The Governing Council of the Indian Premier League has proposed a salary cap of Rs 60 crores for the IPL 7 auction. It is almost equivalent of the upper limit for IPL 6 which was $12.5 millions. The franchises will not have to spend the entire amount but they can't go beyond that.
It was also proposed that there would be a five per cent increase every year. The franchises, thus, will know what can be their spend on the players each year. The IPL player fee will be independent of the Champions League's earnings. If a team qualifies for the CLT20, the players will be eligible for extra money - their income being something calculated on a pro rata basis depending on the number of matches they play in the Champions League.
The IPL teams will be permitted to go for retention up to five players. How many of those can be foreigners and uncapped players has not been finalised. The IPL will come up with a concrete proposal to this effect soon.
