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Raptors Salary Cap Situation (and planning for the future)

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  • DanH
    replied
    Oops, double post.

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  • DanH
    replied
    JawsGT wrote: View Post
    dang, so even if we were to free up cap space somehow, we couldn't offer Biz a fair deal eh? Not hung up on Biz, just trying to understand how this works.
    No, if we have cap space, we can offer it to any free agent, even our own.

    The rights to a player allow you to ignore whether you have cap room or not, up to a limit (the limits I posted above). So if we have cap room we certainly can use it on Biz. But, for example, we can offer DeMar the max even if we are way over the cap, because of those rights we have for him. So with Biz, we can offer him a 3M per year deal even if we are way over the cap. But to offer more we need an exception or cap space to do so.

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  • JawsGT
    replied
    DanH wrote: View Post
    We have Biz's rights, and Scola's. But just their player rights, not Bird or Early Bird rights (require 3 and 2 years of service, respectively). So we can offer a 4 year deal, but only at a very slight raise over their current salary (so essentially can offer each of them 3M per year).

    James Johnson has his Early Bird rights, so we can offer a 4 year deal at 1.75 times his current salary, so just under 5M.

    DeRozan has his full Bird Rights, so we can offer 5 years at the max salary.

    If you want to offer any of those first three more than those amounts, you need another exception (like the MLE) or cap space to do so.

    Short answer, yes, the reason the team will likely not stay together is that Biz and possibly Scola will want more money than we can offer them to come back.
    dang, so even if we were to free up cap space somehow, we couldn't offer Biz a fair deal eh? Not hung up on Biz, just trying to understand how this works.

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  • DanH
    replied
    JawsGT wrote: View Post
    Dan, is the only reason we cannot keep this present team together is we have no rights to Biz if he opts out?
    We have Biz's rights, and Scola's. But just their player rights, not Bird or Early Bird rights (require 3 and 2 years of service, respectively). So we can offer a 4 year deal, but only at a very slight raise over their current salary (so essentially can offer each of them 3M per year).

    James Johnson has his Early Bird rights, so we can offer a 4 year deal at 1.75 times his current salary, so just under 5M.

    DeRozan has his full Bird Rights, so we can offer 5 years at the max salary.

    If you want to offer any of those first three more than those amounts, you need another exception (like the MLE) or cap space to do so.

    Short answer, yes, the reason the team will likely not stay together is that Biz and possibly Scola will want more money than we can offer them to come back.

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  • JawsGT
    replied
    Dan, is the only reason we cannot keep this present team together is we have no rights to Biz if he opts out?

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  • DanH
    replied
    Yeah, just under 6M.

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  • Axel
    replied
    DanH wrote: View Post
    Depends on who comes back.

    Assuming DeMar comes back, with his cap hold on the books, we might be able to clear a couple million in cap room (so essentially none at all since the MLE might as well be used instead) by letting everyone else walk, if the cap comes in high (92M is the latest guess I saw). But might as well just use the MLE and stay over the cap.

    If DeMar walks, we could have a little under 20M to spend.
    And MLE is project at ~$6M?

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  • DanH
    replied
    Axel wrote: View Post
    Dan, what's are current FA spending options?
    Depends on who comes back.

    Assuming DeMar comes back, with his cap hold on the books, we might be able to clear a couple million in cap room (so essentially none at all since the MLE might as well be used instead) by letting everyone else walk, if the cap comes in high (92M is the latest guess I saw). But might as well just use the MLE and stay over the cap.

    If DeMar walks, we could have a little under 20M to spend.

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  • Axel
    replied
    Dan, what's are current FA spending options?

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  • Raptor Jesus
    replied
    DanH wrote: View Post
    Lowry's deal has no incentives in it.

    DeRozan's has incentives, several unknown ones and one that seems to be for making the all-star game for 50k, all told they total 600k.

    I don't believe any other player on the team has incentives in their deal.
    Cool thanks.

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  • DanH
    replied
    Raptor Jesus wrote: View Post
    Interesting. Thanks for that very clear elucidation.

    If I'm following, then given no immediate (or any) All-NBA Team nominations for Lowry if any incentive is built in to his contract then it would not affect cap as it would be listed as unlikely? And any All-Star incentive will count as he was an All-Star last year and thus would be listed as likely?
    Lowry's deal has no incentives in it.

    DeRozan's has incentives, several unknown ones and one that seems to be for making the all-star game for 50k, all told they total 600k.

    I don't believe any other player on the team has incentives in their deal.

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  • Raptor Jesus
    replied
    Interesting. Thanks for that very clear elucidation.

    If I'm following, then given no immediate (or any) All-NBA Team nominations for Lowry if any incentive is built in to his contract then it would not affect cap as it would be listed as unlikely? And any All-Star incentive will count as he was an All-Star last year and thus would be listed as likely?

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  • DanH
    replied
    Raptor Jesus wrote: View Post
    A question for the cap scholars of RR.

    How do player incentives; All-Star Selections, ALL NBA (Rose Rule) and others I may not know affect cap?

    If for instances KLOEs deal has player attribution incentives, are the dollars reflected in cap flexibility?
    Incentives, each year, are assigned a status of likely or unlikely. This is dependent entirely on whether the player achieved them the prior season - ie, if a player gets a bonus for making the all-star game, then if they made the all-star game the previous season, the bonus is listed as likely for the next one. Then if that season he misses the all-star game, the year after it would be listed as unlikely.

    This is important because likely incentives count against the cap - they take up cap room. Unlikely ones don't.

    So, for example, DeRozan has incentives built into his contract. He never achieved any of them until his first all-star season. The following summer, since he had achieved those incentives, his cap hit went up from 9.5M to 10.1M. Then last season he only achieved some of his incentives, so right now his cap hit is only 10.05M, as the ones he achieved are still likely and still count as cap hits, while at least one he didn't achieve is now listed as unlikely and doesn't count.

    For tax implications, the final calculation is done based on whether the player earns the incentive or not that season. But that's separate from the cap question.

    Rose Rule is different and actually effects the value of the contract signed based on eligibility for a veteran max extension value on a rookie scale extension by meeting certain goals like all star starter and All-NBA awards. It's not really a cap impact so much as a change in the contract value itself (which impacts the cap, of course, but not JUST the cap like incentive likelihood does).

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  • Raptor Jesus
    replied
    A question for the cap scholars of RR.

    How do player incentives; All-Star Selections, ALL NBA (Rose Rule) and others I may not know affect cap?

    If for instances KLOEs deal has player attribution incentives, are the dollars reflected in cap flexibility?

    Leave a comment:


  • DanH
    replied
    The only scenario where we have cap space is if we start selling assets like Ross or CoJo for cap space and picks. Then the increasing cap could spell some relief allowing us to sign a big name and keep DD. But that's a big risk and we are probably better off using those assets in a sign and trade attempt for said big free agent.

    Leave a comment:

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