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Now that we're going to be in the Tax in 2022 - (a primer for our tax discussions going forward)


thecampster

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1 hour ago, thecampster said:

Other cap people on the site feel free to correct this as needed, I'm writing it off the cuff.

 

The NBA is currently projecting a cap number for next year of 119 million with a projected luxury tax line of $145 million. The numbers for 23/24 are #124,950,000 and $152,250,000.

Current Hawks salaries committed for 2022/23, 2023/24 and 2024/25.

Player 2022-23 2023-24 2024-25
Trae Young $29,750,000 $32,130,000 $34,510,000
John Collins $23,500,000 $25,340,000 $26,580,000
Danilo Gallinari $21,450,000    
Clint Capela $19,706,897 $22,116,000 $23,765,280
Bogdanovic $18,000,000 $18,000,000  
Kevin Huerter $14,508,929 $15,669,643 $16,830,357
De'Andre Hunter $9,835,881    
Onyeka Okongwu $6,395,160 $8,109,063  
Cam Reddish $5,954,454    
Jalen Johnson $2,792,520 $2,925,480 $4,511,090
Total $151,893,841 $124,290,186 $106,196,727
Cap Projected $119,900,000 $124,950,000 $131,198,000
LT Projected $145,000,000 $152,250,000 $159,863,000

 

Now we can make some assumptions. By Hunter, Reddish, OO, JJ, I've accepted all options. The Hawks will extend both Hunter and Reddish after this season.

I have no clue how to quantify their salaries but both will get somewhere between Huerter and Collins money barring injuries or problems. The safest bet here is to take the average between Collins and Huerter and give it to both players (for the purposes of estimating future salaries only, I am not saying this is what they'll get).  That's a salary of $20,504,821.50 and $21,705,178.50 for each player for the 23-24 and 24-25 seasons respectively. This bumps the total salary for 23-24 to $165,299,828 on 9 players and 24-25 of $149,607,084 on 8 players (OO extension incoming).

Some assumptions on my part, Gallo will be moved at the deadline or after the season for a draft pick and Jalen Johnson will take over his role full time to part with Gallo's $21.45 million for next year and keep us from being a dual repeater in 23/24.  Bogdanovic or Huerter will be moved by after the 22-23 season (probably BB) for a pick as well to limit/eliminate the LT payment in 23-24.  This is Lou Will's last season.  This is Solo's last season with us barring his continuing to take the vet min every year. Dieng is likely a 1 and done signing.

 

Let the discussing begin.

I have to say that Travis is working the cap perfectly . We have Trae and Kev signed through 25-26  (Trae has an opt out that he will surely take) which is the season after the big spike.   John is signed through 25-26, but has an opt out option and if he will probably opt out to get paid. 

We should look to lock up Dre and Cam on five year contracts that may seem like overpays at first, but will give us an additional 2 years after the big salary cap bump in 24-25.

I only see the Hawks in the Luxury tax for a couple of seasons 22-24 and then will be out of it for about two or three years  due to the salary tax increase.  

So in my opinion we can keep all the young guys above for the next five years.   I'd also add a slight overpay for Sharife on a four year deal if he shows improvement on his two way deal.

The only players I see being jettisoned off are Bogi and Gallo. Bogi may stick around too if he's willing to take a back up role. 

Edited by marco102
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I really like Bogi and Gallo, but they’re outta here sooner than later. Which will free up a $hit-ton of useful funds for additional extensions, possibly even a single additional superstar signing as wRassler swears he’ll pay luxury tax if we’re in the hunt 💸

Edited by hazer
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1 minute ago, marco102 said:

The star is already on the team @Spud2nique :P.  We just don't know it yet.

Agree with this. Ice Très is our homegrown Superstar, J-Bap our homegrown Star. Potential additional homegrown Stars: Dre and Cam.

BUT, I agree with S2N that we should probably bundle some assets for a 2nd Superstar since we’ll be in a position to do so, if the perfect one becomes “gettable”. Très, 2nd Superstar, Cam, Dre, JC, oh my dayuuuum ✨

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2 minutes ago, hazer said:

Agree with this. Ice Très is our homegrown Superstar, J-Bap our homegrown Star. Potential additional homegrown Stars: Dre and Cam.

BUT, I agree with S2N that we should probably bundle some assets for a 2nd Superstar since we’ll be in a position to do so, if the perfect one becomes “gettable”. Très, 2nd Superstar, Cam, Dre, JC, oh my dayuuuum ✨

Yeah, I'm not saying don't trade anyone for the right superstar, but there are only about two relatively young guys I can see really making this team better, KAT (Yeah I said it..lol) and Giannis.

