How Do You Build an NWSL Team? A Guide to the League's Roster Rules
Taking Root: As Atlanta City FC prepares for its 2028 debut, SDH breaks down the salary cap, free agency, transfers, allocation money, and other rules that determine how an NWSL roster comes together.
Atlanta City FC won't play its first National Women's Soccer League match until 2028, but the process of building its inaugural team begins much sooner.
Starting January 1, 2027, Atlanta can begin signing players under special rules established for the NWSL's two incoming expansion teams, Atlanta City FC and Columbus.
But how does a soccer team actually acquire players? What's the difference between signing a free agent and paying a transfer fee? How does the salary cap work? And why does the league give expansion teams special financial allowances?
Those questions are important whether you've followed professional soccer for decades or you're preparing to support your first club.
The NWSL has its own system of roster regulations, and some of those rules are significantly different from what Atlanta United supporters may recognize from Major League Soccer.
As part of SDH's ongoing Taking Root coverage, we're putting together a reference guide to explain how the league's roster-building system works and what it means for Atlanta City FC.
We'll update this guide as rules change and new information becomes available.
How does a professional soccer team acquire players?
Professional soccer teams generally acquire players through several different methods.
They can sign players whose contracts with other clubs have expired, negotiate transfers for players who are still under contract, sign players entering the professional game, or arrange temporary moves known as loans.
Teams can also exchange certain players and other assets through trades, subject to league regulations and player consent.
Each method comes with different financial considerations.
A player who is out of contract may be able to sign without a transfer fee, but her new club still needs to negotiate a salary and contract.
A player who remains under contract with another team may require a transfer fee paid to that club in addition to the player's compensation.
And regardless of how a player arrives, the NWSL has rules governing how much teams can spend and how many players they can register.
Those rules influence nearly every roster decision.
What is the NWSL salary cap?
The salary cap is the financial limit governing how much a team can spend on player compensation that counts toward its cap.
Think of it as the starting point for building a roster budget.
Every NWSL team must operate within the league's salary cap regulations, although certain mechanisms allow additional spending or adjustments to the charges counted against that limit.
The NWSL's base salary cap is established through its collective bargaining agreement with the NWSL Players Association, the union representing the league's players.
The agreement establishes increases through 2030.
Season | Base salary cap |
2026 | $3.5 million |
2027 | $4.4 million |
2028 | $4.7 million |
2029 | $4.9 million |
2030 | $5.1 million |
These figures represent the base salary cap, not necessarily the total amount each team can spend.
The league also has a revenue-sharing mechanism that increases the salary cap based on qualifying league revenues.
Other provisions, including the High Impact Player rule, can provide additional spending flexibility.
For Atlanta City FC, the challenge will be balancing spending across an entire roster.
The club might want to invest heavily in an experienced international player, but it must also consider how that contract affects its ability to recruit players at other positions. A successful roster requires more than acquiring talented individuals. The financial pieces have to fit together, too.
What is free agency?
A free agent is a player who can negotiate a new contract without another club controlling her rights through an existing contract.
In the NWSL, players whose contracts expire are eligible for free agency.
That wasn't always the case. For much of the league's history, players needed to meet certain service requirements before becoming eligible for free agency. The NWSL's 2024 collective bargaining agreement eliminated those restrictions. Now, when a player's contract expires, she can explore opportunities with other clubs.
For Atlanta City FC, that creates an important recruitment opportunity.
The club could pursue experienced NWSL players who are approaching the end of their contracts and persuade them to become part of its inaugural team.
But free agency also creates competition.
Atlanta cannot simply claim an available player. It must convince her that joining the club is the right choice. Salary matters, but so can coaching, playing opportunities, facilities, location, teammates, and the chance to help establish a new team's identity.
The key distinction: Signing a free agent generally does not require paying a transfer fee to her previous club, but the player still receives compensation under her new contract.
What is a transfer?
A transfer is the process of a player moving from one club to another.
When a player remains under contract, her current club may require a transfer fee before agreeing to release her. That fee is separate from the player's salary.
