VC's expiring contract in Gortat for a Superstar in summer of 2010?

[zava 0]

salaries

[MagicFanBen 0]

quote:

Originally posted by Do Work Stan .... BOOYAAKASHAA:

Could the signing of Gortat be a strategic move to bring in a superstar free agent to pair up with Dwight??? I think Otis may be thinking that Marcin is an asset that is only gaining in value so he might be a steal in a year or two for that price. Big centers are hard to come by and I think Marcin can be a starter on 90% of the teams in the leage. Him paired up with VC's expiring contract might be enough to do a sign and trade for a big time player??????

That is not how any of those player will get S&T'd next summer. Their GM would be roasted for a move like that. They will want back young pieces like Bass, Tat, Anderson, Pietrus, JJ etc.

[MagicFanBen 0]

Here are our Current Salaries this year, but remember Gortat's deal is a BYC so he would only count about $2.5 mil in a trade.

 

Rashard Lewis $18,876,000.00

Vince Carter $16,300,000.00

Dwight Howard $15,133,800.00

Jameer Nelson $6,138,888.00

Marcin Gortat $5,854,000.00

Mickael Pietrus $5,300,000.00

Brandon Bass $4,000,000.00

JJ Redick $2,839,408.00

Anthony Johnson $2,160,000.00

MLE Remainder $1,854,000.00

Ryan Anderson $1,317,120.00

Vet Min Only Counts a Portion on Cap

Vet Min Only Counts a Portion on Cap

 

$79,773,216.00

 

Just like Otis said at the start of the off season, the Magic will have a total salaries NORTH of $80 million. When you round out the roster with the remaining MLE and Vet Min deal we will be just north of that $80 million mark.

[T REX 0]

Well its stupid that the luxury tax level and the cap levels are NOT the same. I don't get that at all. Am I wrong? The lux/tax number is around $69 million. Which is about $12 million higher than the cap. That doesn't make much sense to me. If no actual taxes aren't until a much higher number then technically the cap is the taxable number. Otherwise, who cares? Is there someone who knows this stuff?

[VieraFan 0]

T-Rex, I am far from an expert, but it works something like this:

A team tries to stay under the Cap Level, but if they are unable to do so, they then try to stay under the Luxury Tax level. There is a "penalty" for going over the Salary Cap, but I will explain that ion a minute. There is no dollar for dollar penalty for going over the Salary Cap, until you get over the Lux Tax level.

Now, the dollar for dollar penalty that all teams over the Lux Tax pay goes into a "League Fund". This fund is distributed to all of the teams that remain UNDER the Salary Cap level. So you see, by going over the Salary Cap level, a team forfeits the Luxury Tax distribution that they would have gotten. If you figure out the math, a very small additional salary, say 1 million over the Cap, can cost a team MANY millions of dollars in the "loss" of Lux Tax distribution.

There is one other interesting tidbit, I believe that this salary structure is intended to keep the small market teams from trying to compete, thus benefitting the leagues "bottom line". (Just my personal belief).

[Secretly Space Jesus 670]

quote:

Originally posted by VieraFan:

T-Rex, I am far from an expert, but it works something like this:

A team tries to stay under the Cap Level, but if they are unable to do so, they then try to stay under the Luxury Tax level. There is a "penalty" for going over the Salary Cap, but I will explain that ion a minute. There is no dollar for dollar penalty for going over the Salary Cap, until you get over the Lux Tax level.

Now, the dollar for dollar penalty that all teams over the Lux Tax pay goes into a "League Fund". This fund is distributed to all of the teams that remain UNDER the Salary Cap level. So you see, by going over the Salary Cap level, a team forfeits the Luxury Tax distribution that they would have gotten. If you figure out the math, a very small additional salary, say 1 million over the Cap, can cost a team MANY millions of dollars in the "loss" of Lux Tax distribution.

There is one other interesting tidbit, I believe that this salary structure is intended to keep the small market teams from trying to compete, thus benefitting the leagues "bottom line". (Just my personal belief).

 

There are several things wrong here.

 

First, there is very little impetus for a team to remain constantly below the Salary Cap except money. There is no benefit to it for teams, nor is there any reason to beyond costs.

 

Second, the luxury tax money pool is distributed amongst all teams that don't pay into it, not just teams under the CAP. If a team is over the CAP and 1 dollar below the tax threshhold, they get the same amount of payout as a team with a salary of 40m.

 

Third, your point about the league actively trying to force small market teams to not compete is utter nonsense. San Antonio won 4 titles in 10 years. The luxury tax exists specifically to serve as a penalty to prevent big market teams from simply outspending small markets like they do in major league baseball.

[Caliman 0]

We are paying Rashard WAY TOO MUCH!