The MLS salary budget cap for the 2023 season was $5.21 million per team. This represented an increase from the 2022 cap of $4.9 million, continuing Major League Soccer's gradual expansion of spending limits to improve competitive balance and player quality across the league.
The 2023 salary budget includes all player compensation including base salary, bonuses, and other guaranteed compensation, but excludes Designated Player salaries above the maximum budget charge. Teams could exceed this cap through various roster mechanisms including Targeted Allocation Money (TAM), General Allocation Money (GAM), and the Designated Player rule.
This salary budget cap is part of MLS's single-entity structure designed to maintain competitive parity while allowing controlled growth in player spending. The steady increases in recent years reflect the league's financial growth and commitment to attracting higher-caliber international talent.