2023 cap space NBA
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When news arrived that veteran Utah Jazz stretch four Bojan Bogdanovic was being traded to the Detroit Pistons and not your Los Angeles Lakers, fans wondered what went wrong. The 6'7" three-point ace would have been a perfect floor-spacing option for a shooting-challenged Lakers team. Show
Per Dan Woike of The Los Angeles Times, L.A. was open to shipping out a first-round pick to get off the egregious $47.1 million expiring contract of non-All-Star point guard Russell Westbrook. Where the Lakers front office ultimately drew the line was apparently some other contract that the Jazz wanted to include in a Bogdanovic deal (possibly Mike Conley's, which is set to pay him a guaranteed $14.3 million in 2023-24). Woike reports that the Lakers didn't want to take back a long-term salary, hoping to keep their cap sheet as open as possible for free agency next summer. Here's the big issue with that: Next summer, because the team is going to be saddled with a projected $87.5 million in combined salaries just from stars LeBron James and Anthony Davis, plus the $1.7 million rookie-scale deal of 2022 second-round pick Max Christie and potentially the $2.6 million salary of center Damian Jones (who has a player option for 2023-24), the team is not going to have a maximum salary slot to add a third All-Star, if such is the team's plan. L.A. will have between $34.3-$35.9 million in practical cap space, per Spotrac. Scroll to Continue Read MoreThe team no doubt hopes to add Brooklyn Nets point guard Kyrie Irving, who will be an unrestricted free agent, on a deal in that price range. Something below the maximum possible, but in line with what Irving may fetch, as teams may be reticent to add someone with Irving's availability issues. On Substack, Marc Stein writes that the Lakers are approaching their salary cap space with the same reservations they're tacking onto their first-round draft picks in 2027 and 2029. If, in their estimation, a new piece they'll be adding via trade, who has a contract beyond the 2022-23 season, is going to move them into the realm of legitimate title contention, they'll sacrifice some cap space. This is an incredibly constrictive and limiting way to look at prospective trades. The odds of a single trade moving a team into title contention these days, beyond the return being an absolute stud. Of course, the Lakers have pulled off those kinds of trades in their storied past, including with Davis and before him Pau Gasol. But that's not the only way you can do business. Improving the team significantly via trade is a totally valid route too, albeit more incremental. The Bogdanovic deal was never the most appetizing of the potential swaps available to L.A. The most appetizing to this reporter has always been the trade that would ship out Russell Westbrook and some level of draft equity to the Indiana Pacers in exchange for Myles Turner and Buddy Hield, who could both help spread the floor for James and Davis and, in terms of Turner, could add some elite frontcourt defense. Now that the extension window is closed for both rookie-scale players and veterans with more than one season left on their contracts, it is a great time to get a sense of the 2023 offseason. We’ll focus on how much flexibility each franchise will have next summer and lay things out team by team to see how things look about eight months before free agency. Before getting into that, here’s a quick breakdown of what the $134 million projected cap figure means for the other important offseason elements. RealGM puts together incredibly useful estimates in this area, and a $134 million salary cap leads to a $162 million luxury tax (up from this season’s $123.7 million cap and $150.3 million luxury tax). Here are the projected max contracts for each experience level:
And here are the projected exception amounts at that same cap estimate:
More details on those exceptions can be found here. Before diving in team-by-team, here’s a quick look of where things stand with teams split up by spending power. (A reminder that figures for exceptions, cap space, etc. are projections at this point.)
Now let’s examine all 30 teams a little more closely: Atlanta HawksAfter extending De’Andre Hunter, the Hawks are right around the luxury-tax line if Bogdan Bogdanović picks up his $18 million player option. That means the front office will only be able to use the $7 million taxpayer MLE if ownership is willing to go into the tax unless they can offload a salary or two. Boston CelticsBringing in Malcolm Brogdon clarified that the Celtics should pay the tax in 2023-24, since they are only $15 million below the threshold without anything for either Grant Williams (restricted free agent) or Al Horford. Brooklyn NetsThe Nets are another likely taxpayer since they are only $22 million below the tax line even without anything for Kyrie Irving or Seth Curry. The only way to avoid a tax bill would be a mass exodus. Charlotte HornetsThis is one of the murkiest situations in the league due to Miles Bridges’ uncertain future and P.J. Washington’s pending restricted free agency. The Hornets could open up around $40 million in space, but that would require saying goodbye to Washington, so I am expecting something more in the $30 million range, depending on what happens with Bridges. Chicago BullsThe Bulls are around $44 million below the tax, but I am not confident that will be enough to retain Nikola Vucević (unrestricted free agent), Ayo Dosunmu (RFA) and Coby White (RFA), much less all three, and also add new talent with one of the MLEs. The concern is that letting any one of them go does not really open up any spending power above the projected $11.4 million non-taxpayer MLE, making it hard to replace Vucević in particular. Cleveland CavaliersAfter extending Dean Wade, the Cavs are about $38 million below the tax not counting anything for Kevin Love or