The ideal situation is for every club to have the same budget.
Not really, perhaps the same budget for each division maybe, but you cant say a Div1 team should have the same budget as a Div 6 team.
Provided the budgets at the top are acceptable (and good luck finding common ground there) a tiered budget through division would work IMO.
A top level player in Div 1 may command $500 as say the top player, going on the new Salary Cap, and say 4k per week for the club
A top level player in Div 2 should only be able to command $450 going on the new Salary Cap, and say 3.5k per week for the club
A top level player in Div 3 should only be able to command $400 going on the new Salary Cap, and say 3k per week for the club
A top level player in Div 4 should only be able to command $350 going on the new Salary Cap, and say 2.5k per week for the club
A top level player in Div 5 should only be able to command $300 going on the new Salary Cap, and say 2k per week for the club
A top level player in Div 6 should only be able to command $250 going on the new Salary Cap, and say 1.5k per week for the club
And so on.....
If a player demands more than the top mark in his grade, then make him go and earn it in a higher grade. It will also allow them to build to that success without going for broke from day 1 to make it a sustainable model moving forward. What you will find is, blokes who aren't worth the money they are asking for will be chewed up and spat out of the top grades pretty quickly as club will only look at recruiting the best players. it will stop big fish in small pond type blokes as well...
IMO NO PLAYER in Div 6 should be getting paid anywhere near the amount of what someone in Div 1 is. Anyone who is in Div 6 thinking they are worth more than $250 need to be told to go and earn it.
It creates a level playing field across the grades from a financial point of view, if a club goes up, they are given a higher budget to recruit say 1 more player to compete at the next level, if a club goes down, it may just be telling them they are spending money on the wrong players and make them re-evaluate how/who they spend their money on.
Depending on Tax thresholds, the ATO may agree that these levels all classify as a hobby income, so no need to hide money under the table etc and take all the hidden bullsh*t out of player payments.