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14 minutes ago, marco102 said:

Yeah, I'm not saying don't trade anyone for the right superstar, but there are only about two relatively young guys I can see really making this team better, KAT (Yeah I said it..lol) and Giannis.

Ya I’m not really loving anyone around the landscape of the NBA more than a Cam or Hunter. 
 

For me, next up is Gallo, then Bogi.. next year.

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18 minutes ago, marco102 said:

Yeah, I'm not saying don't trade anyone for the right superstar, but there are only about two relatively young guys I can see really making this team better, KAT (Yeah I said it..lol) and Giannis.

 

2 minutes ago, Spud2nique said:

Ya I’m not really loving anyone around the landscape of the NBA more than a Cam or Hunter. 
 

For me, next up is Gallo, then Bogi.. next year.

Those are 2 names that crossed my mind when typing that post. KAT, Grik Frik, Booker, Ayton, etc…

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I'd add the potential cap spike in 2024 with the anticipated new TV deal. If that happens the LT issue may not be much of a problem.

Our LT situation will also depend on wether we are not just winning but serious contenders for at least the ECF in the coming years.

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2 minutes ago, marco102 said:

Question, if Cam and Dre make an All defensive team, doesn't that qualify them for the designated rookie extension?

No, has to be All NBA, DPOY or MVP.

A team can only have 2 designated rookie max players.

Full Rules:

At least one of the following must apply:

(A) Player was named to All-NBA First, Second or Third team in most reason season or both of the two seasons prior to the most recent season.

(B) Player was named the Defensive Player of the Year (DPOY) in most reason reason or both of the two season prior to the most recent season.

(C) Player was named Most Valuable Player (MVP) in any of the three most recent seasons.

 

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I love this franchise.  I made this point over the summer when people mentioned dumping both Bogi and Gallo.  When we closed the season out winning 75% of our games they were logging heavy minutes.  Same in the playoffs.  
How do so many people see past that and advocate for no shooters?  I’m throwing a caution flag, but let’s revisit after 20 games or so.  

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  • 7 months later...
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Thought I'd repost Tony Ressler's thought on paying the Luxury Tax.

Quote

The luxury tax

Quite possibly the biggest question for the Hawks this offseason is whether they’ll pay the luxury tax penalty. Usually when a team is eliminated in the first round, particularly in a series that wasn’t very close, it causes the front office to reevaluate priorities and the roster as a whole. The most revealing quote of the entire 30-minute interview with Ressler came when I asked if he now has regrets about bringing back mostly the same roster from last season.

“I think if you asked our front office, they would say that they thought, based on last season’s visit to the Eastern Conference finals, that we could bring back predominantly the same team and get better, and (they) expected to be better,” Ressler said. “I don’t think that worked out the way we thought.

“Yes, I think we should have tried to get better rather than bring back what we had. That won’t happen again. It was a mistake, in my opinion at least.”

That quote alone tells us we should expect the Hawks to look much different next season. Atlanta will have salary cap constraints with its current roster, as Trae Young’s max (and possible supermax) extension kicks in this coming season. Ressler has previously said he would have no qualms about paying the tax if it meant the Hawks were title contenders. He was asked about that quote and what his stance is now on potentially entering the tax for the first time since purchasing the Hawks.

“We’re going to pay what we have to pay,” Ressler said. “Sometimes owners set a tone — and I’m trying to set a very clear tone — sometimes we say some things one season that may not pertain to the next. Going into the tax doesn’t scare us. Obviously, you want to spend money intelligently. Obviously, you want to run a good business. For whatever it’s worth, I do not look at going into the tax as only possible if we’re competing for a championship that season. Our job is to go into the tax when it’s good business, to position ourselves for greatness. We do not fear the tax. We do not fear spending money. We fully expect Atlanta to be a truly attractive marketplace for (whoever) considers playing here. Money is not going to be our obstacle.”

I then followed up with a very specific question: Has he given Schlenk clearance to enter the tax this season?

“Yes. It’s a one word answer,” Ressler said. “I don’t want to qualify hopefully the obvious. I also say let’s do it intelligently. I don’t think you want to go into the tax to prove the point that we can go into the tax. I don’t worry about those types of things. We can go into the tax for the right reasons at the right time, any time.”

My main takeaway is this: It’s still not 100 percent clear if the Hawks will or won’t be a tax-paying team this coming season. Ressler is essentially saying he won’t pay it just to pay it, and the moves Schlenk makes this offseason have to justify paying a penalty. If the Hawks build a roster on paper that looks as if it’s going to struggle once again to just make the Play-In Tournament, it makes zero sense to pay the tax. If the Hawks make splashy moves and add a second star, then there shouldn’t be any hesitation if the goal is to win a title.

