With the NBA draft recently completed, teams across the league are now focusing on the upcoming free agency period and potential trade opportunities.
Questions abound: How many teams currently have significant salary cap space, and which ones could potentially create it? Which franchises are facing the restrictions imposed by the first or second salary apron? Could any teams follow the example of the Boston Celtics in making cost-saving trades to reduce their luxury tax burden?
We`re organizing all 30 NBA teams into distinct categories, analyzing their available cap space, identifying key free agents, suggesting potential best fits, and outlining possible offseason maneuvers for each franchise this summer.
Key Definitions: ETO = Early Termination Option | P = Player Option | R = Restricted | T = Team Option
Jump to a tier: Cap space teams • Cap room, with a cost • The $14.1M exception club • Watching their own FAs • First-apron teams • Second-apron teams
Tier 1: Cap Space Team
While the number of teams with substantial cap space might increase, currently, only the Brooklyn Nets are projected to have more than $20 million available this offseason. In contrast, last summer saw multiple teams like the Hornets, Pistons, Thunder, Magic, 76ers, Spurs, and Jazz utilize cap room to sign players or take on salary via trade. This current scarcity of spending power is largely attributed to the significant number of rookie and veteran contract extensions signed since July of last year.
NBA regulations require teams to spend at least 90% of the $154.6 million salary cap by the start of the regular season. For a team like Brooklyn, with a current salary commitment of $96 million, this means they must reach $139.2 million by October 21. Should the Nets fail to meet this minimum salary floor by opening night, the shortfall would be distributed among their current players. Additionally, Brooklyn would not receive the projected $11.7 million year-end cash distribution given to non-taxpaying teams. The amount below the salary floor is also added to the Nets` team salary calculation, meaning their effective maximum cap space during the regular season would be limited to $15.5 million.
Teams that are over the salary cap will still have access to the $8.8 million room midlevel exception. This can be used to sign a free agent or acquire a player in a trade after exhausting their cap space.
The free agents listed below under “Cap-space free agents” are players projected to potentially sign contracts exceeding $14 million annually. A `player` designation next to a name indicates they can choose to exercise a player option for the final year of their current deal.
Brooklyn Nets
Projected room: $35 million
The Nets are transitioning from a period of selecting numerous first-round picks (a record five) to now having considerable financial flexibility with nearly $45 million available in free agency. While prioritizing restricted free agents Cam Thomas and Day’Ron Sharpe is important, Brooklyn is also an attractive destination for teams looking to offload salary, provided draft compensation is included.
Given the requirement to spend 90% of the salary cap by opening night, expect Brooklyn to be active in free agency, even if they aren`t pursuing top-tier stars like they did previously with Kyrie Irving and James Harden. With $96 million currently on their books, the Nets need to add approximately $44 million in salary.
Team needs: Lead facilitator and overall depth
Free agents who fit: Josh Giddey, Julius Randle, Tyus Jones, Jonathan Kuminga, Thomas, D’Angelo Russell, Malik Beasley, Malcolm Brogdon, Caris LeVert, Precious Achiuwa, Davion Mitchell, Quentin Grimes, and Oscar Tshiebwe
Moves I would make: Leveraging the available cap space, I would offer restricted free agent center Santi Aldama a two-year, $40 million contract. Additionally, I would re-sign Cam Thomas to a three-year, $54 million deal. Despite the additions of rookies Egor Demin and Nolan Traore, re-signing Thomas should be a priority.
Under contract: Nicolas Claxton, Cameron Johnson, Terance Mann, Noah Clowney, Dariq Whitehead, Keon Johnson (T), Jalen Wilson (T), Tyrese Martin (T), Drew Timme (T), Egor Demin, Nolan Traore, Drake Powell, Ben Saraf and Danny Wolf.
Key free agents: Thomas (R), Sharpe (R)
Other free agents: Johnson, Wilson, Martin, Timme, Russell, De’Anthony Melton, Trendon Watford, Ziaire Williams
Tier 2: Cap Space, but at a Cost
The Pistons and Grizzlies could potentially join Brooklyn in the top tier, but achieving significant cap space would require them to renounce their own free agents or execute trades. Memphis is highly likely to create cap space primarily to renegotiate and extend Jaren Jackson Jr.`s contract.
Detroit Pistons
Projected room: TBD
Creating up to $17 million in cap space comes with significant consequences for the Pistons` roster. If Detroit chooses this route, they would need to renounce free agents Malik Beasley, Tim Hardaway Jr., and Dennis Schroder. Beasley could be signed using the created cap space, and Detroit would still have the $8.8 million room exception available for another free agent. Alternatively, the Pistons could re-sign their own free agents and utilize the $14.1 million non-tax midlevel exception for Beasley or another target.
Last offseason, the Pistons prioritized improving their perimeter shooting and defensive capabilities. They finished 10th in defensive efficiency last season, 9th in field goal percentage allowed, 5th in paint points allowed, and 9th in blocks. The season prior, they were ranked in the 20s in each of these categories, including 25th in overall defensive efficiency.
