“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. It also contains things such as the latest projection of the season after next ($66.3 million salary cap, $80.7 million luxury tax threshold) and the sizes of next year’s exceptions. This year, however, the league sent out a second memo. Entitled “Consideration in Trades and Trade Structure”, it is a reminder and/or clarifier to teams about some of the specifics of what they can and cannot do in trades. Seemingly, they felt this was necessary Considering the presence of this memo suggests that some teams do not entirely understand the rules (or, perhaps, have been intent on pushing them back a bit), it is self-evidently the case that those of us outside of the league will not fully know them either. So, here goes. The memo is divided into two parts. The first part of the memo deals with what constitutes ‘consideration’ in trades, and is itself split into two parts. Part two of this first section concerns consideration in trades for non-playing personnel. Seemingly, in light of recent de facto coaching trades (whereby a team receives compensation for letting a non-playing member of staff out of their contract […]

Posted by at 7:54 AM

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. While the content is not my IP, I did spend a long time sourcing the relevant information, and in return, I seek only credit and a few page hits for that. Thank you.

Posted by at 12:45 AM