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buckalis
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Are you familiar with the (extremely rare) "sign and trade"?
It's a method were a team resigns a player they had in their roster but his contract is traded to another team the same moment...
The method is rarely found, because the player that signs the new contract and gets traded, must approve his destination... (you can't trade a player to a team he doesn't want to be at...)
OTOH, the benefits can be huge for all sides:
- His value on the trade under NBA's 125% rule, is only half than his new contract, or his previous contract (whichever is higher)
- The player can get a 5-year contract which otherwise he could only if he would resign with his old team...
I expect the following players to do a "sign and trade" in cooperation with their old teams this season...
Kyrie Irving: I expect to be moved to his desired destination having full cooperation with the Celtics... This way Kyrie will get a 5-year max contract, but the Celtics will take back smth in return that won't be extremely costly, although it may cost them a pick...
Khris Middleton: I believe the Bucks may built a desirable "package" in agreement with Khris and may look to buy role players or/and picks in return, or save cap space from a team that wants to move a max contract of an All star and go below the lax tax line (OKC?)
J.R.Smith: He has only 3M guaranteed on his contract and nobody wants him... But with 15.7M value on a trade he saves lots of cap space making "one of the best salary fillers" in the entire league... He will surely agree to take 4 (instead of 3 that he has guaranteed) and then be waived...
George Hill: Perhaps the "best contract in the entire league" to be used on a deal... Only 1M guaranteed on his contract but 19M of "trade value"... Hill (32yo) is expected to resign for 5-6M due to his age although a great player.
Here is an example: OKC is expected to trade one out of Westbrook or Paul George this season in an attempt to go below the lux tax, because they will save more than 60M if they can achieve to go below the lux tax! (that is 60.000.000 in case you thought that it was a typo) They pay that much, because other than the lux tax, they have to pay on top a severe penalty for being above the lux tax for too long!
Now, if they get one of their "big" contracts traded, the most they van save is up to only 8M which is no where what they need as to go below the lux tax...
But... If they trade Paul George for George Hill and Tony Snell in a "sign and trade" for Hill, then the contracts they take back save them some 16M (!!!) which is what they need to go below the Tax line and save the 60M they would otherwise have to pay... Now why do I see Paul George ending a Buck next season?
It's a method were a team resigns a player they had in their roster but his contract is traded to another team the same moment...
The method is rarely found, because the player that signs the new contract and gets traded, must approve his destination... (you can't trade a player to a team he doesn't want to be at...)
OTOH, the benefits can be huge for all sides:
- His value on the trade under NBA's 125% rule, is only half than his new contract, or his previous contract (whichever is higher)
- The player can get a 5-year contract which otherwise he could only if he would resign with his old team...
I expect the following players to do a "sign and trade" in cooperation with their old teams this season...
Kyrie Irving: I expect to be moved to his desired destination having full cooperation with the Celtics... This way Kyrie will get a 5-year max contract, but the Celtics will take back smth in return that won't be extremely costly, although it may cost them a pick...
Khris Middleton: I believe the Bucks may built a desirable "package" in agreement with Khris and may look to buy role players or/and picks in return, or save cap space from a team that wants to move a max contract of an All star and go below the lax tax line (OKC?)
J.R.Smith: He has only 3M guaranteed on his contract and nobody wants him... But with 15.7M value on a trade he saves lots of cap space making "one of the best salary fillers" in the entire league... He will surely agree to take 4 (instead of 3 that he has guaranteed) and then be waived...
George Hill: Perhaps the "best contract in the entire league" to be used on a deal... Only 1M guaranteed on his contract but 19M of "trade value"... Hill (32yo) is expected to resign for 5-6M due to his age although a great player.
Here is an example: OKC is expected to trade one out of Westbrook or Paul George this season in an attempt to go below the lux tax, because they will save more than 60M if they can achieve to go below the lux tax! (that is 60.000.000 in case you thought that it was a typo) They pay that much, because other than the lux tax, they have to pay on top a severe penalty for being above the lux tax for too long!
Now, if they get one of their "big" contracts traded, the most they van save is up to only 8M which is no where what they need as to go below the lux tax...
But... If they trade Paul George for George Hill and Tony Snell in a "sign and trade" for Hill, then the contracts they take back save them some 16M (!!!) which is what they need to go below the Tax line and save the 60M they would otherwise have to pay... Now why do I see Paul George ending a Buck next season?
