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Maximum Salary

May 8th, 2012 at 10:34am CST by Luke Adams

When superstars like Deron Williams or Dwight Howard approach free agency, they are often referred to as "maximum-salary players" — players that will likely earn the maximum contract offers permitted under the CBA. Because NBA teams are limited by a salary cap, clubs can only offer a single player a certain percentage of the cap. However, the maximum salary varies from player to player.

If a player has been in the NBA for six years or less, he can earn up to 25% of the salary cap. Players with seven to nine years of experience can earn up to 30%, while veterans with 10+ years in the NBA are eligible for up to 35% of the cap.

When determining the actual amounts of maximum salaries for a given season, a different cap calculation is used — so while 25% of 2011/12's $58.044MM salary cap would be $14,511,000, the actual maximum salary for players with zero to six years of experience in 2011/12 was just $12,922,194. For 30% players, the maximum was $15,506,632, and for veterans of 10 or more years, the max was $18,091,071. These figures will fluctuate from year to year, depending on the projected Basketball Related Income for a given season.

There are a number of exceptions to the maximum salary, as follows:

  • The maximum salary only applies to the first year of a multiyear contract. For example, if Deron Williams were to sign a maximum-salary deal this summer, he would be subject to the maximum salary for the first season, with either 7.5% or 4.5% raises, depending on where he signs. So by the third or fourth year of his contract, he could be earning significantly more than the max salary.
  • A free agent's maximum salary is always at least 105% of his previous salary. For instance, Kevin Garnett's 2011/12 salary was $21,247,044. For 2012/13, he is eligible to earn a maximum of $22,309, 396 — 105% of his prior salary.
  • A first-round pick coming off his four-year rookie scale contract is eligible for a maximum-salary contract extension worth 30% of the cap (rather than 25%) if he meets one of the following criteria: (1) Wins a Most Valuable Player award; (2) Voted an All-Star Game starter at least twice; (3) Named to an All-NBA team at least twice.

Let's take a deeper look at Williams' case as he approaches free agency. The All-Star point guard is coming off a $16,359,805 salary in 2011/12, which exceeds the maximum for a player with his NBA experience. He has a player option for next season worth $17,779,458 that he doesn't intend to exercise, which will make him a free agent. Since he's already making more than the maximum, Williams will be eligible for a new max of up to 105% of his prior salary — $17,177,795.

If Williams were to re-sign with the Nets, who hold his Bird rights, he could earn 7.5% annual raises over a five-year deal that started at $17,177,795 in its first year. Signing with another team, such as the Mavericks, would mean 4.5% annual raises and a four-year maximum. So the largest contract Williams could earn from the Nets would be worth about $98.77MM over five years, whereas a maximum-salary deal from another team would be worth about $73.35MM over four years.

Note: This is a Hoops Rumors Glossary entry. Our glossary posts will explain specific rules relating to trades, free agency, or other aspects of the NBA's Collective Bargaining Agreement. Larry Coon's Salary Cap FAQ and Storyteller's Contracts were used in the creation of this post.

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Pacific Notes: Clippers, Ebanks, Nash, Malone

May 8th, 2012 at 9:15am CST by Luke Adams

The Pacific was the only Western Conference division to send just two teams to the postseason, but it may also be the only division to send multiple teams to the West's second round. The Clippers and Lakers have both taken commanding 3-1 leads in their series, and look poised to join the Spurs and Thunder in what should be an outstanding second round.

While we wait to see if the Clips and Lakers can finish off their respective opponents, here's the latest out of the Pacific:

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Patrick Ewing To Interview With Bobcats

May 7th, 2012 at 11:26pm CST by Michael Pina

Magic assistant coach Patrick Ewing will interview to become the Bobcats' next head coach, according to Yahoo! Sports NBA reporter Adrian Wojnarowski. The interview will take place once the Magic are eliminated from the Eastern Conference playoffs. 

