Curious if anyone knows/can show me, Rip Hamilton's contract next season has only 1 million guaranteed if waived by...whenever. Does that 1 million work the same as a standard deal where, when that player signs a new deal, the difference in amounts comes off of the previous team?
So, Chicago waives him, owes him 1 million. Say Miami signs him for 2 million, Bulls off the hook?
Question on Rip's $1 million
Question on Rip's $1 million
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cucad8
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Re: Question on Rip's $1 million
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DBoys
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Re: Question on Rip's $1 million
http://www.cbafaq.com/salarycap.htm#Q64
If another team signs a player who has cleared waivers, the player's original team is allowed to reduce the amount of money it still owes the player (and lower their team salary) by a commensurate amount. This is called the right of set-off. This is true if the player signs with any professional team -- it does not have to be an NBA team. The amount the original team gets to set off is limited to one-half the difference between the player's new salary and the minimum salary for a one-year veteran (if the player is a rookie, then the rookie minimum is used instead).
For example, suppose a fifth-year player is waived with one guaranteed season remaining on his contract for $5 million. If this player signs a $1 million contract with another team for the 2011-12 season, his original team gets to set off $1 million minus $762,195 (the minimum salary for a one-year veteran in 2011-12), divided by two, or $118,902. The team is still responsible for paying $4,881,098 of the original $5 million. Note that between his prior team and new team the player will earn a combined $5,881,098, which was more than he earned prior to being waived.
Teams and players may negotiate a waiver of the team's set-off rights. Typically this is done when a contract is altered as part of a buyout (see question number 65), but not at other times.
If another team signs a player who has cleared waivers, the player's original team is allowed to reduce the amount of money it still owes the player (and lower their team salary) by a commensurate amount. This is called the right of set-off. This is true if the player signs with any professional team -- it does not have to be an NBA team. The amount the original team gets to set off is limited to one-half the difference between the player's new salary and the minimum salary for a one-year veteran (if the player is a rookie, then the rookie minimum is used instead).
For example, suppose a fifth-year player is waived with one guaranteed season remaining on his contract for $5 million. If this player signs a $1 million contract with another team for the 2011-12 season, his original team gets to set off $1 million minus $762,195 (the minimum salary for a one-year veteran in 2011-12), divided by two, or $118,902. The team is still responsible for paying $4,881,098 of the original $5 million. Note that between his prior team and new team the player will earn a combined $5,881,098, which was more than he earned prior to being waived.
Teams and players may negotiate a waiver of the team's set-off rights. Typically this is done when a contract is altered as part of a buyout (see question number 65), but not at other times.
Re: Question on Rip's $1 million
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shrink
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Re: Question on Rip's $1 million
cucad8 wrote:Say Miami signs him for 2 million, Bulls off the hook?
For 2013-14, the 1 yr vet minimum is $788,872. If Rip signed for $2 mil, the Bulls would be off the hook for $605,564 of it.
They are completely off the hook if he signs for $2,788,872 or more.
Sign5 wrote:Yea not happening, I expected a better retort but what do I expect from realgm(ers) in 2025. Just quote and state things that lack context, then repeat the same thing over and over as if something new and profound was said. Just lol.