For example, imagine Atlanta wants to acquire a midfielder playing for a club in Europe. The player has two years remaining on her contract. Atlanta negotiates a $500,000 transfer fee with her current club. Atlanta then negotiates a separate contract with the player, agreeing to pay her $200,000 annually.
The $500,000 goes to the selling club.
The $200,000 annual salary goes to the player.
Those two expenses are treated differently under the NWSL's financial regulations.
The player's agreement is also essential. A transfer cannot simply be imposed on her.
International transfers can be particularly important for expansion teams because they provide access to players outside the existing NWSL player pool.
What is a transfer-fee threshold?
This is one of the more complicated parts of NWSL roster construction, but the basic concept is straightforward.
The NWSL establishes a transfer-fee threshold that determines when a team's transfer spending begins creating an additional salary cap charge.
A transfer-fee threshold is not a spending limit.
A team can spend more than the threshold. Doing so simply creates an additional financial consequence.
Under the current rules, spending above the applicable threshold results in a salary cap charge equal to 25% of the excess.
An example
Imagine a club has a $600,000 transfer-fee threshold.
It spends $800,000 acquiring players and receives no qualifying transfer fees from selling players.
The club is $200,000 above its threshold.
Twenty-five percent of that excess is $50,000.
The club therefore incurs an additional $50,000 salary cap charge.
That $50,000 counts against the money available for player compensation under the salary cap.
The system allows clubs to invest in transfers while making them account for spending beyond the league's established threshold.
What does this mean for Atlanta City FC?
Atlanta and Columbus receive special expansion provisions totaling $1.9 million in transfer-fee thresholds across specified periods in 2027 and 2028.
The league announced two components:
$1,167,950 available from January 1, 2027, through the conclusion of the 2028 secondary transfer window.
An additional $732,050 available during the 2028 calendar year.
For comparison, the NWSL announced a $665,500 threshold for established clubs in 2027.
The expansion provisions give Atlanta additional flexibility to acquire players through transfers.
They do not mean the league is giving Atlanta $1.9 million to spend. The club must fund its own acquisitions. And because the two announced threshold periods overlap, the precise accounting treatment of particular transactions will depend on the applicable league regulations.
What is allocation money?
Allocation money is a financial mechanism that helps teams manage certain roster-building expenses and salary cap charges. It's different from the salary cap itself.
It can be used to reduce eligible salary cap charges, pay certain player acquisition costs, and complete permitted transactions with other clubs.
For Atlanta City FC, the NWSL has authorized $1.43 million in expansion allocation money.
The important detail is that Atlanta must fund this money itself. It's not a $1.43 million payment from the league.
How can Atlanta use it?
Imagine Atlanta signs a player whose compensation creates a substantial salary cap charge. Under the league's rules, the club may be able to use eligible allocation money to reduce that charge.
That could free up additional salary cap room for other players.
Alternatively, Atlanta could use allocation money to help pay a transfer fee or loan fee.
The club can also trade permitted allocation money to another NWSL team.
Does Atlanta have to use it immediately?
No.
The NWSL has stated that unused, funded expansion allocation money will remain available through December 31, 2030.
That means Atlanta could potentially use some of its allocation money during the inaugural season and retain some for later roster decisions.
Allocation money was previously a broader part of the NWSL's financial system, but the league has been phasing out its earlier allocation money mechanism for established clubs.
The special expansion provisions are a distinct part of Atlanta's roster-building opportunities.
The important takeaway: Allocation money gives Atlanta flexibility in how it accounts for certain roster expenses. It does not eliminate the need to make financial decisions.
What is the High Impact Player rule?
The NWSL's High Impact Player rule, often shortened to HIP, allows clubs to spend additional money on qualifying player compensation beyond the regular salary cap.
The league introduced the mechanism to help teams attract and retain highly compensated players.
It has sometimes been called the Rodman Rule because of its connection to Washington Spirit forward Trinity Rodman's contract negotiations. The original version included specific eligibility requirements based on achievements, recognition, and other criteria.
