Allocation (MLS)

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In Major League Soccer, an allocation represents an amount of money teams can use to sign players and/or allocate to their salaries to get under the salary cap. Allocations are given to teams that have missed the playoffs the previous seasons, given to expansion teams, or awarded as compensation for players lost. This can be when a player is sold to a foreign club (Brian McBride), left on a free transfer (Clint Mathis), or retired (Preki). Whether the allocation is given, and its size is determined by MLS; the magnitude is not known to the general public. Allocations can be split and traded.

Twice in league history, an allocation received for a lost player was used on same player upon his return to the league: by the Chicago Fire on Ante Razov and by the New England Revolution on Daniel Hernandez.

Retrieved from "http://en.wikipedia.org/wiki/Allocation_%28MLS%29"
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