Caris LeVert. Like the Bulls, retaining both and using the non-taxpayer MLE might be too much to ask, though LeVert’s situation became much more complicated when Koby Altman traded for Donovan Mitchell. Dallas MavericksThe Mavs are $19 million below the tax, but that does not include either Christian Wood or Dwight Powell. I would expect the Mavericks to go into the tax to retain one or both and use the $7 million taxpayer MLE if Mark Cuban is willing to spend. Denver NuggetsDenver is actually $11 million above the tax line even before filling out its roster, so the Nuggets should pay the tax in 2023-24, especially since a cost-saving move would make the team materially worse since it has so little extraneous salary. Detroit PistonsAfter agreeing to an extension with Bojan Bogdanović over the weekend, the Pistons can wield approximately $48 million in cap space next summer or reduce that by retaining one or more of Alec Burks ($10.5 million team option), Nerlens Noel ($9.7 million team option) and Kevin Knox ($3 million team option). It also depends on their 2023 draft pick since the strongest selections come at a higher first-year salary, a sacrifice Troy Weaver would happily make for lottery luck. Golden State WarriorsThe Warriors are an astonishing $20 million over the tax (and repeater taxpayers!) even if both Draymond Green and Donte DiVincenzo opt out and leave with no replacements. This will be an amazingly expensive team. Even if Draymond Green opts out of his deal for 2023-24, Golden State should still be a tax-paying team. (Cary Edmondson / USA Today) Houston RocketsAfter agreeing to a fascinating extension with Kevin Porter Jr., the Rockets should have around $61 million in space assuming they let Eric Gordon go via trade or waive him before the final season guarantees. That said, the Rockets could also wait another season to spend if the July 2023 class is disappointing because their next big raise is Jalen Green in 2025, so 2023 and 2024 are both viable opportunities as of now. That could lead to the Rockets’ lottery result and the development of their young players looming large, along with which free agents or trade targets show interest in joining Houston. Indiana PacersMyles Turner is the big variable here, but expect the Pacers to possess $36 million to $51 million in space, enough for a max contract or multiple high-level contributors. Of course, this figure could swing dramatically with trades between now and then. LA ClippersA jaw-dropping $39 million over the tax line, including their $6.8 million team option on John Wall. On top of it, they will pay the repeater tax. Los Angeles LakersThere are two basic 2023 paths for the Lakers as things stand right now: They could clear up to around $34 million in cap space, but it would require letting basically everyone not named LeBron James, Anthony Davis, Max Christie and Damian Jones go (including Patrick Beverley, Lonnie Walker IV, Russell Westbrook and others). Alternatively, general manager Rob Pelinka could retain some of those players or trade them in-season for talent on multi-season contracts (or willing to re-sign) so they stay over the cap and potentially the tax. What makes their situation different is that the Lakers likely make this choice at or before the trade deadline rather than in the offseason even though they will not know exactly who will hit free agency and would be receptive to signing into that cap space. The reason why they likely choose at the deadline is the reality that it is incredibly hard to recoup value for non-premium unrestricted free agents in sign-and-trades since they can just leave without compensation, though the Lakers could value seeing how the season plays out more than the difference in assets between the two. Memphis GrizzliesExtending Steven Adams and Brandon Clarke took the Grizzlies out of the cap space derby, but they have around $40 million in wiggle room under the tax to retain Dillon Brooks, use the $11.4 million non-taxpayer MLE and possibly even bring back Danny Green if both sides are interested. Miami HeatGetting Tyler Herro to sign on the dotted line pushes the Heat into the tax for 2023-24, as they are about $11 million over if Victor Oladipo opts in to his $9.5 million player option. There are ways for the Heat to avoid a tax bill next season (hello, Duncan Robinson!). But those scenarios likely lead to a weaker roster overall. Milwaukee BucksMilwaukee is only $2 million below the tax without anything for Brook Lopez or filling out the roster, so expect the Bucks to pay the tax without significant changes. Minnesota TimberwolvesSimilar to the Lakers, the Timberwolves can choose between cap space (about $17 million in their case) or retaining free agents such as D’Angelo Russell and Taurean Prince ($7.7 million team option) then using the $11.4 million non-taxpayer MLE. I bet they choose door No. 2 unless Russell has a brutal season, as $17 million is unlikely to be enough for a major addition. New Orleans PelicansExtending Zion Williamson and Larry Nance Jr. clarified their books as the Pelicans are just over the tax line for 2023-24 even without draft picks or anything for Jaxson Hayes. That said, there is a scenario where finding a new home for Devonte’ Graham and his $12.1 million is enough to get New Orleans out of the tax while retaining Hayes or using one of the midlevel exceptions, so the logistics for David Griffin may not be too tough. New York KnicksRJ Barrett’s extension means the Knicks will function as an over-the-cap team next summer, with the biggest remaining variable being Derrick Rose’s non-guaranteed $15.6 million. President of basketball operations Leon Rose may face the choice between keeping Derrick Rose and using the $11.4 million non-taxpayer MLE.  