NBA Increases Salary Cap to an All-Time High $70 Million

by July 09, 2015

With the hoops world transfixed on the DeAndre Jordan free agency fiasco Wednesday night, the NBA snuck in an announcement that the salary cap for the 2015-16 season would be set an all-time high of $70 million.

The Luxury tax level is going to $84.740 million, a 10.3 percent jump.

Maximum salaries will rise, as they’re based on a percentage of the cap, depending on a player’s years of service.

Below is the nitty-gritty, via the League’s press release and AP:

The Salary Cap and tax level go into effect at 12:01 a.m. ET on Thursday, July 9, when the league’s “moratorium period” ends and teams can begin signing free agents and making trades. […] The minimum team salary, which is set at 90% of the Salary Cap, is $63 million for the 2015-16 season.

 

The current Collective Bargaining Agreement provides for three different mid-level exceptions depending on a team’s salary level. The non-taxpayer mid-level for this season is $5.464 million, the taxpayer mid-level is $3.376 million and the mid-level for a team with room under the Salary Cap is $2.814 million.

 

The league said the cap increased by 11 percent from last season’s $63.1 million and the 2015-16 cap will be the highest ever — though it will be shattered next summer. It had been projected to come in closer to $67 million until recently.[…] The salary cap is derived in part on league revenues. It is expected to vault to about $90 million for the 2016-17 season, when the league’s new national TV contracts begin.