Team needs: Perimeter shooting, reserve facilitator, and frontcourt depth
Free agents who fit: Beasley, Hardaway, Schroder, Ty Jerome, Chris Paul, Sam Merrill, Luke Kennard, Gary Trent Jr., Taurean Prince, Nickeil Alexander-Walker, Trey Lyles, Jake LaRavia, Garrison Mathews, Jeff Dowtin Jr.
One move I would make: Sign Malik Beasley to a three-year, $45 million contract. Beasley significantly improved Detroit`s 3-point shooting, helping them rise from the worst team in 2022-23 to 17th last season. By signing him with cap space, the Pistons would retain access to the $8.8 million room midlevel exception.
Under contract: Cade Cunningham, Tobias Harris, Isaiah Stewart, Jaden Ivey, Ausar Thompson, Ronald Holland II, Simone Fontecchio, Jalen Duren, Marcus Sasser and Bobi Klintman
Key free agents: Hardaway, Schroder and Beasley
Other free agents: Lindy Waters III and Paul Reed
Memphis Grizzlies
Projected room: $5 million (Note: Memphis used more than 100% of the traded player exemption to acquire Kentavious Caldwell-Pope and Cole Anthony, hard-capping them at the first apron.)
Expect the Grizzlies` limited cap space to be primarily directed towards renegotiating and extending Jaren Jackson Jr.`s contract. Memphis is permitted to increase Jackson`s $23.4 million salary for next season up to $30.3 million and then extend him for an additional four years, potentially worth $190 million. Reserves Cole Anthony and John Konchar are potential trade candidates if the Grizzlies aim to create additional cap space following a Jackson renegotiation. The new contract for Jackson will not impact Santi Aldama`s restricted free agency status or the ability to use the $8.8 million room exception.
Team needs: A healthy Ja Morant, spacing combo big, and consistent rotational minutes.
Free agents who fit: Brook Lopez, Clint Capela, Larry Nance Jr., Al Horford, Luke Kornet, Kevon Looney, Mason Plumlee, Aldama, Branden Carlson, Micah Potter, Oscar Tshiebwe, Chris Boucher, Trey Lyles
One move I would make: Trade Cole Anthony and two future second-round picks to the Nets. The $12.5 million salary savings this season would facilitate Memphis`s ability to renegotiate and extend Jaren Jackson Jr.`s contract.
Under contract: Morant, Jackson, Caldwell-Pope, Anthony, Brandon Clarke, Konchar, Zach Edey, Vince Williams Jr., Scotty Pippen Jr., Jay Huff, GG Jackson, Jaylen Wells and Cedric Coward
Key free agent: Aldama (R)
Other free agents: Luke Kennard, Marvin Bagley III and Lamar Stevens
Tier 3: The $14.1 Million Non-Tax Midlevel Exception Club
This is the largest group of teams, characterized by having access to the full (or nearly full) $14.1 million non-tax midlevel exception and the $5.1 million biannual exception. A rule implemented last offseason also permits teams to use these exceptions to acquire players via trade. However, using more than $5.7 million of their non-tax or biannual exception triggers a hard cap at the first apron.
Atlanta Hawks
Below the tax: $31 million
Below the first apron: $39 million (Note: Atlanta is hard-capped at the first apron due to using more than 100% of the traded player exception to acquire Kristaps Porzingis.)
The Hawks have been quite active this offseason, acquiring Kristaps Porzingis via trade, drafting Asa Newell in the first round, and securing a valuable 2026 first-round pick from either Milwaukee or New Orleans. These moves provide some flexibility below the luxury tax and first apron to add backcourt depth. Atlanta possesses the $14.1 million non-tax midlevel exception and four trade exceptions, including significant ones worth $25.2 million and $13.1 million.
Beyond free agency possibilities, the future of Trae Young and a potential rookie extension for Dyson Daniels are key storylines. Young is eligible to sign a four-year extension potentially worth $229 million and could become a free agent next summer if no agreement is reached.
Team needs: Backcourt help, frontcourt depth, and rim protector
Free agents who fit: Al Horford, Clint Capela, Kevon Looney, Precious Achiuwa, Nickeil Alexander-Walker, Ben Simmons, Chris Paul, Malcolm Brogdon, Ty Jerome, Sam Merrill, Dennis Schroder, Bruce Brown, Day’Ron Sharpe, Isaiah Jackson and Branden Carlson
Moves I would make: In two separate transactions, use a portion of the non-tax midlevel exception to sign Ty Jerome to a three-year, $35 million contract. Then, utilize part of the $13.1 million trade exception to acquire Nickeil Alexander-Walker in a sign-and-trade agreement from Minnesota. As part of this trade, Atlanta would send two future second-round picks.
Under contract: Young, Jalen Johnson, Porzingis, Onyeka Okongwu, Zaccharie Risacher, Georges Niang, Daniels, Kobe Bufkin, Vit Krejci, Mouhamed Gueye, Dominick Barlow (T) and Newell
Key free agent: Caris LeVert
Other free agents: Capela, Nance and Garrison Mathews
Charlotte Hornets
Below the tax: $22 million
Below the first apron: $30.1 million (Note: Charlotte is hard-capped at the first apron due to using more than 100% of the expanded traded player exception to acquire Vasilije Micic from Phoenix.)
