NFL
2024 NFL Draft: What is a compensatory pick? What teams will get them?
As the NFL free agency turmoil intensifies, one term used repeatedly is “compensatory pick.”
At their core, compensatory picks allow teams to acquire additional draft picks for the following season if they lose more unrestricted free agents than they sign. This mechanism has existed since 1994 and was introduced alongside the NFL’s free agency.
How does the compensatory pick work?
Here’s the breakdown: a total of 32 compensatory picks are awarded per draft season, spread across rounds three through seven. Each team can receive a maximum of four picks, typically added to the end of these rounds. Since 2017, these picks have been tradable, adding another layer of strategic maneuvering for teams.
The allocation of compensatory picks is determined by a proprietary formula developed by the NFL. This formula considers various factors, such as the contracts signed by departing players in free agency, their playing time, and accolades like Pro Bowl appearances. Only unrestricted free agents are considered in this formula, not players whose contracts expired but were cut by their teams.
This distinction can greatly impact a team’s compensatory pick haul. For instance, if a player signs elsewhere in free agency, it factors into the formula. However, if a player is cut and then signs with another team, it doesn’t count. Similarly, players whose franchise tag expired with their previous team would contribute to the formula if they signed elsewhere.
Some teams have mastered maximizing compensatory picks by strategically managing their roster and free agency decisions. The Ravens, Packers, and Patriots are notable examples of organizations adept at capitalizing on this system. By allowing key players to depart in free agency and avoiding significant signings themselves, they consistently accumulate extra draft assets, often in the form of third and fourth-round compensatory picks.
What teams will get them?
In recent years, the Minnesota Vikings have adopted a new strategy of acquiring compensatory picks and making important free-agent signings. This strategic shift has allowed the team to accumulate a steady stream of additional draft capital, which they can use to strengthen their roster.
As we approach the announcement of compensatory picks for the upcoming season, the Jacksonville Jaguars, Cincinnati Bengals, and Dallas Cowboys are expected to receive at least two comp picks each. The Buffalo Bills, Baltimore Ravens, Kansas City Chiefs, Los Angeles Chargers, and Tampa Bay Buccaneers are also expected to gain one selection each. The biggest surprise came in from the San Francisco 49ers, who, although they played in this year’s Super Bowl Game, got 5 (FIVE) compensatory picks.
Compensatory picks are awarded to teams that have lost more or better compensatory free agents than they have acquired in the previous year’s free agency period. The NFL determines the number and placement of these picks based on a formula that considers factors such as the player’s contract value, playing time, and postseason honors. By prioritizing the acquisition of compensatory picks, the teams can supplement their roster with additional talent while maintaining financial flexibility.
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