02-15-2022, 10:13 PM
(02-15-2022, 06:59 PM)F Gump Wrote: Excellent explanation and summary, except for the part I bolded (and its mention earlier).
Teams buying out a player do have a "cap hit" -- ie, the contractual amount for the year is charged to their Team Salary for the year - which would be lessened by the amount of the salary reduction accepted by the player, if any.
So when the Spurs "bought out" Dragic, their Team Salary had a cap hit for up to $19.44M, whatever he was paid by BOTH teams in total this year. For the remainder of the season (with about 1/3 of it left), he was still due around $6.5M, and whether the Spurs paid him the full $6.5M (in installments, per the rules) or $0 was a matter of negotiation. But whatever the total number, the Spurs will have a cap hit for it.
That I didn't know. Thanks for the clarification.
14x All-Star, 12x all-NBA, 1x MVP, 1x Finals MVP, 1 NBA Championship: Dirk Nowitzki, the man, the myth, the legend.