The Hornets are currently close to the salary cap but possess draft assets and roster flexibility that could allow them to target an All-Star player if one becomes available. However, General Manager Jeff Peterson has emphasized the team`s commitment to a gradual rebuild process. Peterson stated after the season, “I will double down on how we`re not going to expedite anything.”
Charlotte does have the $14.1 million non-tax midlevel exception and the $5.1 million biannual exception available to use in free agency or through trades.
Team needs: Perimeter shooting and facilitator
Free agents who fit: Ty Jerome, Malik Beasley, Tyus Jones, Chris Paul, Malcolm Brogdon, Sam Merrill, Dennis Schroder, Luke Kennard, Gary Trent Jr., Jake LaRavia, Tre Mann, Cam Thomas, Nickeil Alexander-Walker, Reece Beekman
One move I would make: Sign Chris Paul to a one-year, $14 million contract.
Under contract: LaMelo Ball, Miles Bridges, Jusuf Nurkic, Grant Williams, Josh Green, Brandon Miller, Tidjane Salaun, Micic, Nick Smith Jr., Josh Okogie, DaQuan Jeffries, Moussa Diabate, Kon Knueppel and Liam McNeeley
Key free agent: Mann (R)
Other free agents: Seth Curry and Taj Gibson
Chicago Bulls
Below the tax: $46 million
Below the first apron: $52 million (Note: Chicago is hard-capped at the first apron due to using more than the Expanded Traded Exception in the Isaac Okoro trade.)
The Bulls are well-positioned to re-sign Josh Giddey and utilize their $14.1 million non-tax midlevel exception to improve the roster (they recently acquired Isaac Okoro but lost Lonzo Ball in the process). They also have the capacity to absorb salary in trades, holding a $17.2 million trade exception created in the Zach LaVine deal.
Key storylines for Chicago this offseason include the future contract for Giddey and the status of over $60 million in veteran expiring contracts, notably those belonging to Nikola Vucevic and Coby White.
Team needs: Frontcourt depth and defense-minded players
Free agents who fit: Giddey, Dorian Finney-Smith, Clint Capela, Larry Nance Jr., Kevon Looney, Braxton Key, Amir Coffey, Nickeil Alexander-Walker, Gary Payton II
Moves I would make: Sign free agent guards Josh Giddey and Tre Jones. Offer Giddey a five-year, $120 million contract and Jones a two-year, $18 million contract.
Under contract: Vucevic, Patrick Williams, Zach Collins, Kevin Huerter, White, Isaac Okoro, Jalen Smith, Ayo Dosunmu, Jevon Carter (P), Matas Buzelis, Dalen Terry, Julian Phillips and Noa Essengue
Key free agent: Giddey (R)
Other free agents: Jones and Talen Horton-Tucker
Houston Rockets
Below the tax: $1 million
Below the first apron: $9 million
Below the second apron: $21 million (Note: After aggregating the contracts of Dillon Brooks and Jalen Green, Houston is hard-capped at the second apron.)
The Rockets began their free agency activities early with Steven Adams signing a three-year, $39 million extension, and continued by acquiring All-Star Kevin Durant from Phoenix. Durant is eligible to sign a two-year extension worth up to $122 million starting July 6. Houston also brought back Fred VanVleet, Aaron Holiday, Jeff Green, and Jae’Sean Tate.
Finding a replacement for Dillon Brooks and considering rookie extensions for Jabari Smith Jr. and Tari Eason are next on the Rockets` agenda. Both Smith and Eason are eligible for extensions until October 20.
Team needs: Perimeter shooting
Free agents who fit: Sam Merrill, Luke Kennard, Jake LaRavia, Branden Carlson, Oscar Tshiebwe, Gary Trent Jr., Alec Burks, Bruce Brown, Tim Hardaway Jr.
Moves I would make: Focus on extending the contracts of Kevin Durant, Jabari Smith Jr., and Tari Eason.
Under contract: Alperen Sengun, VanVleet, Durant, Smith, Reed Sheppard, Amen Thompson, Eason, Cam Whitmore, Adams, Jock Landale, Holiday, Green, Tate and Nate Williams
Key free agents: None
New Orleans Pelicans
Below the tax: $6.1 million
Below the first apron: $7.3 million
Below the second apron: $19 million (Note: New Orleans is hard-capped at the second apron after aggregating the contracts of CJ McCollum and Kelly Olynyk.)
The Pelicans have been assertive this summer, acquiring Jordan Poole and Saddiq Bey in a trade with Washington and selecting Jeremiah Fears and Derik Queen in the first round. However, moving up 10 spots to draft Queen came at the cost of a valuable 2026 first-round pick.
A persistent question for the Pelicans is the future of Zion Williamson and the team`s ability to construct a competitive roster around him. Williamson has participated in only 46% of regular-season games since being the No. 1 pick in 2019 and has never appeared in the playoffs. His $39.4 million salary is scheduled to become fully guaranteed on July 15, with $7.9 million currently protected.
