$45M Hard Cap?

[Mr. E]

What do you think of these reports that the owners initially asked for a $45 Million Dollar Hard Salary Cap?

To me that screams an extreme end opening to the bargaining situation, but the fact that they started off so low tells me that the owners are prepared to stand their ground on negotiations. I think that they are prepared to wait out the players, being all-too aware that many of them may not be in the financial situation where they can afford a long lockout.

The players will cave, and the owners know this. I just think that it may take a while, possibly costing us most of, if not all of the season.

I don't think that there are as many European Options for these players as they may think.

The Owners are going to crush them.

[College Boy]

They're definitely low balling it right now. What do you think the owner's real number is?

I often tell people that there is a difference between being rich and financially free. The owners will absolutely son the players.

[Mr. E]

I think that their goal is $52-55M for the hard cap.

[zapatasblood]

I think that their goal is $52-55M for the hard cap.

Thats a good celling. Unlike football I want the owners to win this one. Basketball needs to change it up or it could die.

[moofs]

They're definitely low balling it right now. What do you think the owner's real number is?

I often tell people that there is a difference between being rich and financially free. The owners will absolutely son the players.

Only cause 70-95% of the players are incredibly stupid, financially. It doesn't take much to invest 80% of your first 3 years, then live off interest + 40% of your future income.

say you get 1.5m * 3 = 4.5m - 50% taxes with deferred 125k to retirement accounts, so you end up with maybe = 2.175m in pocket. That is not that much. Over 3 years, live off of 435k total, or 145k per year. That's a pretty lavish lifestyle, still, mind you. Save the rest, by the end of 3 years, the 1.75m should be 2.15m (very conservatively). If you're still playing, say your contract jumps to 3m / yr, you put in 60% (100k to retirement accounts, 800k to your primary accounts), end up with just over 3m at the end of your 4th year, 4m at the 5th year, 5m at your 6th.

All it takes is operating like you aren't loaded, because you aren't. I wish I knew where my old post detailing how NBA players run through all their money so easily was at. That was a fun post.

Just for fun, here's some old posts, since the board seems dead lately (guilty)
viewtopic.php?f=6&t=886103 -- NBA Financial Straits
viewtopic.php?f=16&t=903097 -- Joey Freaking Crawford
viewtopic.php?f=16&t=883983 -- Stats Thread
viewtopic.php?f=16&t=823628 -- Wii and Gaming

[PocketRockets]

Moofs is my financial advisor....

[Mr. E]

I think that their goal is $52-55M for the hard cap.

Thats a good celling. Unlike football I want the owners to win this one. Basketball needs to change it up or it could die.

Yeah, I think that the Owners need a solid "win" for the NBA to survive. This is an entirely different situation than the NFL. The NBA's situation is much more dire.

[moofs]

I think that their goal is $52-55M for the hard cap.

Thats a good celling. Unlike football I want the owners to win this one. Basketball needs to change it up or it could die.

Yeah, I think that the Owners need a solid "win" for the NBA to survive. This is an entirely different situation than the NFL. The NBA's situation is much more dire.

How is the NBA in trouble?
If there ARE financial problems in the NBA, it's due to bad management and bad investments.
I have trouble trusting that the problems are legit given the massive histories of Hollywood accounting in entertainment-related businesses, though, and think they're probably just using a relatively short (with any luck) economic downturn to create a decade of historic profits.

I'm just annoyed because it doesn't matter who wins, ticket prices will still go up, and the game will continue to get farther away from paying fans. On the bright side, Rockets have a pretty reasonably-priced upper bowl.