However, an October 2026 settlement between the NWSL and its players' union changed those requirements.
Beginning January 1, 2027, players can qualify for HIP treatment if their salary meets the required threshold of at least 12% of the league's base salary cap.
For 2027, that would mean a salary of at least $528,000. For 2028, using the scheduled $4.7 million base cap, the threshold would be $564,000.
How much additional spending does HIP allow?
The additional allowance increases over time. For 2028, the HIP allowance is projected at $1.342 million per club.
However, a team must spend to its regular salary cap before accessing the additional HIP allowance. This is not simply an unrestricted increase to every team's salary budget.
The October 2026 settlement also allows the league to establish a limit on the number of HIP-eligible players a club can designate in the future.
Can Atlanta use HIP before its inaugural season?
No.
Although the revised HIP eligibility rules take effect league-wide in January 2027, Atlanta City FC and Columbus cannot access HIP spending until January 1, 2028.
That timing could influence how Atlanta structures contracts for players signed during 2027.
Is HIP the same as an MLS Designated Player?
Not exactly.
Major League Soccer's Designated Player mechanism allows clubs to sign certain players whose compensation exceeds ordinary salary budget limits.
The NWSL's HIP mechanism has a broadly similar purpose, but it operates through a different set of financial rules.
MLS uses designated roster slots and specific budget charges.
The NWSL provides an additional allowance for eligible player compensation, subject to its own requirements.
Both systems help clubs spend more on certain players, but they aren't interchangeable.
What is a loan?
A loan allows a player who is under contract with one club to temporarily play for another.
Unlike a permanent transfer, a loan does not end the player's contract with her original club.
Loans can be useful for players who need regular competitive matches, clubs seeking temporary reinforcements, or teams planning for the future.
For Atlanta City FC, loans could be particularly important in 2027.
Atlanta will be able to sign players during that year, but it won't begin NWSL competition until 2028. Rather than having a player spend an entire year without regular competitive matches, Atlanta could arrange for her to play elsewhere. That might involve another NWSL club or a team in another league.
The NWSL's expansion rules specifically permit Atlanta and Columbus to sign players in 2027 and loan them to clubs inside or outside the league.
For loans to other NWSL teams during 2027, the expansion clubs may retain up to 25% of the applicable salary cap charge. Standard loan accounting rules return in 2028.
Why this matters: Atlanta can begin securing players for its inaugural roster while allowing them to continue playing competitive soccer before the club's first season.
What is a trade?
A trade is an agreement between clubs to exchange eligible assets.
Depending on league regulations, those assets might include players or permitted financial mechanisms.
But there is an important difference between the NWSL's current system and the way player movement worked earlier in the league's history. NWSL players cannot be traded without their consent.
That protection was established through the league's 2024 collective bargaining agreement. A club cannot simply decide to send a player elsewhere without her agreement.
For Atlanta, trades may provide another avenue to acquire players or manage roster-building resources, but any transaction involving a player must respect the league's consent requirements.
What is a transfer window?
A transfer window is a designated period during which clubs can register certain new players, including those arriving from other teams.
The NWSL generally has two registration periods each year: a primary transfer window ahead of the season and a secondary window during the season.
Clubs can negotiate agreements outside those windows, but when a player can officially join a roster and become eligible to compete depends on the applicable registration rules.
What are the transfer-window dates for 2027 and 2028?
As of October 31, 2026, the NWSL has not publicly confirmed the opening and closing dates for those windows.
The league has announced that its 2027 regular season will begin February 11, with the NWSL Championship scheduled for November 20.
For Atlanta City FC, the timing of future transfer windows will be particularly important as the club prepares for its inaugural 2028 season.
The NWSL's expansion rules give Atlanta additional transfer-fee flexibility beginning January 1, 2027, with part of that allowance remaining available through the conclusion of the 2028 secondary transfer window.
We'll update this guide when the league confirms the relevant registration dates.
What is a roster limit?
The NWSL establishes limits on how many players a club can register.
