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MLS TAM increase restrictive and counterproductive - Foose

The head of the MLS Players Union indicated he has mixed emotions about the league's introduction of more Targeted Allocation Money, or TAM.

TAM is basically a mechanism for reducing a player's hit on the salary cap. MLS announced earlier this week that it was giving each team an additional $800,000 of TAM to apply to player salaries during the 2016 season, and another $800,000 in 2017. This is on top of the $500,000 the league gave to teams last year.

TAM can be used in one of two ways. First, a club can use TAM to reduce a new signing's salary cap impact, provided they make above the Designated Player threshold of $457,500 per year, but less than $1 million.