Skip to content

Lakers, Mavericks, other big spenders safe for two years

Nov 28, 2011, 8:06 AM EST

Image (1) jbuss-thumb-250x140-15577.jpg for post 3061

Part of the reason we lost 480 NBA games this season is because a bunch of owners were pissed at the Lakers, Mavericks, Heat, Celtics and other owners willing to spend over the luxury tax. Small market owners wanted to tie the hands of the big spenders in the name of the mythical “competitive balance.”

They got their wish… but not right away.

The most punitive measures for big spending teams don’t kick in until year three of this labor deal, reports Ken Berger at CBSSports.com. So spend away, Buss family, you’ve got a couple more seasons before a bill comes due.

Luxury tax rates: The same dollar-for-dollar as in the previous CBA for the first two years. Starting in Year 3, the rates increase to $1.50 for the first $5 million over; $1.75 for $5-$10 million over; $2.50 for $10-$15 million over; $3.25 for $15-$25 million over; and an additional 50 cents for each additional $5 million (same as previous proposal).

Repeater Tax: A dollar-for-dollar additional tax for teams that are above the tax line for a fourth time in five years (same as previous proposal).

That means the tax is the same for two seasons and the repeater tax can’t hit a team until 2015 at the earliest. These are delayed bills that give today’s big spenders a chance to reduce salary — except they are all are already in a pretty good spot in a couple years.

To use the Lakers as an example, they currently have only $61 million on the books by the time the higher taxes kick in ($30 million of that goes to Kobe Bryant and $19.2 million to Pau Gasol). The Lakers will have time to bring their payroll to whatever level they deem reasonable (which will still be over the tax, just likely not in the $90 million range anymore).

Even the Heat, with their current big three and others roster, are at $71 million for the season the tax rates jump. They, too, will spend more but have time to prepare. That or ship Chris Bosh out.

In the short term none of these teams will not have as large a mid-level exception as others, but that is about the only new restriction on them for now. For the next couple years, it’s business as usual for the spenders.

Latest Posts
  1. Rodney Stuckey says Pistons’ downward spiral began with Chauncey Billups trade

    Dec 27, 2014, 2:00 PM EST

    Chauncey Billups Chauncey Billups

    Stuckey says the trade robbed the locker room of accountability.

  2. Tobias Harris trash talked LeBron, then LeBron goes off, leads Cavs to win

    Dec 27, 2014, 12:30 PM EST

    Cleveland at Orlando Getty Images

    LeBron James was in “chill mode” and this team is vulnerable when he is.

  3. Rumor: Ray Allen leaning toward retirement, not return

    Dec 27, 2014, 9:30 AM EST

    2014 NBA Finals - Game One Getty Images

    This option was always on the table for him, people around the NBA just never thought he’d choose it.

  4. Rumor: Heat to target Andray Blatche when he returns from Chinese team

    Dec 27, 2014, 7:59 AM EST

    Chicago Bulls v Brooklyn Nets - Game One Getty Images

    He won’t be available until February or March, the Heat may not want to wait that long.

  5. Josh Smith makes Rockets debut, throws down two-handed dunk (VIDEO)

    Dec 26, 2014, 9:45 PM EST

    Josh Smith Josh Smith

    Hopefully there are more of these and fewer threes.

  6. Michael Jordan’s message to Kobe Bryant: “Go get Karl”

    Dec 26, 2014, 4:29 PM EST

    Los Angeles Lakers v Minnesota Timberwolves Getty Images

    At 25 points a game it would still take Kobe 182 games to catch Malone. That’s not likely.

  7. Carmelo Anthony on the Knicks: “The fans are dying, we’re dying”

    Dec 26, 2014, 3:00 PM EST

    Washington Wizards v New York Knicks Getty Images

    Knicks fans are going to need to be patient, something New Yorkers have long been know for. *cough*

Featured video

Who will land Josh Smith?
Top 10 NBA Player Searches
  1. K. Durant (9152)
  2. K. Bryant (7528)
  3. K. Martin (7117)
  4. J. Smith (7046)
  5. K. Leonard (6684)
  1. C. Bosh (6681)
  2. Z. Randolph (6522)
  3. T. Jones (6237)
  4. D. Williams (6214)
  5. T. Parker (5927)