really do not want to sell try renegotiating contracts, if you can shave a few hundred /thousand pounds off 10 salaries this can make a significant difference.

Get loan agreements that mean you don't contribute to the players salary, try loaning players out and getting the clubs who take them to pay as much of the salary as possible, sometimes you can get them to pay more and so you make a profit on the player. I also try to make sure every player I sell has some clauses attached which guarantee future bonus income.

Of course getting good results on the pitch will increase gate receipts, a decent cup run can boost revenues, affiliate agreements with top tier clubs that include annual payments and/or a friendly where you keep the gate receipts, all these things should be looked at. Most of all don't spend what you don't have, you might think everything is fine but maybe there are 15 players with annual wage increase about to kick in.

Managing finances is something many players overlook, personally I love this aspect of the game and I put almost as much time and effort into it as I do with the squad. It is really very satisfying when you take a small club in terrible financial condition and over many seasons turn everything around, paying off a big loan can suddenly free up funds for investment in the stadium and club facilities and before you know it the club is growing in every direction.

[Snorks]

300K on loans means you are paying for the players you have borrowed - either in wages or in loan fees.

If you have players loaned out, you may well still be paying all or a large chunk of their wages.

As @Dave says, it can be easy to overlook the impact of some of he contract clauses, I always remove and exclude the annual pay rise from contracts. Try and boost the incentives to reduce the weekly commitment things like that.

On wages, I try and stick to:
Key Players get a share of 30% of the budget
First Team share 30% of the budget
BackUp/Rotation share 30% of budget
Hot Prospect/Youth share 10%

By running this calculation I know that, to fit my structure I can offer up to $xxx for a new contract.

[Spud]

Originally posted by Snorks:

300K on loans means you are paying for the players you have borrowed - either in wages or in loan fees.

If you have players loaned out, you may well still be paying all or a large chunk of their wages.

As @Dave says, it can be easy to overlook the impact of some of he contract clauses, I always remove and exclude the annual pay rise from contracts. Try and boost the incentives to reduce the weekly commitment things like that.

On wages, I try and stick to:
Key Players get a share of 30% of the budget
First Team share 30% of the budget
BackUp/Rotation share 30% of budget
Hot Prospect/Youth share 10%

By running this calculation I know that, to fit my structure I can offer up to $xxx for a new contract.

I like the idea of adhering to a strict formula like this, I'm going to try something similar. I never really thought about dividing the budget in this way but it really makes sense, such a strict structuring of the budget should help even more with contractual decisions.

[Snorks]

Originally posted by Dave:

Originally posted by Snorks:

300K on loans means you are paying for the players you have borrowed - either in wages or in loan fees.

If you have players loaned out, you may well still be paying all or a large chunk of their wages.

As @Dave says, it can be easy to overlook the impact of some of he contract clauses, I always remove and exclude the annual pay rise from contracts. Try and boost the incentives to reduce the weekly commitment things like that.

On wages, I try and stick to:
Key Players get a share of 30% of the budget
First Team share 30% of the budget
BackUp/Rotation share 30% of budget
Hot Prospect/Youth share 10%

By running this calculation I know that, to fit my structure I can offer up to $xxx for a new contract.

I like the idea of adhering to a strict formula like this, I'm going to try something similar. I never really thought about dividing the budget in this way but it really makes sense, such a strict structuring of the budget should help even more with contractual decisions.

I also cap myself at no more than four key players, 7 First Teamers and 11 Rotation/Backup. It can help with squad dynamics and morale if you work on roughly:
Key = 60% starts
FT:= 50%
Rot = 40%

That way, my squad is structured with Key Players position covered by a player on Rotation, and First Team covered either by another first Team or a Rotation - you can manage your squad rotation so that they are getting enough game time to keep them happy.

This is a rough guide mind you, but helps me keep player complaints to a minimum, injuries way below what's expected and a feeling of control over my finances.

I think the Squad Status is a much under-rated and under-used tool to structure your squad. Particularly if money is tight.

[Cobretti]

Originally posted by Snorks:

On wages, I try and stick to:
Key Players get a share of 30% of the budget
First Team share 30% of the budget
BackUp/Rotation share 30% of budget
Hot Prospect/Youth share 10%

2nd time I see Snorks outline the exact same strategy I use, we must have gone to the same coaching school, perhaps same class.

This is exactly how I allocate my wage bill and I do not deviate from these rules however I do spend a large amount of my games in lower leagues where financial management is critical.

Also his rules on key player and other squad status allocation, I do the same thing.

[Snorks]

Originally posted by Cobretti:

Originally posted by Snorks:

On wages, I try and stick to:
Key Players get a share of 30% of the budget
First Team share 30% of the budget
BackUp/Rotation share 30% of budget
Hot Prospect/Youth share 10%

2nd time I see Snorks outline the exact same strategy I use, we must have gone to the same coaching school, perhaps same class.

This is exactly how I allocate my wage bill and I do not deviate from these rules however I do spend a large amount of my games in lower leagues where financial management is critical.

Also his rules on key player and other squad status allocation, I do the same thing.

Maybe we just frequent the same forums and read the same advice :-)

I think the playing time thing has become more unpredictable in FM19, although I still use that framework as a guide.

[Lurker]

@all i aporeciate the help from y'all but i got sacked and im currently training samsunspor much thanks to everyone dough i feel smarter