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NBA Salary Cap Increase and its effect on the rookie scale

Posted: Sat Apr 04, 2015 11:26 am
by jajoyce
Okay, so this is for the people that are smarter than I. Hopefully I can articulate this well. The numbers wont be 100% accurate but should be close.

1. NBA Cap to jump from ~$65M to $91M in summer 2016

We know that NBA players are signing shorter deals in order to have their contracts up when the new salary cap numbers are in place. Teams are also willing to sign players to longer and more expensive deals than they otherwise would knowing that they will have financial flexibility next summer.

We also know that the players who are drafted in the first round are guaranteed 4 year deals (Maybe 5th year team option?) at a set price based on the sliding rookie wage scale. ~$4M for 1st pick and ~$500K for last pick in 1st round.

2. NCAA Players

Based upon #1 along with the assumption that Europe money will be there regardless if you leave after Freshmen, Soph, Junior or graduate. I also think Europe salaries will not be increasing in line with the jump the NBA salaries will experience.

Also, lets be honest, agents know about this and are in the business of looking out for themselves and I am sure, through contacts, can let the NCAA players know about this looming increase.


So what I am getting at is the NBA Salary cap jump SHOULD influence players declaring this year in order to either:
a.) get a larger contract next year by either increasing their draft position or staying at it, or
b.) guarantee your self a first round pick or even a second round pick next year as the pay difference between the NBA and Europe will be larger and knowing that the Europe money will always be there.

While I am of the personal opinion that you take the money now because you don't know. But knowing that if I am Stanley Johnson or whoever (I think SJ should leave) I could be locked into a 4 year $12-$15M total contract if I am picked between say 5 and 8 and in 2016 the same picks could be a 4 year contract between $16-$20M. Is it worth it to wait, for any player?

Hopefully this make sense as it does in my head. But I could be wrong in everything and the rookie wage scale may not jump. I don't know if it is a collective bargaining thing or not. In which case I think that will be up in 2017 and then this same discussion would happen with next years crop of players.

Re: NBA Salary Cap Increase and its effect on the rookie sca

Posted: Sat Apr 04, 2015 11:31 am
by The Butcher
Wow.. this goes in line with the "Stanley is definitely coming back" reasoning that his Cali shoe hook-up was telling us in Vegas during the Pac 12 tourney. But this would mean he DOES care about the money. Maybe the dude meant the short term money.

I still ain't buying it, but jesus...

Re: NBA Salary Cap Increase and its effect on the rookie sca

Posted: Sat Apr 04, 2015 3:37 pm
by TucsonClip
The rookie scale must be collectively bargained before it can be changed.

I understand your point, but the counter to this argument is simple. The faster you can sign an extension (3rd year on a 1st round rookie deal) the more money you make. Therefore, the counter is to enter the NBA draft as soon as possible to get the clock ticking on your next contract. That is assuming there will be a next contract.

Minimum contracts and all salary cap exceptions are going to increase as well because the maximum contracts will increase.

Re: NBA Salary Cap Increase and its effect on the rookie sca

Posted: Sat Apr 04, 2015 5:38 pm
by Daryl Zero
TucsonClip wrote:The rookie scale must be collectively bargained before it can be changed.
I get that but don't exactly understand why rookies' salaries are collectively bargained by the rank and file which doesn't include incoming rookies and really have a conflict of interest in that the rookie salaries negatively impact theirs. Seems like nonrepresentation and essentially overbearing monopolistic policies and procedures.