Those limits help govern roster construction alongside the league's financial rules.
Expansion teams receive temporary flexibility because they are building their squads from scratch.
Atlanta City FC and Columbus will not be required to meet the league's minimum roster size during 2027. However, they must remain within the applicable maximum roster size.
Standard roster compliance requirements will apply when they begin competing in 2028.
Does the NWSL have a college draft or expansion draft?
No.
The NWSL eliminated both mechanisms through its 2024 collective bargaining agreement.
Previously, the college draft was used to allocate certain players entering professional soccer. Expansion drafts allowed new teams to select eligible players from established clubs under specific rules. Neither mechanism is part of the current NWSL system.
College players can pursue professional opportunities without being selected through a league draft.
Expansion teams must recruit players through the available acquisition mechanisms.
This is a significant difference from how Atlanta United built its original MLS roster.
Atlanta United participated in the 2016 MLS Expansion Draft and selected Miles Robinson in the 2017 MLS SuperDraft.
Atlanta City FC will not have equivalent NWSL drafts to help populate its inaugural squad. Instead, it will need to identify, recruit, and persuade players to join the organization.
That makes the work of Chief Soccer Officer Richard Gunney and Atlanta's recruitment department especially important.
What is the collective bargaining agreement?
The collective bargaining agreement, commonly called the CBA, is the negotiated contract between the NWSL and the NWSL Players Association.
It establishes many of the rules governing employment in the league.
Those include compensation, contracts, free agency, player movement, benefits, and working conditions.
The current agreement runs through 2030.
Several major changes to NWSL roster construction came through the agreement announced in August 2024.
Those include expanded free agency, the elimination of drafts, guaranteed contracts, and player consent for trades.
The CBA is one of the foundational documents governing how Atlanta City FC will build its first roster.
What special roster-building rules does Atlanta City FC receive?
The NWSL announced Atlanta's expansion provisions on October 30, 2026.
Here's a summary of the most important details.
Mechanism | Atlanta City FC |
Inaugural season | 2028 |
First date for expansion player signings | January 1, 2027 |
Limited 2027 salary cap | $628,320 |
2028 base salary cap | $4.7 million |
Expansion allocation money | $1.43 million, funded by the club |
Allocation money availability | through December 31, 2030 |
Expansion transfer-fee threshold | $1.9 million across specified periods |
Projected 2028 HIP allowance | $1.342 million |
First date for HIP spending | January 1, 2028 |
College draft | none |
Expansion draft | none |
Loans before inaugural season | Permitted under applicable rules |
Minimum roster requirement in 2027 | waived |
Maximum roster requirement in 2027 | still applies |
These provisions provide opportunities, but they don't determine how Atlanta will build its roster.
The club still has to identify players, negotiate contracts, manage its finances, and create a team capable of competing in the NWSL.
What should Atlanta City FC supporters watch for next?
The rules tell us what Atlanta is allowed to do.
The more interesting question is how the club intends to use those opportunities.
Will Atlanta prioritize experienced NWSL players who can provide leadership from the beginning?
Will the club look internationally for established professionals or emerging talent?
How much emphasis will it place on college soccer and players with connections to Georgia and the Southeast?
Will Atlanta sign players early in 2027 and loan them elsewhere, or wait until closer to the inaugural season?
And how will the club balance investments in highly compensated players with the need to assemble a complete squad?
Those questions will begin to be answered as Richard Gunney and Atlanta City FC's sporting leadership establish their recruitment strategy.
Following Atlanta City FC as it takes root
This guide is part of Taking Root, SDH Network's continuing coverage of how Atlanta City FC builds its inaugural NWSL roster.
We'll follow the recruitment process, explain new signings, examine how other expansion teams approached similar challenges, and explore what each decision tells us about the club's emerging identity.
The goal is to make the process understandable whether you've followed soccer for forty years or forty days.
By the time Atlanta City FC takes the field in 2028, we want you to understand not just who is on the roster, but how the team came together and why those decisions matter.
Last updated: October 31, 2026 Sources and further reading:
Comments