http://sports.espn.go.com/nba/news/story?id=2932279 Salary cap for 2007-08 season set at $55,630,000 -------------------------------------------------------------------------------- By Chris Sheridan ESPN.com The salary cap for the 2007-08 NBA season will be set at $55,630,000, ESPN.com has learned. The number was reached after an audit of league finances and was set late Tuesday night by the players association and the league office. It will be the number teams use beginning Wednesday when a 10-day moratorium on free agent signing ends. The mid-level exception for over-the-cap teams is $5,356,000, and the luxury tax threshold will be $67,865,000. The salary cap numbers mean that free agent Rashard Lewis of Seattle will get a $90.764 million deal from the Orlando Magic if he signs with them for five years. If, however, the Seattle SuperSonics and Magic can agree to a sign-and-trade deal, Lewis would get a six-year pact worth $118.54 million. Orlando has already committed to giving Lewis a maximum contract.
Associated Press Sports Updated: 8:26 p.m. CT July 10, 2007 NEW YORK (AP) -The NBA set next season's salary cap at $55.63 million Tuesday, paving the way for teams to begin signing free agents. The new cap goes into effect Wednesday, when the league's moratorium period ends and trades can be made. Teams have been allowed to negotiate with free agents since July 1, but the deals couldn't be completed until the new cap was determined. The salary cap will rise about $2.5 million from last season's $53.135 million figure. Also, the mid-level exception is rising from $5.2 million to $5.36 million, and the tax level is $67.87 million, up from $65.42 million. Teams will have to pay a $1 tax for every $1 they exceed that figure by. The minimum team salary is $41.72 million, 75 percent of the salary cap.[/QUOTE] This is where the Rockets stand as of now: Tracy McGrady $19,014,187 Yao Ming $13,762,775 (Yao's real salary some sources like hoopshype didn't add the raise he got under the new CBA) - for example the maximum deal was raised from $12,000,000 to $12,455,000, plus 10.5% raise the first year, meaning $13.762,775 is the real salary, not the incorrect $13,260,000 listed by hoopshype. Shane Battier $5,883,600 Mike James $6,082,776 (old salary of $5,632,200 plus 8% trade kicker = new salary of $6,02,776 with 8% trade kicker) Rafer Alston $4,550,000 Bob Sura $1,000,000 (if waived) Kirk Snyder $2,358,432 Bonzi Wells $2,284,200 Vassilis Spanoulis $1,944,000 (It would be zero if he stays in breach of contract) Justin Reed $1,436,500 Luther Head $1,122,000 Aaron Brooks $972,720 John Lucas $770,610 ($500,000 only guaranteed) Steve Novak $687,456 Mike Harris $427,163 ($50,000 guaranteed) - I believe it's only $50,000 against the salary cap if you cut a non-guaranteed rookie deal before the regular season starts Carl Landry $427,163 (rookie minimum deal typical for 2nd round picks) - hasn't been signed yet but this is the likely amount Total = $61,601,582 Obviously Spanoulis, Lucas, and Harris could be cut for salary purposes and lower the cap by the amounts listed above. Whether or not Sura is traded he will be cut before the rest of his salary kicks in so he will count only $1,000,000 against cap even if he isn't traded. So right now the Rockets can spend the full MLE and still be under the luxury tax. Mutombo would count $1,219,590 if signed for the 10 plus years veteran minimum. So adding in Mutombo (I assume the veteran minimum would get it done) the Rockets would be at: Now if you assume Mutombo signs for the veteran's minimum, then Harris gets cut before his full salary is guaranteed, Lucas is cut before his full salary becomes guaranteed, and Spanoulis stays in breach of contract, then the Rockets would save this in salary: Spanoulis -$1,944,000 Lucas -$270,610 Harris -$377,163 plus Mutombo's minimum deal Mutombo +$1,219,590 then the Rockets currently stand at $60,229,391 Since the luxury tax is set at $67,870,000 that means the Rockets would have $7,640,609 to spend on for an MLE free agent, plus to re-sign Chuck Hayes. The MLE is set at $5,360,000, so $7,640,609 (the amount the Rockets probably realistically have left to spend) - $5,360,000 (the cost of MLE free agent) = $2,280,609 left over, which = the maximum to spend on Chuck Hayes. Considering costs of 10 day contracts and other such costs like signing other free agents and so forth that could come up during the year, then Hayes would have to get less than that amount above for the Rockets to maintain salary cap flexibility, that is if they do intend to sign someone with the full MLE, which they have the money to do. So probably about $2,000,000 to start max offer for Chuck Hayes or he is gone, unless they do not intend to use the MLE. Also, if they didn't re-sign Hayes they could still use the full MLE to sign a free agent power forward then, even if Spanoulis turned out to have his whole salary count against the cap depending on what may or may not be resolved with him by a certain time. This would be accomplished simply by waiving either Lucas or Harris, which means they might be competing with each other for a roster spot.
wow, thanks bball scientist. les needs to man up and pay the luxury tax. beers are already over priced at TC, might as well get some value out of drinking that $$$ beer when i see artest ripping ppl's crossovers. or some above average PF grabbing rebounds when needed.
The Rockets also have to worry about the luxury tax over the next 5 years too. They may come a million under this year, but will have contracts growing at 10% per year. The luxury tax threshold grew about 3% over last year.
It's good that they are adjusting for inflation because there are a lot of starving NBA players out there.
