The salary cap for this upcoming season went up to an astounding $94 million. It was expected to be even higher for the 2017-18 season, and while it will be higher, it won’t be as high as expected.
via ESPN:
The league previously projected the 2017-18 cap to hit $107 million but lowered that number to $102 million Thursday and lowered the luxury tax line projection from $127 million to $122 million.
This will affect teams’ planning for 2017 free agency — specifically the Warriors. Kevin Durant is signing a contract Thursday that will allow him to re-enter the market as a free agent next summer. Because the Warriors will not have his full rights at that time, they will have to create $33.5 million in cap space if Durant wants a new max contract.
Stephen Curry and Andre Iguodala are also scheduled to be free agents next summer. The Warriors retain both players’ full rights, but it will be a challenge to re-sign them while also leaving room for Durant. That challenge was just projected to be $5 million more difficult.
The projections are based on the current collective bargaining agreement but both the NBA and the players’ union have the option to end the agreement by Dec. 15 and are expected to do so. The sides have been in talks about a new agreement for months and new terms could change the projections. There’s also been talks about the probability of a lockout since the owners had to shell out so much money in contracts in this season and the players receive 51 percent of the basketball related income (BRI).