RJ Barrett’s extension this past offseason provides a little clarity for the Knicks when it comes to the cap. (Vincent Carchietta / USA Today) Oklahoma City ThunderAfter a whirlwind offseason, the Thunder’s books for 2023-24 are actually somewhat straightforward as of now. Once Kemba Walker’s dead money slides off, the Thunder should have about $31 million in cap space depending on their draft pick and pending restricted free agent Darius Bazley. Like the Rockets, they could pretty easily roll that space over to 2024, but Oklahoma City’s ledger will eventually get trickier with so many first-rounders still to select and extensions starting to come up for the earlier picks such as Aleksej Pokuševski. Orlando MagicArguably the most variable books in the NBA for 2023 in part because President of basketball operations Jeff Weltman negotiated 2023-24 team options and partial guarantees on four different players likely in this year’s rotation when healthy: Markelle Fultz, Jonathan Isaac, Gary Harris and Mo Bamba. If he lets all four of them go, the Magic have about $60 million in space. Retain some, and that number gets closer to $35 million, still a lot but not nearly as jaw-dropping. One scenario is keeping most of those veterans around for 2023-24 but still retaining space for one or even two max contracts in 2024 when Fultz’s contract expires and Isaac’s is totally non-guaranteed, giving the front office two seasons to evaluate their current core and attract high-level additions. Philadelphia 76ersIt is difficult to envision a scenario where the Sixers avoid the luxury tax unless James Harden opts out and leaves, which is exceedingly unlikely after he took a pay cut for this season to help bolster the roster. The size of that tax bill depends on whether Daryl Morey retains Danuel House ($4.3 million player option), Matisse Thybulle (RFA) or uses the $7 million taxpayer MLE. Phoenix SunsThe Suns are currently $24 million below the tax line, but that includes nothing for Cameron Johnson (RFA), Jae Crowder or Dario Šarić. My instinct is that they could stay below the tax if that is a priority, but perhaps new ownership will be willing to foot a modest bill to retain a deeper roster, then make bigger decisions in 2024 and beyond. Portland Trail BlazersGetting Nassir Little to sign a shockingly modest extension makes the math a little easier for the Trail Blazers. They are $30 million below next year’s tax line, but that does not include pending free agent Jerami Grant. Is that enough to retain him and use the $11.4 million non-taxpayer MLE? I am skeptical, but there are other ways to clear a little bit of breathing room, depending on Grant’s eventual salary. Sacramento KingsThe only way for the Kings to open up viable cap space is saying goodbye to Harrison Barnes, either through him leaving in free agency in July or Sacramento trading him for expiring contracts. That would open up about $21 million; otherwise, Monte McNair stays over the cap and uses the $11.4 million non-taxpayer MLE without getting particularly close to the tax. San Antonio SpursJakob Poeltl looms large here, as the Spurs could have as much as $67 million in space if they let him walk. However, retaining the Austrian center and wielding $44 million or so may be preferable, especially with a weak 2023 free-agent class. We will learn a lot more about the Spurs’ timeline this season, but extension negotiations are coming soon as Devin Vassell can get a raise starting in the 2024-25 season. Josh Primo was waived by the team last week and is facing allegations of indecent exposure by a former team employee. While he was cut from the team, his salary still counts against the salary cap. Toronto RaptorsIt is exceedingly unlikely that the Raptors have cap space to work with since massive player options for both Fred VanVleet and Gary Trent Jr. will shape their summer and seasons to come. They likely pay the tax if both stay in Toronto, and President of basketball operations Masai Ujiri faces even more huge decisions with Pascal Siakam and OG Anunoby hitting free agency in 2024 without extensions next summer. Utah JazzIt certainly appears Danny Ainge is not done dealing, but as of now, the Jazz look like a team that will stay over the cap but under the tax. It would actually take some pretty big moves to open up meaningful cap space in 2023, so the more likely scenario is waiting to make a splash in 2024 when Mike Conley, Jordan Clarkson, Malik Beasley, Rudy Gay and others come off the books. That summer, Utah only has around $30 million in locked-in salary on the books as of now, though that will increase with draft picks and signings. Washington WizardsThere are a lot of different balls in the air as Kristaps Porziņģis and Kyle Kuzma both have player options, plus Rui Hachimura is a restricted free agent and the Wizards’ draft pick is lottery-protected. As of now, it looks like they will be able to retain their priorities and stay under the tax, but a strong season or two likely changes that dynamic. (Top photo of Lakers general manager Rob Pelinka: Jasen Vinlove / USA Today) What is the NBA salary cap for 2023?The NBA has informed teams that the 2023-24 salary cap is currently projected to be $134 million ($10.4M higher than this season), with $162M tax level, per sources. Both are $1M higher than previous projections.
How much cap space will the Lakers have in 2023?L.A. will have between $34.3-$35.9 million in practical cap space, per Spotrac.
What NBA team has the most cap space 2022?Which NBA teams have the most cap space in 2022 free agency? As of June 29, the Knicks, Spurs and Magic are projected to enter free agency with the most cap space, as each team should have more than $27 million available.
Is the NBA salary cap going up?Based on current projections, the cap will rise 8.4%, and the tax level will rise 7.8% over this season. Both figures — $134 million for the salary cap in 2023-24, $162 million as the tax level — would set records, and both are $1 million higher than the league's most recent projections made in June.
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