Team needs: Facilitator, rebounding, and perimeter defenders
Free agents who fit: Chris Paul, Gary Payton II, Braxton Key, Larry Nance Jr., Al Horford, Kevon Looney, Dru Smith, Reece Beekman, Malcolm Brogdon, Trey Lyles, Ty Jerome, Tre Jones, Dennis Schroder, Brook Lopez, Jake LaRavia, Luke Kennard, Taurean Prince, Luke Kornet
One move I would make: Guarantee Zion Williamson`s $39.5 million contract for the upcoming season.
Under contract: Williamson, Dejounte Murray, Poole, Trey Murphy III, Herbert Jones, Bey, Jordan Hawkins, Jose Alvarado, Yves Missi, Karlo Matkovic, Antonio Reeves, Elfrid Payton (T), Brandon Boston (T), Fears and Queen
Key free agent: Bruce Brown
Other free agents: Boston and Payton
Oklahoma City Thunder
Below the tax: $4.5 million
Below the first apron: $12.1 million
The primary focus for the NBA champions this offseason is securing contract extensions for Shai Gilgeous-Alexander, Jalen Williams, and Chet Holmgren. These three players could potentially sign new deals totaling close to $800 million combined. The Thunder also need to manage their roster size, currently having 16 players under contract, which is one more than the maximum allowed at the start of the season.
Team needs: Reserve bigs and lead guard depth
Free agents who fit: Clint Capela, Larry Nance Jr., Al Horford, Kevon Looney, Precious Achiuwa, Mason Plumlee, Trey Lyles, Oscar Tshiebwe, Day’Ron Sharpe, Isaiah Jackson, De’Anthony Melton, Tyus Jones, Malcolm Brogdon
Moves I would make: In addition to extending Gilgeous-Alexander, Holmgren, and Williams, I would trade Ousmane Dieng to the Hawks for two future second-round picks. This move would open up a valuable roster spot.
Under contract: Gilgeous-Alexander, Isaiah Hartenstein, Alex Caruso, Luguentz Dort, Holmgren, Isaiah Joe, Aaron Wiggins, Kenrich Williams, Dieng, Jalen Williams, Cason Wallace, Nikola Topic, Dillon Jones, Ajay Mitchell (T), Jaylin Williams (T) and Thomas Sorber
Key free agents: Mitchell and Jaylin Williams
Portland Trail Blazers
Below the tax: $7.9 million
Below the first apron: $14.3 million (Note: The Trail Blazers are hard-capped at the first apron due to their intention to use more than 100% of the expanded traded player exception.)
Entering the offseason, Portland was considered a wildcard due to the expiring contracts of Anfernee Simons, Matisse Thybulle, Robert Williams III, and Deandre Ayton. Simons was eventually traded to the Celtics for guard Jrue Holiday, positioning Portland to potentially contend for at least a play-in spot.
Internally, two key situations to monitor are potential extensions for Shaedon Sharpe and Toumani Camara. Camara was recognized last season by being named to the All-Defensive Second Team.
Team needs: 3-and-D forwards and wings
Free agents who fit: De’Anthony Melton, Javonte Green, Gary Payton II, Amir Coffey, Gary Trent Jr., Bruce Brown, Lamar Stevens, Delon Wright, Riley Minix, Jabari Walker, Ziaire Williams, Taurean Prince, Trey Lyles
One move I would make: Sign Toumani Camara to a four-year, $87 million extension.
Under contract: Ayton, Holiday, Jerami Grant, Deni Avdija, Williams III, Thybulle (P), Scoot Henderson, Donovan Clingan, Sharpe, Kris Murray, Duop Reath, Camara, Rayan Rupert (T) and Yang Hansen
Key free agent: Walker (R)
Other free agents: Rupert and Dalano Banton
Sacramento Kings
Below the tax: $18 million
Below the first apron: $23 million
Sacramento is in a rare position for a team at their stage: they need a starting point guard. While they lack cap space to sign a marquee free agent at that position, they have contracts they can trade, including those belonging to DeMar DeRozan and Malik Monk.
The Kings have two players on max contracts – Zach LaVine and Domantas Sabonis – but still retain flexibility to absorb salary via trade or use their $14.1 million non-tax midlevel exception in free agency. They also hold five trade exceptions ranging from $1.9 million to $16.9 million.
Team needs: Facilitator, shooting, and defense-minded players
Free agents who fit: De’Anthony Melton, Tyus Jones, Chris Paul, Tre Jones, Sam Merrill, Dennis Schroder, Gary Payton II, Braxton Key, Amir Coffey, Ben Simmons, Bruce Brown, Nickeil Alexander-Walker, Taurean Prince, Jake LaRavia, Jae’Sean Tate, Lamar Stevens, Delon Wright, Keaton Wallace, Reece Beekman
One move I would make: Use a portion of the non-tax midlevel exception to sign Gary Payton II to a two-year, $15 million contract.
