While the IPL rules reportedly state that the first retention must be Rs 18 crore, the second Rs 14 crore, the third Rs 11 crore, the fourth Rs 18 crore, the fifth Rs 14 crore and the uncapped Rs 4 crore, a franchise is free to distribute the money among players in any way they like. .
For example, a franchise can choose to pay more than Rs 18 cr to their first retention and less than Rs 11 cr to their third retention, as long as their total budget adds up to Rs 43 crore (18 + 14 + 11), the designated amount for three retentions.
Even if a franchise retains their five players for less than the designated Rs 75 crore amount (out of a total purse of Rs 120 crore) for that number of retentions, the designated amount will be cut.
"Retention deduction of overall amount instead of fee per player, in this case of 75 Crs irrespective of what amount is paid to 5 players. If the total amount exceeds 75 Crs then actual amount to be deducted. In case the amount is less than 75 Crs then 75 Crs to be deducted," Cricbuzz quoted the retention rule
The ability to distribute the retention fee among players in any way they like gives a huge boost to franchises in negotiating higher or lower fees for players they are keen on retaining, without disturbing the total designated amount.
For example, Kolkata Knight Riders could choose to retain their capped stars Andre Russell and Sunil Narine for less than the designated slab, and pay more than Rs 4 cr to Harshit Rana, who is eligible as an uncapped player.