Mostly known for his playing days as center for the Knicks, the Hall of Famer has spent eight seasons as an NBA assistant coach, including the past five on Stan Van Gundy’s staff with the Magic. Last spring he interviewed with the Pistons for their head coach position, but the job was given to Lawrence Frank, former head coach of the Nets. 

Sources have told Wojnarowski that Ewing is a strong candidate to become the Bobcats next head coach, even though the team is also speaking with Warriors assistant Mike Malone and former Trail Blazers head coach Nate McMillan. Ewing is close friends with Bobcats owner Michael Jordan, and if the team happens to win the lottery, he could make a great mentor for probable number one overall pick Anthony Davis.

Earlier today, we heard that Malone and Pacers assistant Brian Shaw were likely to be interviewed by the Bobcats for the job opening.

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Poll: Which Team Is Playing The Best Basketball?

May 7th, 2012 at 10:30pm CST by Michael Pina

Yesterday we asked which player was having the most impressive first round, and most of you believe it’s Celtics forward Paul Pierce. Tonight we’re wondering which team is playing better team basketball? Who looks to be on the right track towards winning the championship?

 

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Odds & Ends: Trail Blazers, Nets, Carter, Brooks

May 7th, 2012 at 10:12pm CST by Michael Pina

In a radio interview earlier today, Trail Blazers acting GM Chad Buchanan says his team has a "financial ceiling" in mind for restricted free agent Nicolas Batum, according to BlazersEdge.com's Ben Golliver. Portland will also be targeting "mid-tier" free agent big men this offseason.

  • In a tweet, the Daily News' Stefan Bondy says Nets GM Billy King announced that Adam Morrison and Al Thornton will be working out at a free agent camp at the team's facility this month. 
  • The Toronto Sun's Frank Zicarelli believes it's unlikely the Mavericks will exercise the $3.1MM team option on Vince Carter's contract next season, making the guard a free agent. 
  • Michigan State senior forward Draymond Green says he's been told he'll be selected in the first round of this year's draft, according to Larry Lage from the Associated Press. Green has a workout scheduled with the Celtics 
  • With James Harden, Kevin Durant, and Russell Westbrook all invited to participate in Team USA's training camp this July, The Oklahoman's John Rohde suggests the team take on Thunder head coach Scott Brooks as either a member of the coaching staff or a helpful observer. With three of his players all expected to compete for spots this year and in 2016, it makes sense to have Brooks on board. 
  • Tommy Dee from Sheridan Hoops gives us five underclassmen who've officially entered the NBA draft that could surprise some people as early as next season if they're selected late. 
  • In a story from today's Sacramento Bee by Tony Bizjak, it was revealed that the city of Sacramento spent $680K since September in its failed effort to build a downtown sports and entertainment arena.
  • On OregonLive.com, several Trail Blazer scribes weigh in on what the team should do with J.J. Hickson. 
  • In an attempt to alleviate some pain caused by the patellar tendinitis he suffered through all of last season, Bucks forward Luc Mbah a Moute underwent knee surgery on Friday, according to JSOnline.com's Charles F. Gardner. He is expected to make a full recovery and be ready for training camp in October. 
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Wojnarowski: Trail Blazers Dealing With ‘Rejection’

May 7th, 2012 at 9:58pm CST by Michael Pina

9:58pm: In a tweet, The Oregonian's Jason Quick says Donnie Walsh has not interviewed with the Trail Blazers, and that a former GM with a long history in the NBA was recently interviewed by owner Paul Allen.

9:30pm: Yahoo! Sports' NBA reporter Adrian Wojnarowski told John Canzano on Portland's 750 AM The Game radio show that the Trail Blazers are having difficulty in their search for a new general manager. Due to Portland's questionable hierarchy, and Paul Allen's looming uncertainty regarding whether or not he'll keep the team, Wojnarowski says the franchise is experiencing rejection from several current general managers who they've reached out to. 