Under contract: LaVine, Sabonis, DeRozan, Monk, Keegan Murray, Jonas Valanciunas, Devin Carter, Terence Davis (T), Keon Ellis (T), Isaac Jones (T) and Nique Clifford
Key free agent: Ellis
Other free agents: Jones, Davis, Trey Lyles, Doug McDermott, Jake LaRavia, Jae Crowder and Markelle Fultz
San Antonio Spurs
Below the tax: $27 million
Below the first apron: $32 million
The Spurs meet the four key criteria necessary to acquire an All-Star caliber player: draft equity, controllable and sizable contracts, and a roster potentially ready for playoff contention. Excluding Victor Wembanyama and De’Aaron Fox, San Antonio has seven players earning between $4.7 million and $27 million.
Financially, Wembanyama`s third year on his rookie contract positions San Antonio favorably to absorb salary without facing immediate financial restrictions. In addition to roster upgrades, a major offseason focus is a contract extension for De’Aaron Fox. The guard is eligible to sign a four-year extension worth up to $229 million starting August 3.
Team needs: Backcourt depth, shooting, and reserve big
Free agents who fit: De’Anthony Melton, Dennis Schroder, Gary Payton II, Tyus Jones, Malik Beasley, Ty Jerome, Tyus Jones, Malcolm Brogdon, Caris LeVert, Chris Paul, Larry Nance Jr., Al Horford, Amir Coffey, Luke Kennard, Gary Trent Jr., Jake LaRavia, Clint Capela, D’Angelo Russell, Quentin Grimes, Santi Aldama, Isaiah Jackson, Kevon Looney
One move I would make: Trade Keldon Johnson, Blake Wesley, a 2029 first-round pick (top-four protected), the 2032 right to swap first-round picks (top-two protected), and two future second-round picks to Brooklyn for Cameron Johnson.
Under contract: Fox, Devin Vassell, Johnson, Harrison Barnes, Wembanyama, Stephon Castle, Jeremy Sochan, Malaki Branham, Wesley, Julian Champagnie, Dylan Harper and Carter Bryant
Key free agent: Chris Paul
Other free agents: Charles Bassey, Jordan McLaughlin, Bismack Biyombo and Sandro Mamukelashvili
Utah Jazz
Below the tax: $22 million
Below the first apron: $30 million
The Jazz recently appointed former Celtics executive Austin Ainge to oversee basketball operations. During his introductory news conference, Ainge reiterated that the Jazz do not plan a deliberate “bottoming out” strategy aimed solely at securing a top pick in the upcoming draft.
Their path forward depends significantly on the development of their existing draft picks or using their larger expiring contracts (John Collins, Jordan Clarkson, and Collin Sexton) and draft assets to acquire players who can contribute to winning immediately. The Jazz also face the challenge of managing their roster size. Utah added Ace Bailey and Walter Clayton Jr., joining 15 players from last season. However, four of those players – KJ Martin, Svi Mykhailiuk, Jaden Springer, and Johnny Juzang – have non-guaranteed salaries.
Team needs: Defense-minded talent across the board, veteran mentors
Free agents who fit: Jonathan Kuminga, De’Anthony Melton, Chris Paul, Malcolm Brogdon, Larry Nance Jr., Luke Kornet, Russell Westbrook, Dennis Schroder, Gary Payton II, Paul Reed, Kevon Looney, Braxton Key, Mason Plumlee, Jae’Sean Tate, James Johnson, Delon Wright, Kyle Lowry, Keaton Wallace, Reece Beekman, Kessler Edwards, Isaiah Jackson, Branden Carlson
One move I would make: Sign Walker Kessler to a five-year, $115 million extension.
Under contract: Lauri Markkanen, Collins (P), Sexton, Clarkson, Taylor Hendricks, Cody Williams, Kessler, Keyonte George, Kyle Filipowski, Brice Sensabaugh, Isaiah Collier, Martin, Juzang, Springer, Mykhailiuk, Bailey and Clayton
Key free agent: None
Washington Wizards
Below the tax: $13 million
Below the first apron: $18 million (Note: The Wizards are hard-capped at the first apron due to their intention to use more than 100% of the expanded traded player exception to acquire CJ McCollum and Kelly Olynyk.)
Will the Wizards continue their recent strategy of absorbing contracts that extend beyond the current season if draft picks are included as compensation? Washington currently holds nearly $100 million in expiring contracts, featuring players like Khris Middleton, CJ McCollum, Kelly Olynyk, Marcus Smart, and Richaun Holmes.
Team needs: Internal development, fundamentally sound guards, and a big who can defend.
Free agents who fit: Ty Jerome, Tyus Jones, Chris Paul, Clint Capela, Larry Nance Jr., Al Horford, Kevon Looney, Paul Reed, Dennis Schroder, Tre Jones, Gary Payton II, Braxton Key, Mason Plumlee, Davion Mitchell, Oscar Tshiebwe, Day’Ron Sharpe, Reece Beekman, Keaton Wallace, Isaiah Jackson, Branden Carlson
One move I would make: Sign veteran center Kevon Looney to a two-year, $10 million contract.