How the Hawks handle Danilo Gallinari’s partially guaranteed $21.5 million contract could provide some insight on how they plan on navigating the luxury tax. If they simply waive him, the Hawks will pay him just $5 million. If that happens, to me, it would signal an avoidance of the tax; they would be under the tax by $13 million after the move. But if the Hawks package Gallinari in a trade and acquire fully guaranteed salary in return, it would signal that the franchise is serious about bolstering the roster and money isn’t an issue.

Ultimately, Ressler’s comments on the tax weren’t any different than what he’s previously said on the topic: He’ll pay it if it’s necessary and warranted, like if the Hawks add a star this offseason.“

https://www.google.com/amp/s/theathletic.com/3296023/2022/05/05/tony-ressler-atlanta-hawks/%3famp=1

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On 10/23/2021 at 10:10 AM, thecampster said:

Other cap people on the site feel free to correct this as needed, I'm writing it off the cuff.

 

The NBA is currently projecting a cap number for next year of 119 million with a projected luxury tax line of $145 million. The numbers for 23/24 are #124,950,000 and $152,250,000.

Current Hawks salaries committed for 2022/23, 2023/24 and 2024/25.

Player 2022-23 2023-24 2024-25
Trae Young $29,750,000 $32,130,000 $34,510,000
John Collins $23,500,000 $25,340,000 $26,580,000
Danilo Gallinari $21,450,000    
Clint Capela $19,706,897 $22,116,000 $23,765,280
Bogdanovic $18,000,000 $18,000,000  
Kevin Huerter $14,508,929 $15,669,643 $16,830,357
De'Andre Hunter $9,835,881    
Onyeka Okongwu $6,395,160 $8,109,063  
Cam Reddish $5,954,454    
Jalen Johnson $2,792,520 $2,925,480 $4,511,090
Total $151,893,841 $124,290,186 $106,196,727
Cap Projected $119,900,000 $124,950,000 $131,198,000
LT Projected $145,000,000 $152,250,000 $159,863,000

 

Now we can make some assumptions. By Hunter, Reddish, OO, JJ, I've accepted all options. The Hawks will extend both Hunter and Reddish after this season.

I have no clue how to quantify their salaries but both will get somewhere between Huerter and Collins money barring injuries or problems. The safest bet here is to take the average between Collins and Huerter and give it to both players (for the purposes of estimating future salaries only, I am not saying this is what they'll get).  That's a salary of $20,504,821.50 and $21,705,178.50 for each player for the 23-24 and 24-25 seasons respectively. This bumps the total salary for 23-24 to $165,299,828 on 9 players and 24-25 of $149,607,084 on 8 players (OO extension incoming).

Some assumptions on my part, Gallo will be moved at the deadline or after the season for a draft pick and Jalen Johnson will take over his role full time to part with Gallo's $21.45 million for next year and keep us from being a dual repeater in 23/24.  Bogdanovic or Huerter will be moved by after the 22-23 season (probably BB) for a pick as well to limit/eliminate the LT payment in 23-24.  This is Lou Will's last season.  This is Solo's last season with us barring his continuing to take the vet min every year. Dieng is likely a 1 and done signing.

 

Let the discussing begin.

I guess this should be updated to update Trae's All-Nba salary and remove Cam....and salary cap and luxury tax.

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Player 2022-23 With Waived  
Trae Young $36,600,000    
John Collins $23,500,000    
Danilo Gallinari $21,450,000 $5,000,000  
Clint Capela $19,706,897    
Bogdanovic $18,000,000    
Kevin Huerter $14,508,929    
De'Andre Hunter $9,835,881    
Onyeka Okongwu $6,395,160    
       
Jalen Johnson $2,792,520    
Total $152,789,387    
Cap Projected $122,000,000    
LT Projected $149,000,000    

 

Without Danilo - $136,339,387

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13 hours ago, thecampster said:
Player 2022-23 With Waived  
Trae Young $36,600,000    
John Collins $23,500,000    
Danilo Gallinari $21,450,000 $5,000,000  
Clint Capela $19,706,897    
Bogdanovic $18,000,000    
Kevin Huerter $14,508,929    
De'Andre Hunter $9,835,881    
Onyeka Okongwu $6,395,160    
       
Jalen Johnson $2,792,520    
Total $152,789,387    
Cap Projected $122,000,000    
LT Projected $149,000,000    

 

Without Danilo - $136,339,387

So how is it possible for the Hawks to add all of these max players everyone seems to think will be on the team?

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