What are Designated Players and U22 Initiative Players in MLS?

MLS clubs have a 2026 Salary Budget of $6,425,000 for the Senior Roster, and the maximum Salary Budget Charge for one player is $803,125. A Designated Player is a player whose total compensation and acquisition costs exceed that maximum, with the club paying the amount above the player's Salary Budget Charge.

For 2026 each club declared one of two roster construction paths by February 20:

• Three Designated Player model: up to three Designated Players and up to three U22 Initiative Players.
• U22 Initiative Player model: up to two Designated Players, up to four U22 Initiative Players, and up to an additional $2 million of General Allocation Money (which must be used in the same season and by the Roster Freeze Date).

Clubs could conditionally switch models at midseason, between July 1 and the close of the Secondary Transfer Window on September 2, 2026.

Source: https://www.mlssoccer.com/about/roster-rules-and-regulations