Under contract: Middleton, McCollum, Smart, Corey Kispert, Alex Sarr, Bilal Coulibaly, Olynyk, Bub Carrington, AJ Johnson, Kyshawn George, Holmes, Anthony Gill, Justin Champagnie, Colby Jones, Tre Johnson and Will Riley
Key free agent: Malcolm Brogdon
Tier 4: Watching Their Own Free Agents
For the following teams, their salary cap flexibility heavily depends on the decisions made by their own free agents. For example, the Warriors could gain access to the $14.1 million tax midlevel exception, but only if restricted free agent Jonathan Kuminga is not re-signed. Similarly, the Pacers` luxury tax status hinges on whether starting center Myles Turner signs a new contract.
Note: The $195.5 million first apron is triggered if a team uses more than $5.7 million of its midlevel exception, the $5.1 million biannual exception, or acquires a player in a sign-and-trade deal. It`s also triggered by using more than 100% of the traded player exception. Teams can re-sign their own free agents using Bird, early Bird, or non-Bird exceptions without triggering the hard cap. The league includes unlikely bonuses when calculating salaries against the first and second aprons.
Golden State Warriors
Below the tax: $17 million
Below the first apron: $25 million
Below the second apron: $39 million
The Warriors have a significant portion of their salary concentrated in their top players: Stephen Curry, Jimmy Butler III, and Draymond Green account for 82% of their payroll next season. These salary constraints make Jonathan Kuminga`s situation critically important for Golden State`s offseason flexibility.
Golden State is expected to extend a $7.9 million qualifying offer to Kuminga, making him a restricted free agent. What follows could be a waiting game. With Brooklyn being the only team capable of offering Kuminga a starting salary of $20 million or more (which Golden State would have the right to match), the most likely scenario might involve both sides exploring a sign-and-trade. The outcome of Kuminga`s situation will directly influence Golden State`s ability to find a starting center.
One move I would make: Trade Moses Moody to the Knicks for Mitchell Robinson.
Team needs: Rim protector, frontcourt depth, athleticism, and shooting
Free agents who fit: Kuminga, Malik Beasley, Ty Jerome, Malcolm Brogdon, Tyus Jones, Brook Lopez, Kevon Looney, Luke Kornet, Luke Travers, Sam Merrill, Gary Payton II, Gary Trent Jr., Luke Kennard, Taurean Prince, Nickeil Alexander-Walker, Bruce Brown, Trendon Watford, Alec Burks, Keaton Wallace, Quentin Grimes, Davion Mitchell, Jalen Bridges
Under contract: Curry, Butler, Green, Buddy Hield, Moody, Brandin Podziemski, Trayce Jackson-Davis, Gui Santos (T) and Quinten Post (T)
Key free agent: Kuminga
Other free agents: Payton, Looney, Braxton Key, Kevin Knox II and Pat Spencer
Indiana Pacers
Below the tax: $20 million
Below the first apron: $27 million
Below the second apron: $39 million
The good news for the Eastern Conference champions is that they have 11 players already under contract for next season. The challenging news is that All-Star Tyrese Haliburton is currently out indefinitely due to a torn Achilles. The main focus this offseason is a new contract for center Myles Turner, but the cost of this deal could have implications. The Pacers haven`t paid the luxury tax since 2006, and extending Turner could impact the futures of breakout playoff performers Bennedict Mathurin and Aaron Nesmith. Both players are eligible for extensions this offseason, and Mathurin will be a restricted free agent next summer if an extension isn`t agreed upon.
Team needs: Frontcourt and wing depth
Free agents who fit: Turner, Kevon Looney, Ben Simmons, Mason Plumlee, Sandro Mamukelashvili, Jeremiah Robinson-Earl, Branden Carlson, Isaiah Jackson, Micah Potter, Jabari Walker, PJ Hall, Al Horford, Larry Nance Jr.
One move I would make: Sign Myles Turner to a three-year, $75 million contract.
Under contract: Haliburton, Pascal Siakam, Andrew Nembhard, Obi Toppin, Nesmith, T.J. McConnell, Mathurin, Jarace Walker, Ben Sheppard, Johnny Furphy, Tony Bradley (T)
Key free agent: Turner
Other free agents: Bradley, Thomas Bryant, James Johnson and Jackson (R)
LA Clippers
Below the tax: $12 million
Below the first apron: $20 million
Below the second apron: $32 million
James Harden`s next contract will significantly influence the Clippers` financial flexibility, not just this summer but in future years. If Harden exercises his $36.3 million player option for next season or signs a new contract with a similar first-year salary, the Clippers will have access to their non-tax midlevel exception and retain flexibility for aggressive trade discussions. (Note: The Clippers do not have access to the $5.1 million biannual exception as they used it to sign Nicolas Batum last July.)
Team needs: Reserve lead guard and big
Free agents who fit: Tyus Jones, Chris Paul, Malcolm Brogdon, Larry Nance Jr., Al Horford, Dennis Schroder, Kevon Looney, Gary Payton II, Clint Capela, Dru Smith, Collin Gillespie
Moves I would make: Split the $14.1 million non-tax midlevel exception to sign both Chris Paul and Clint Capela.
