Am I the only one that has 0 clue on what cap space and other shit is?

[Sammyzuko]

The NBA cap is called a "soft" cap because a team may spend more but they will incur a penalty called a tax. For every dollar a team spends over the cap they pay something like 1.50$ in Luxury tax. So if you spend 10,000,000$ over the cap you pay 15,000,000 in tax. A 'Hard' cap is one where a team may not exceed the cap at all.

Where does the luxury tax money go?

[Breezy]

Where does the luxury tax money go?

The league takes a small part of it and the rest is distributed amongst the other teams.

Walrus Nipples

[BasedTom]

hawkfan too i think.

But he has his heart in the right place, and that's what matters.

[Thorpesaurous]

I actually think the accessibility to the cap is one of the most fun things about the NBA.

The baseball cap means nothing in reality. So there's really not much to know. You're gonna pay a tax if you go over, but otherwise there's not much to it.

The football cap is loaded with all types of signing and roster bonus complexities that just make understanding it really a case by case situation depending on the player. And because the seasons are short, and the schemes are so complicated and team specific, trading of impactfull players is pretty much impossible.

The NBA cap has the matching player salaries in the trades. It has the bird rules that allow you to go over the cap to re-sign your own players. It's got player max caps. It got midlevel exceptions. It's got veteran minimum exceptions.
It's enough to be interesting unlike baseball, but not so much that it can't be digested, like football. In my opinion, it's always made the basketball team building stuff, and therefore their offseason, more interesting.

I used to be far more well versed in it than I am these days, but the basics are:

You can't sign a FA to a contract that gives him more money than you have available on your cap space, unless he's already on your team, like Lebron with the Heat, in which case you can pay him up to the player max, even if that pushes you over the cap (that's what's meant by a players "Bird Rights"), but then you have to pay a tax on it.

[Brizzly]

Where does the luxury tax money go?

someone gotta pay adam silver his 25 mill a year

[Fork]

yes

[RR#9]

Yes

[Cocaine80s]

Each team has a certain amount they are allowed to spend on their roster per year. The 'Cap" is the most they can spend. The Cap is $58.679 million per team.

The NBA cap is called a "soft" cap because a team may spend more but they will incur a penalty called a tax. For every dollar a team spends over the cap they pay something like 1.50$ in Luxury tax. So if you spend 10,000,000$ over the cap you pay 15,000,000 in tax. A 'Hard' cap is one where a team may not exceed the cap at all.

So Cap 'Space' is the amount you are under the cap. If you are only committed to spend 48 Million next year you have 10 Million in cap space until you hit the 58 million dollar cap.


Homosexuals are Gay.

does that mean teams that have more money like the knicks or lakers have an advantage?

[ralph_i_el]

does that mean teams that have more money like the knicks or lakers have an advantage?

Yup. Some teams will never pay the tax to get better. Others will pay it almost every year

[PistonsFan#21]

Yes

this cracked me up for some reason