One possible candidate who's already been linked to the position is Indiana GM David Morway. According to Wojnarowski, with current team president Larry Bird expected to leave, Reggie Miller and Donnie Nelson are both in the mix to find work in the Pacers front office, overcrowding things and giving Morway incentive to leave. If they don't land Morway, the Trail Blazers could be forced to look at less experienced candidates who're currently serving in assistant roles. 

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Free Agent Stock Watch: Tim Duncan

May 7th, 2012 at 8:11pm CST by Michael Pina

Few players are more identifiable with one franchise than Tim Duncan is with the San Antonio Spurs. Now in his 15th season, the 36-year-old future Hall of Famer is still playing great basketball, averaging 15.4PPG and 9.0 RPG this season. While remaining an above average offensive option in the post, and one of the game's most intelligent, underrated defenders, Duncan is an unrestricted free agent this summer, bringing the type of experience that makes his value a difficult one to quantify on the open market.  

He's making $21.3MM this season, but that number will surely go down. He's far from an elite franchise player, but is still capable of playing a major role in what would be a truly remarkable fifth championship for the Spurs—their first since 2007.

With Danny Green and Gary Neal coming off San Antonio's books, it'll be interesting to see how much money the team looks to invest in the two players who've played well above their salary this season. Boris Diaw will also become a free agent, and a player of his skill—when motivated (as he appears to be alongside Tony Parker)—could be worth another contract. 

What makes this situation so intriguing is the player in question. Duncan doesn't even have an agent right now, and claims he hasn't even begun thinking about his future, but it wouldn't be a shock to see a non-tax-paying team throw a full mid-level in his direction, which could net him over $20MM over the next four years. Still, it'd be hard to imagine him leaving the one franchise he's ever known. A player of Duncan's stature doesn't appear to be in it for the money at this point. He's won four championships and is arguably one of the 10 greatest overall players the league has ever seen. There's little to prove, and less to chase. The team he currently plays for is a title contender, and should continue to find success for the next few years.

Duncan has been known to sign "team friendly" deals in the past, taking less than the maximum deal for which he was eligible after extending his contract in 2007. But to see him sign for the veteran's minimum ($1.35MM for next season) might be asking too much. Due to the fact that he remains an important part of the Spurs vaunted system, if I had to guess, the team will make re-signing Duncan a serious priority this summer.

The Spurs cap figure for next season currently stands at approximately $49.2MM. Because they own Duncan's Bird Rights, any maximum contract within the CBA's limitations is possible. But due to his age, something around two years for $20MM could be expected.

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Offseason Outlook: Sacramento Kings

May 7th, 2012 at 5:00pm CST by Luke Adams

Guaranteed Contracts

Options

  • None

Non-Guaranteed Contracts

Free Agents (Cap Holds)

Draft Picks

  • 1st Round (Pending lottery; 7.6% chance at first overall pick)
  • 2nd Round (36th overall)

Cap Outlook

  • Guaranteed Salary (including likely options): $42,475,790
  • Non-Guaranteed Salary, Cap Holds: $14,379,699
  • Total (not including draft picks): $56,855,489

It was an ugly season for Sacramento both on the court, where the team only managed 22 wins, and off the court, where a handshake agreement on a new arena gradually fell apart. The Kings will play the 2012/13 season in Sacramento, but the franchise's long-term future is very much up in the air.

For all the uncertainty surrounding the Kings' arena, the roster itself appears unlikely to be overhauled significantly this summer. Of Sacramento's current 14 players, nine have guaranteed contracts for next year, two are on non-guaranteed deals, and three are restricted free agents — if they chose to, the Kings could bring all 14 players back, along with their lottery pick.

Of course, after finishing with the league's fifth-worst record, it's more likely that the Kings make at least a few small changes. Isaiah Thomas will certainly have his deal guaranteed, and Jason Thompson and Terrence Williams seem like decent bets to re-sign with the club, but it wouldn't be surprising if the team parted ways with Donte Greene and Hassan Whiteside.