Under contract: Kawhi Leonard, James Harden (P), Norman Powell, Ivica Zubac, Bogdan Bogdanovic, Derrick Jones Jr., Kris Dunn, Nicolas Batum (P), Kobe Brown, Cam Christie, Drew Eubanks, Jordan Miller and Yanic Konan Niederhauser
Key free agents: Harden and Batum
Other free agents: Amir Coffey, Patty Mills and Ben Simmons
Los Angeles Lakers
Above the tax: $4 million
Below the first apron: $4 million
Below the second apron: $16 million (Note: The Lakers are hard-capped at the second apron after sending cash to Chicago during the draft.)
Beyond the acquisition of Luka Doncic, the Lakers were proactive at the trade deadline, specifically aiming to strengthen their center position. Expect a similar strategic approach this offseason. Although the Lakers lack cap space to sign a high-profile free agent big man like Myles Turner, they possess assets for trades. These include a 2031 or 2032 first-round pick, five years of draft pick swaps, former first-round pick Dalton Knecht, and over $70 million in expiring contracts from players like Austin Reaves, Dorian Finney-Smith, Rui Hachimura, Maxi Kleber, and Gabe Vincent.
The Lakers continue to balance two distinct objectives: maintaining a competitive “win-now” team while LeBron James is on the roster and simultaneously building a sustainable future around Luka Doncic. Doncic is eligible to sign an extension worth up to $229 million over four years starting August 2. The Lakers could have access to most of their $14.1 million non-tax midlevel exception, but only if Dorian Finney-Smith declines his player option and doesn`t re-sign with the team. If Finney-Smith does not return, the Lakers would be $20 million below the first apron.
Team needs: Rim protector, frontcourt and wing depth
Free agents who fit: Clint Capela, Al Horford, Larry Nance Jr., Kevon Looney, Brook Lopez, Mason Plumlee, Day’Ron Sharpe, Isaiah Jackson, Branden Carlson, Micah Potter, Dorian Finney-Smith, Javonte Green, Jabari Walker,
Moves I would make: Build depth at center, starting with trading Gabe Vincent, Jordan Goodwin, and a second-round pick to Portland for Robert Williams III. Additionally, sign Brook Lopez to a one-year, $5.7 million contract.
Under contract: James (P), Doncic, Finney-Smith (P), Hachimura, Reaves, Kleber, Vincent, Jarred Vanderbilt, Knecht, Bronny James, Shake Milton and Goodwin (T)
Key free agent: Jaxson Hayes
Other free agents: Goodwin, Markieff Morris and Alex Len
Miami Heat
Below the tax: $5.8 million
Below the first apron: $11 million
Below the second apron: $23 million
Patience will be a determining factor in how aggressively Miami chooses to build its roster around Bam Adebayo, Tyler Herro, and Kel`el Ware. They can aim to make significant moves now or potentially wait until the 2026 offseason.
The Heat will have financial flexibility in the 2026 offseason and can be active in trade discussions this summer using the expiring contracts of Terry Rozier and Duncan Robinson. Miami is also well below the second apron, allowing them to aggregate contracts in trades. However, if the goal is to sign restricted free agent Davion Mitchell, the priority shifts towards acquiring less salary in any trades.
Team needs: Backcourt depth and a reserve big
Free agents who fit: Mitchell, Tyus Jones, Malcolm Brogdon, De’Anthony Melton, Chris Paul, Dennis Schroder, Gary Payton II, Bruce Brown, Gary Trent Jr., Kevon Looney, Luke Kornet, Al Horford, Precious Achiuwa, Mason Plumlee, Chris Boucher
Moves I would make: Sign Davion Mitchell to a three-year, $25 million contract. Encourage Duncan Robinson to decline his early termination option and then facilitate a sign-and-trade with the Hawks. This trade would save the Heat nearly $20 million in salary and yield a future second-round pick. With the savings, Miami would then gain access to the non-tax midlevel exception.
Under contract: Adebayo, Herro, Andrew Wiggins, Kyle Anderson, Haywood Highsmith, Nikola Jovic, Ware, Kevin Love, Rozier, Jaime Jaquez Jr., Robinson (ETO), Keshad Johnson, Pelle Larsson, and Kasparas Jakucionis
Key free agent: Mitchell (R)
Other free agents: Alec Burks
Milwaukee Bucks
Below the tax: $23 million
Below the first apron: $29 million
Below the second apron: $41 million
As with any offseason, there`s a clear objective to continue building a championship-caliber roster around Giannis Antetokounmpo. General Manager Jon Horst`s task of finding players to complement Antetokounmpo, especially considering Damian Lillard`s Achilles injury, involves a combination of free agency and trade strategies.
The trade that sent Khris Middleton for Kyle Kuzma allows the Bucks to utilize the $14.1 million non-tax midlevel exception to sign free agent Gary Trent Jr. or potentially a temporary replacement for Lillard. The futures of Brook Lopez and Bobby Portis also require attention. Lopez was one of only five players last season with at least 100 made 3-pointers and 100 blocks and has started every game he`s played since joining Milwaukee in 2018. Portis` $13.4 million player option is less than the average player salary. It appears challenging for the Bucks to retain both players, use their non-tax midlevel exception, and simultaneously add salary through a trade.
