Financial Regulations

Article 1.1

FIA Source

Cost Cap

Chapter: Chapter I - Cost Cap

In Simple Terms

F1 has a budget cap limiting team spending to $135 million per year. This covers most racing operations but excludes driver salaries, top executive pay, marketing, and some other items. The cap aims to level the playing field between wealthy and smaller teams. Breaching it leads to serious penalties.

  • $135 million annual cap
  • Excludes driver salaries and marketing
  • Aims to level playing field
  • Breaches lead to penalties
Official FIA Text

The Cost Cap for the Full Year Reporting Period is set at $135,000,000. This represents the maximum permitted amount a team may spend on Relevant Costs during the Reporting Period. Certain costs are excluded from the cap including driver and top three personnel salaries, marketing, and heritage activities.

team budgetsdevelopment spendingpenaltiescost capbudgetfinancial regulationsspending limit$135 million
2026 Season Regulations

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