Can the Blazers trade Bledsoe or Hart around draft night?

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Telfaire
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Can the Blazers trade Bledsoe or Hart around draft night? 

Post#1 » by Telfaire » Wed Feb 9, 2022 10:29 pm

And then the recieving teams renounces them?
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#2 » by Scoot McGroot » Thu Feb 10, 2022 1:35 am

Telfaire wrote:And then the recieving teams renounces them?


No. Once a teams season is over, the lesser of the players guaranteed salary (which is $0 for Hart until 6/25, and for Bledsoe $3.9m until 6/29) and the players full base salary is counted for salary matching.

So, no. You can’t trade them for full salary and then the other team waived them to clear the salary. That old non guaranteed loophole was closed in this CBA.

From Larry Coons CBAFAQ

http://www.cbafaq.com/salarycap.htm#Q85

After a team's season ends (and through June 30), they use the lesser of the full salary for the current season and the guaranteed base salary for the upcoming season.
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#3 » by raleigh » Sat Feb 12, 2022 12:38 am

How then would a draft night trade affect the current year salary cap of the team receiving the player with the partial guarantee?

For example, if a team near the luxury tax acquired Gallinari in exchange for a player making ~$5M in 2022-23, said team would have to pay the luxury tax, right?
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#4 » by DBoys » Sat Feb 12, 2022 4:05 pm

raleigh wrote:How then would a draft night trade affect the current year salary cap of the team receiving the player with the partial guarantee?


It wouldn't.

raleigh wrote:For example, if a team near the luxury tax acquired Gallinari in exchange for a player making ~$5M in 2022-23, said team would have to pay the luxury tax, right?


No. You are mixing cap years. Future year salary (and guarantee) does not have any bearing on what was paid in 21-22, so no impact on current year (21-22) tax.
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#5 » by raleigh » Sat Feb 12, 2022 6:53 pm

DBoys wrote:Future year salary (and guarantee) does not have any bearing on what was paid in 21-22, so no impact on current year (21-22) tax.


I'm not suggesting that. Lemme try to ask another way.

According to my lay understanding of the Coon FAQ, this is how a Gallo trade would work:

1) Hawks trade Gallo in mid-June 2022 to Team X. His outgoing salary is treated as $5M.
2) In exchange, Team X trades a player to Atlanta making, say, $8M in both 2021-22 and 2022-23 to make the trade legal.
3) Team X waives Gallo immediately.

For Team X, Gallo's 21-22 salary counts as ~$20M vs. their 21-22 cap sheet, and $5M vs. their 22-23 cap sheet.

If I'm correctly interpreting step #2, then the difference between Gallo's $20M cap hit for 21-22 and the $8M player's cap hit for 21-22 would push most teams into the luxury tax for 2021-22.

It would, for all intents and purposes, make his contract untradeable (unless paired with a bunch more salary or sent to OKC to overcome the difference between his "outgoing salary for trade purposes" and his "cap hit").
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#6 » by giberish » Sun Feb 13, 2022 12:19 pm

raleigh wrote:
DBoys wrote:Future year salary (and guarantee) does not have any bearing on what was paid in 21-22, so no impact on current year (21-22) tax.


I'm not suggesting that. Lemme try to ask another way.

According to my lay understanding of the Coon FAQ, this is how a Gallo trade would work:

1) Hawks trade Gallo in mid-June 2022 to Team X. His outgoing salary is treated as $5M.
2) In exchange, Team X trades a player to Atlanta making, say, $8M in both 2021-22 and 2022-23 to make the trade legal.
3) Team X waives Gallo immediately.

For Team X, Gallo's 21-22 salary counts as ~$20M vs. their 21-22 cap sheet, and $5M vs. their 22-23 cap sheet.

If I'm correctly interpreting step #2, then the difference between Gallo's $20M cap hit for 21-22 and the $8M player's cap hit for 21-22 would push most teams into the luxury tax for 2021-22.

It would, for all intents and purposes, make his contract untradeable (unless paired with a bunch more salary or sent to OKC to overcome the difference between his "outgoing salary for trade purposes" and his "cap hit").


In your hypothetical, Gallo's salary counts as $5M outgoing from Atlanta but as the full $20M incoming to team X. This makes the salary matching very difficult baring a team with a bunch of cap space or large TPE. If the 2022-23 salary is fully guaranteed before the trade than he can be dealt as a full $20M both ways. Otherwise, his deal is very difficult to trade.

Either way this has no effect on either team's 2021-22 luxury tax bill.
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#7 » by raleigh » Sun Feb 13, 2022 1:00 pm

giberish wrote:In your hypothetical, Gallo's salary counts as $5M outgoing from Atlanta but as the full $20M incoming to team X.


That's what I was wondering. Thank you for the reply.
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Re: Can the Blazers trade Bledsoe or Hart around draft night? 

Post#8 » by DBoys » Sun Feb 13, 2022 9:11 pm

raleigh wrote: ... the difference between Gallo's $20M cap hit for 21-22 and the $8M player's cap hit for 21-22 would push most teams into the luxury tax for 2021-22.


No, it wouldn't (same as before). No change at all, tax-wise.

By draft time in June, 21-22 season is over, so when players are traded, the amount actually being paid by each team for 21-22 will not change. So neither team's tax calc for 21-22 would change either.

It needs to be understood that "cap hit" (aka "Team Salary") is a sometimes-different number with different rules than what's taxable. So are the numbers for trade-matching at times. This would be one of those times.

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