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Montreal Canadiens’ salary cap situation for the 2025-26 off-season

How the Canadiens are set to spend their cap, and what else needs to be done.

The Laval Rocket’s season ended in a sweep at the hands of the Charlotte Checkers on Tuesday night, and that means the Montreal Canadiens’ 2024-25 campaign has come to an unofficial end. The hockey operations group can now turn its full attention to the off-season as it aims to build upon the playoff appearance the Habs enjoyed this year after a strong finish.

It was an important playoff run even if it was a short one for the Canadiens because it proved that the top line of Cole Caufield, Nick Suzuki, and Juraj Slafkovský is one the team can lean on as it becomes more competitive, even while Suzuki was playing injured through the final stretch of the season and the five playoff games. It also let the team know that Lane Hutson’s offensive game can translate to the playoffs, though he does need some support and further development in the defensive aspects.

The first-round series didn’t tell the Canadiens anything they didn’t already know about their situation on the second line. The lack of a centre to play that role has been an issue since Phillip Danault left following the trip to the Stanley Cup Final in 2021. They have tried Christian Dvorak, Kirby Dach, and Alex Newhook there, but none of them has found any consistency in the role — or even at the centre position in any capacity in the case of the last two. It’s the position the team needs to address the most, and will be the main discussion leading up to the draft and free agency.

Salary cap and contract data via PuckPedia

Despite not having that player to slot into the middle of the second line, the Canadiens still have 60% of the 2025-26 salary cap of $95.5 million dedicated to forwards. Five of the six highest cap hits at the position are going to wingers (or seven of eight depending on your view of Dach and Newhook), led by Patrik Laine, who will be playing the final year of his current deal.

Also about the enter the final season of his contract is Carey Price, who hasn’t played since 2022. That $10.5 million is the biggest impediment to making a big offer to a player in free agency to fill the centre void, so the answer Kent Hughes and Jeff Gorton are seeking would probably have to come via trade.

Outside of that one glaring weakness up front, the Canadiens need to sign Jakub Dobes to a contract extension (or bring in another goalie) to back up Samuel Montembeault. They also have similar deals to complete for restricted free agents Emil Heineman and Jayden Struble, two players who could fill out the roster even if the Habs make zero other moves in the off-season. The current projection of about $6 million in cap space is more than enough to cover those contracts.

In any decision the Canadiens make, they will be staying mindful of the biggest financial consideration the franchise currently has: the upcoming contract extension for Hutson. He will be one of the lowest-paid players on the team next season, and potentially the highest in 2026-27. Fortunately, there will be several sources of relief for that deal, including a further increase of the salary cap (anticipated to be $8.5 million higher at $104 million) that should take care of a substantial portion of that contract, as well as Price’s and Laine’s large cap hits coming off the books — if they don’t come off sooner.

A hot topic of discussion in recent years when the Canadiens’ season ends is the potential to trade Price’s contract. The organization has been using long-term injured reserve to make that cap allotment disappear from the season totals, but the downside to that move is that it turns all performance bonuses earned by players during the season into a bonus overage for the next year, reducing the team’s cap ceiling. Montreal carries such a penalty of $1,752,500 into 2025-26 from bonuses to several players on entry-level contracts. That number could be even higher a year from now with Hutson and Ivan Demidov likely to hit more of their milestones while playing together for the full season, and Oliver Kapanen’s contract having potential bonuses as well.

Removing Price’s cap hit from the equation — or not using LTIR to be able to spend that money elsewhere — prevents that penalty from occurring, and sets the team up for a better financial situation next summer. Price’s signing bonuses in his contract are paid on September 1, and the final one of $5.5 million is due to be paid this year. After that payment, another team would need only to pay $2 million in base salary while taking on the full cap hit. A franchise needing some help getting to the higher cap floor (a $70.6-million roster minimum) could find that an enticing situation.

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