Jun 4, 2014, 2:55 PM EST
Paul George is having a good day.
The Pacers forward just made $6,788,165.*
*That number, and numbers in this post, are based on the NBA’s latest cap projection. When the league reviews its books and sets the actual salary cap in July, these numbers will change slightly.
By making the All-NBA third-team, George will earn more money on the five-year contract extension he signed before the season. As detailed previously, that extension set George’s 2014-15 salary to rise from 25 to 27 percent of the salary cap if he qualified for the Derrick Rose rule. By making an All-NBA team – the second of his career – he qualified.
The yellow line shows what George will make the next five seasons (27% of the max). The blue line shows what he would have made if he missed the All-NBA teams (25% of the max).
|Season||25% max||27% max|
Unfortunately for the Pacers, George’s good news is not their own.
They’ll owe George an extra $1,180,550 next season, cutting into their leeway for re-signing Lance Stephenson while avoiding the luxury tax (projected to start at $77 million).
Let’s say the Pacers keep all 10 players they have under contract for next season,* sign the No. 57 pick to a minimum contract and fill out a 13-player roster with one more minimum-salary free agent.
To avoid paying the luxury tax, that would leave $8,442,470 for Stephenson’s starting salary. Based on the length of the deal, here’s the most he could earn without forcing Indiana into the tax range:
- One-year contract: $8,442,470
- Two-year contract: $17,518,125
- Three-year contract: $27,226,965
- Four-year contract: $37,568,991
- Five-year contract: $48,544,202
If the Pacers need to offer Stephenson more money, they could waive Scola ($940,946 guaranteed) and replace him with a minimum-salary player. That would grant Indiana $3,953,256 in additional room below the tax line.
In that case, the Pacers could give Stephenson a starting salary of $11,454,780 and avoid the tax. Depending on length of the deal, that would look like (max):
- One-year contract: $11,454,780
- Two-year contract: $23,768,668
- Three-year contract: $36,941,665
- Four-year contract: $50,973,771
- Five-year contract: $65,864,984
That should be enough wiggle room to re-sign Stephenson – though it leaves an opening for a preying opponent to poach him. Stephenson’s max starting salary next season is projected to be $14,756,881 – the same amount George avoided by making an All-NBA team. The Pacers would have to do more than just waive Scola to offer Stephenson his max.
Plus, if re-signing Stephenson requires waiving Scola, that wouldn’t leave much room under the tax line to upgrade the team elsewhere. Without making other moves, it’s unlikely Indiana could use its full mid-level exception ($5,305,000) without crossing the tax line.
However, the tax is not assessed until the end of the season. The Pacers could begin the year with a payroll over $77 million and figure out the rest as they go. Would they take that risk? I don’t know.
Paul George is having a good day. Because of it, the Pacers face a summer of tough(er) decisions.
Dec 25, 2014, 2:13 AM EST
This will be his fourth game missed with a sprained ankle, they are 1-2 without him the last three.
Dec 24, 2014, 11:00 PM EST
The Wizards are an underrated team in the East. The Knicks… not so much.
Dec 24, 2014, 9:30 PM EST
Previewing the Bulls vs. Lakers matchup at the United Center.
Dec 24, 2014, 9:00 PM EST
Colorways inspired by shoes Michael Jordan wore during his best Christmas Day performance.
Spurs and Thunder, who’ve been best in the West lately, both fighting for position entering Christmas matchup
Dec 24, 2014, 7:00 PM EST
Injuries to Kevin Durant, Russell Westbrook and Kawhi Leonard have put both teams behind the eight ball
Dec 24, 2014, 6:06 PM EST
An additional confirmation that no Deron Williams deal gets done on Sacramento’s side unless they can also get the talented young big man as part of the package.
Dec 24, 2014, 5:30 PM EST
Young says Lakers played liked ‘Django Unchained’ without Kobe Bryant
Dec 24, 2014, 4:00 PM EST
Boston has Brandan Wright, large trade exception
Dec 24, 2014, 3:00 PM EST
The NBA has given us some good presents to open for Christmas.
Dec 24, 2014, 2:15 PM EST
McHale earned this.
Dec 24, 2014, 1:24 PM EST
This is a low risk pickup by the Rockets at a good price.
Dec 24, 2014, 12:58 PM EST
A minor move, but one that should benefit both teams.
Dec 24, 2014, 12:36 PM EST
Expect more Tristan Thompson in the short term, a trade for Cleveland to land a big in the longer term.
Dec 24, 2014, 11:45 AM EST
Miami fans will boo a little, but this isn’t Cleveland.
Dec 24, 2014, 11:00 AM EST
Lakers can use Steve Nash’s disabled-player exception to sign free agents
Dec 24, 2014, 10:00 AM EST
Orlando’s fourth-year players have All-Star cases. Yes, really.
Kendall Marshall turns back to play, runs like an airplane to celebrate… Jared Dudley’s missed 3-pointer (video)
Dec 24, 2014, 9:45 AM EST
Bucks don’t come back, fall to Hornets
Dec 24, 2014, 9:00 AM EST
Wizards center gets big slam, but Bulls win
How much did Damian Lillard’s game tying shot Tuesday look like series winner vs. Rockets? A lot. (VIDEO)
Dec 24, 2014, 8:30 AM EST
Same play, same spot, same result.
Dec 24, 2014, 8:00 AM EST
Lakers star says he trusts Lakers management
- Five things to watch as NBA takes over Christmas Day 13
- Cavaliers center Anderson Varejao tears Achilles, done for season 29
- Miami Heat fans were hurt when LeBron left, they may let him hear it. Somewhat. 21
- Nikola Vucevic and Tobias Harris coming into their own for Magic 6
- PBT Tuesday Night Winners/Losers: Sixers, Lakers show the last will be first (for a night) 13
- Anderson Varejao leaves Cavaliers game with foot injury not to return, MRI Wednesday 5
- Report: Rockets ‘very confident’ they’ll land Josh Smith 19
- Report: Sixers want Andrei Kirilenko to report to team, prepare to play 16