Team needs: Lead guards and bigs
Free agents who fit: Trent, Myles Turner, Lopez, Portis, Ty Jerome, Tyus Jones, Chris Paul, Malcolm Brogdon, Larry Nance Jr., Al Horford, Luke Kornet, Dennis Schroder, Gary Payton II, Bruce Brown, Nickeil Alexander-Walker, Trey Lyles, Chris Boucher, Trendon Watford, Lindy Waters III, Alec Burks, Jeremiah Robinson-Earl, Santi Aldama, Tre Mann, Reece Beekman, Micah Potter, Branden Carlson
Moves I would make: Acquire Duncan Robinson from Miami in a sign-and-trade, sending Pat Connaughton in return. Robinson`s first-year salary is $13 million. Then, sign Dennis Schroder to a two-year, $14 million contract. Sign Bobby Portis to a two-year, $32 million extension (as part of the agreement, Portis would opt-in to his current deal). Finally, sign Luke Kornet to a two-year, $14 million contract.
Under contract: Antetokounmpo, Lillard, Kuzma, Portis (P), Connaughton, (P), Kevin Porter Jr., Tyler Smith, AJ Green, Chris Livingston and Andre Jackson Jr.
Key free agents: Portis, Lopez and Trent
Other free agents: Connaughton, Porter, Taurean Prince, Ryan Rollins (R) and Jericho Sims
Minnesota Timberwolves
Above the tax: $15 million
Above the first apron: $10 million
Below the second apron: $2 million
The Timberwolves approach this offseason facing significant roster decisions, now under the leadership of a new ownership group led by Marc Lore and Alex Rodriguez. While Minnesota has 14 players from the coming season`s roster under contract, key starter Julius Randle and important reserve Nickeil Alexander-Walker could become free agents (Randle holds a player option). The cost of retaining both players could potentially push the Timberwolves` payroll over $250 million, once again placing them into the second apron.
Team needs: A reserve big and wing shooting
Free agents who fit: Randle, Alexander-Walker, Larry Nance Jr., Al Horford, Luke Kennard, Gary Trent Jr., Jake LaRavia, Trey Alexander, Riley Minix, Luke Kornet, Sam Merrill, Mason Plumlee, Trey Lyles, Taurean Prince, Amir Coffey
One move I would make: Have Julius Randle opt-in to his contract and subsequently sign him to a two-year, $60 million extension.
Under contract: Anthony Edwards, Rudy Gobert, Randle (P), Jaden McDaniels, Naz Reid, Donte DiVincenzo, Mike Conley, Rob Dillingham, Terrence Shannon Jr., Jaylen Clark, Luka Garza (T), Leonard Miller, Josh Minott (T) and Joan Beringer
Key free agents: Randle and Alexander-Walker
Other free agents: Garza, Minott and Joe Ingles
Orlando Magic
Above the tax: $5.5 million
Below the first apron: $1.5 million
Below the second apron: $13 million (Note: The Magic are hard-capped at the second apron after aggregating the contracts of Kentavious Caldwell-Pope and Cole Anthony in the Desmond Bane trade.)
Before trading for Desmond Bane, the Magic had been navigating roster construction by balancing free agent signings and draft picks. The only players acquired via trade up to that point were Wendell Carter Jr. and Gary Harris. The “all-in” move for Bane signals that Orlando perceives an opportunity in the Eastern Conference, aiming to contend for a top-four seed, not just a play-in spot. The Bane trade projects Orlando to pay the luxury tax for the first time since the 2010-11 season.
The offseason now centers on a potential rookie maximum extension for Paolo Banchero. The forward is eligible to sign a five-year extension worth up to $247 million. If signed, Orlando would have four players – Banchero, Bane, Franz Wagner, and Jalen Suggs – earning more than $35 million next season.
Team needs: A reserve lead guard and wing shooting
Free agents who fit: Tyus Jones, Malcolm Brogdon, Chris Paul, Sam Merrill, Dennis Schroder, Gary Trent Jr., Landry Shamet, Jake LaRavia, Garrison Mathews, Tim Hardaway Jr., Trey Alexander, Mason Jones, Cam Thomas, Keion Brooks
One move I would make: Sign Tyus Jones to a two-year, $12 million contract.
Under contract: Wagner, Suggs, Bane, Banchero, Jonathan Isaac, Carter, Goga Bitadze, Anthony Black, Jett Howard, Tristan da Silva, Moritz Wagner (T), Caleb Houstan (T), Jase Richardson
Key free agents: Wagner and Houstan
Other free agents: Harris and Cory Joseph
Philadelphia 76ers
Below the tax: $1.8 million
Below the first apron: $9.8 million
Below the second apron: $21.7 million
A year after signing Paul George and being widely considered the “unofficial” winners of the 2024 offseason, this summer is expected to be less dramatic for Philadelphia. The team`s priorities range from Joel Embiid`s health status to potentially re-signing Quentin Grimes and Guerschon Yabusele. Grimes is a restricted free agent, giving Philadelphia the ability to exceed the salary cap to re-sign him. However, if the 76ers utilize more than $5.7 million of their non-tax midlevel exception, they will trigger a hard cap.
