How Agents Make Money Out Of Rookie Contracts
September 26th, 2014
(originally posted elsewhere)
The general rule for agents is that their earnings off of negotiated player contracts are capped at 4% of the player’s salary. Indeed, 4% is an assumed amount unless otherwise agreed upon, as outlined in section 3(B) of the Standard Player Agent Contract:
If the Player receives compensation in excess of the minimum compensation applicable under the CBA for one or more playing seasons, the Agent shall receive a fee of four percent (4%) of the compensation received by the Player for each such playing season, unless a lesser percent (%) or amount has been agreed to by the parties […]
In practice, this 4% is rarely deviated from.…
Sorry guys, Carmelo Anthony did not get $62 million in advance
August 16th, 2014
(originally posted elsewhere)
For the most part, NBA players are paid on the first and fifteenth of every month, with a standard of 24 paydays per calendar year. Players earning more than the minimum can agree to 12 payments over six months or 36 payments over eighteen months, yet the norm is the norm.
There is room for some further deviation from these standards. Players can receive both advances on their salary, and receive loans from their teams.
There is not, however, room for the amount of deviation that is currently being reported in the case of Carmelo Anthony.
It is being reported in several places around the web, most notably (and I believe initially) the Wall Street Journal, that Melo received 50% of his new $124,064,681 contract in one up front payment.…
Jusuf Nurkic revisited
August 7th, 2014
This post from yesterday talks about how Nuggets draftee Jusuf Nurkic was set to receive less than 120% of the rookie scale, the customary amount. And in doing so, it was mentioned that he would be the highest first-round pick to ever do so.
Not quite. It turns out this is a misreporting on my part. Nurkic will receive less than the salary of the 120% rookie scale amount, but he will count on the cap for the 120% amount. Nurkic’s buyout with Cedevita was for larger than the amount NBA teams can pay cap-exempt ($600,000 this season), and while teams are eligible to pay more than that amount in an international player’s buyout, they must do so by putting any amount greater than that paid into the cap hit in the form of a signing bonus.…
Without looking, guess which first-round draft pick didn’t get the full 120% of the rookie scale this year
August 4th, 2014
Answer after the jump.
(this is the jump)
The answer is Jusuf Nurkic of the Denver Nuggets. His contract calls for 108% of the scale in year one ($1,562,680), 107% in year two ($1,642,000), and then 120% in years three and four ($1,921,320 and $2,947,300 respecitvely). That adds him to an exclusive and small club of non-120%ers, including Raul Lopez, George Hill, Ian Mahinmi, James Anderson, Sergio Rodriguez, MarShon Brooks, and probably some others. It is believed that Nurkic, a #16 pick, is the highest drafted player to ever not receive the full amount.
Josh Huestis’s D-League adventure, a misplaced exercise in loyalty
July 23rd, 2014
(originally published elsewhere)
A few days ago, Darnell Mayberry broke the story that Oklahoma City Thunder draft pick Josh Huestis might spend next year in the D-League, collecting a mere $25,000 or so salary, rather than sign in the NBA. This would be groundbreaking, not as the first first rounder to not sign immediately in the NBA (this happens quite often), but as the first to do so who instead signs in the D-League.
It also makes absolutely no sense on the face of it. As useful as the D-League can be, its salaries are extremely uncompetitive. Players are paid by the league in one of three salary brackets, determined by their ability, and even though Huestis would no doubt be worthy of the highest D-League salary possible, that figure is still paltry.…
The amount of cap room teams have remaining
July 17th, 2014
The bulk of free agency is behind us, maybe, but we’re far from done. There follows a look at how much cap space NBA teams still have outstanding, which, with the exception of the occasions I blatantly do the opposite, will be presented without analysis as to how the situation came about.
All the teams that have cap space, or have had cap space this offseason, are included in the list. That is a total of fifteen teams and half the league. The other fifteen – Boston, Brooklyn, Denver, Golden State, Indiana, L.A. Clippers, Memphis, Minnesota, New York, Oklahoma City, Portland, Sacramento, San Antonio, Toronto and Washington – are not mentioned at all.…
“Consideration In Trades And Trade Structure” – a league instruction manual
July 11th, 2014
At the end of the July Moratorium each year, the league sends out a memo containing all of the findings from the audit it conducted during it. That audit is what the moratorium period is for – the moratorium is one long end-of-season book-keep in which it crunches all the numbers related to revenue, BRI, escrow, tax and the like, and makes determinations on both the past and the future. That memo generally filters through to the mainstream media – it has to, because it contains all the things that will make the league work next year, such as the salary cap numbers and exact size of the luxury tax threshold.…
Complete History Of NBA Luxury Tax Payments, 2001-2014
July 10th, 2014
This website and its sole proprietor keep a spreadsheet containing to-the-dollar information on all luxury tax paid to date, updated annually. Here is the latest update.
In the 13 seasons since the luxury tax was created, it has been applicable in eleven seasons; in those eleven seasons, 24 NBA franchises have paid over $1 billion in payroll excess. The exact details can be found here.
|(Sorted alphabetically – click to enhance.)
|(Sorted by expenditure – click to enhance.)
(Orange cells denote the team that won the championship that year.)
Please use the spreadsheet freely for resource purposes, and feel equally free to suggest any improvements. However, please do not just take it, and if you do cite its data somewhere, please acknowledge its source.…
2014 Summer League rosters – Miami
July 7th, 2014
Ivan Aska – Murray State graduate Aska has played two professional seasons, splitting last one between Greece and Puerto Rico. He averaged 15.2 points, 7.0 rebounds and 3.4 fouls in 29.9 minutes per game for Ikaros, then averaged 6.9 points, 4.5 rebounds and 2.5 fouls in 13.8 minutes per game for Santurce. The 6’7 power forward never really developed at Murray State, saved for an improved free throw stroke he has subsequently lost again, but he brings plenty of athleticism to the table, easily his most alluring quality. There are occasional post ups, straight line dribble drives and mid-range catch-and-shoots in there, but the athleticism doesn’t seem to make him a shot blocker, and there are no NBA calibre skills other than it.…
How Chicago Can Get Carmelo
July 7th, 2014
(originally published elsewhere)
Pretend for a minute that Carmelo Anthony chooses the Bulls. It’s possible until it isn’t.
Pretend for a minute that he wants more than they can pay him in free agency. Considering that their best free agency offers would top out at a starting salary of $15 million barring a significant weakening of the roster elsewhere, and that other teams are offering an unconditional max, and this seems a reasonable belief. To join Chicago for an amount of money comparable to what he would get elsewhere, Melo would have to be signed and traded.
Pretend for a minute that the Knicks are willing to do this deal to help out a conference rival.…