Even if they re-sign Thompson and Williams and lock up their lottery pick, the Kings would have a little room to bring aboard a free agent or two. However, given the on- and off-court situation in Sacramento, the team will likely have to overpay to bring aboard a decent player. When the Kings had cap room last summer, Chuck Hayes and Travis Outlaw were their major additions, and now represent two of their most undesirable contracts.

Sacramento's best chance to make a splash this summer involves two of its wing scorers, John Salmons and Tyreke Evans. Salmons is the only real amnesty candidate on the roster, since only pre-lockout contracts are eligible under the provision. After coming over from Milwaukee, Salmons had a tremendously disappointing 2011/12 campaign, hampered by injuries and averaging just 7.5 points per game. He's under contract for nearly $16MM over the next two seasons, and has a partially-guaranteed year for 2014/15. If the Kings are able to draft a player like Michael Kidd-Gilchrist or Bradley Beal to replace him, it could make sense to amnesty Salmons, their highest-paid player.

Evans, meanwhile, is entering the final season of his rookie contract and will be eligible for a contract extension, but a trade seems at least as likely as an extension. Ailene Voisin of the Sacramento Bee suggested recently that the Kings would "entertain offers" for Evans this summer, and it would definitely make some sense to deal him and move forward by building around DeMarcus Cousins, Marcus Thornton, and this year's first-round pick.

With free agents unlikely to sign in Sacramento and the team's owners unlikely to spend big on outside talent anyway, the Kings' best chance at improving their roster will come via trades and the draft. If Sacramento can find a reasonable offer for Evans and make it through the lottery with a top-five pick, that could be enough to consider the offseason a success.

Storytellers Contracts and Sham Sports were used in the creation of this post.

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Baron Davis Likely Out For Next Season

May 7th, 2012 at 4:34pm CST by Luke Adams

The knee injury Baron Davis suffered Sunday against the Heat is worse than initially believed. The Knicks announced today that an MRI revealed a partially torn patella tendon and a completely torn ACL and MCL. Davis will undergo surgery, with a recovery period of 12 months. That would mean the veteran guard would miss the entire 2012/13 regular season.

Davis is not under contract for next year, so if he signs another NBA deal it's unlikely to happen until at least the 2013/14 season. At that point, he'll be 34 years old, and would need to recover not only from this surgery, but from a herniated disk as well — it will be a long and challenging road back to NBA action for the former third overall pick.

With Davis out and Jeremy Lin also expected to miss Game Five vs. the Heat, Mike Bibby will likely be the Knicks' starting point guard Wednesday as the team tries to extend its season. We rounded up the rest of today's Knicks updates here.

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Bobcats To Interview Michael Malone, Brian Shaw?

May 7th, 2012 at 4:11pm CST by Luke Adams

4:11pm: The Bobcats have also requested permission to speak with Pacers assistant Brian Shaw, according to Sam Amick of SI.com. However, Shaw prefers to focus on the playoffs for now, so no interview has been scheduled yet.

1:42pm: A week after announcing that Paul Silas won't coach the team in 2012/13, the Bobcats' search for a new head coach has them eyeing Warriors assistant Michael Malone. According to Adrian Wojnarowksi of Yahoo! Sports, the Bobcats will interview Malone for the position.

Rick Bonnell of the Charlotte Observer identified Malone as a candidate for Charlotte's coaching vacancy last week, and new Warriors GM Bob Myers recently said he expects Malone to be "a hot commodity" this summer. Although Golden State has the assistant coach under contract, Myers says the team wouldn't hold Malone back if he received a head coaching opportunity.

According to Wojnarowski, Malone is believed to be the first candidate to receive a formal interview, though the team will reportedly interview Stephen Silas as well. Malone is expected to meet with Bobcats president of basketball operations Rod Higgins and GM Rich Cho on Tuesday.

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