FC Dallas has acquired the third overall 2022 SuperDraft pick and Dom Dwyer from Toronto FC in exchange for $50,000 in General Allocation Money (GAM). FCD immediately waived and exercised its one offseason Buyout of a Guaranteed Contract on Dwyer. Dwyer is now a free agent.
In essence, FCD paid $50k and took on Dwyer’s contract just so they could buy it out. Toronto FC clearly needed to keep their own buyout to use on someone else (reportedly Jozy Altidore).
Dwyer was on an $81,375 contract for half of 2021. So if that contract has a nice bump or just doubles for the full season in 2022, the buyout is probably in the range of $160k to $250k. Update: Maybe $350k?
Buyout money has to come from the team coffers or the owner’s pocket and isn’t made with TAM/GAM. So presumably, FCD has used a small amount from one of their player sales to make this move.