TDL Archived: The 2nd Rnd Pick Yankee Swap

[DanSchwartzgan]

1 That article uses the phrase "Dinwiddie Extension" as if it's a widely known technical term, but afaik it must just be Smith's own personal shorthand and I don't see it defined in the article. What is his intended meaning? 

It is his shorthand.  It is nothing more than the 120% of the average salary extension that Dorian signed.  Here is his explanation from a different article:


 
What is the Dinwiddie Extension? As you probably guessed, we’re naming it after Spencer Dinwiddie, as he was the most recent recognizable player to sign this type of extension. When with the Brooklyn Nets, Dinwiddie got his career on track after a series of false starts. That earned Dinwiddie a three-year, $34.4 million extension.

In previous pieces about Jaylen Brown and Pascal Siakam, we wrote about how these two players extending makes little sense. That’s because of the rules limiting many players to only a modest bump in first-year salary of an extension of 120% of the final year’s salary.

However, in a Dinwiddie Extension, players who are on team-friendly (read: underpaid) contracts, they are eligible for a bigger bump in first-year salary. In this case, these players are eligible to sign an extension worth 120% of that season’s estimated average salary. In both a standard Veteran Extension and a Dinwiddie Extension, the player is also eligible for up to 8% raises off the first-year salary.

The current maximum Dinwiddie Extension looks like this:

• • 2023-24: $12,950,400
    
    
  • 2024-25: $13,986,432
    
    
  • 2025-26: $15,022,464
    
    
  • 2026-27: $16,058,496
    
    
  • Total: four years, $58,017,792
    

That’s 120% of the estimated average salary for 2022-23 ($10,792,000) with 8% raises.