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Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 6:39 am
by el_negr0
As you can see I'm pretty new, not sure if this is thread worthy. If not lock it up

I was thinking about the Mavs roster and i can't imagine them not being the highest pay roll in the league.
jkidd, nowitzki, terry, marion, butler, haywood, chandler

that's at least 7 players i can think of that i believe were traded to dallas (so its not like they're on some MLE type ish) and they all had decently big roles on their previous teams so they muuust be getting paid.
So first, does anyone know what dallas' pay roll is?

And got me to thinking: is there a max amount that teams can go over the cap? can u sign whoever you want as long as you got the moolah

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 6:43 am
by DonKilluminati
No, I'm no expert on this sort of the stuff, but I believe a soft cap, which is what the current CBA outlines, denotes there is no upper limit to player salary as long as one is willing to pay the luxury tax.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 6:54 am
by MaceCase
If there is then the Magic will surely discover it.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 6:58 am
by el_negr0
yea magic are deeefinitely up there

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:02 am
by darth_federer
No max amount. Each dollar you spend is doubled so most teams dont go that high unless they re sure they are going to win the title.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:04 am
by memphislakers
Yes there is a limit to how much you can pay players.
This is the reason that Lebron Wade and Bosh did not get max contracts this summer and it is also why Miami had to pay the minimum salary to the rest of their players except for Miller and Haslem.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:12 am
by rocketsballin
only if you suck

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:13 am
by Three34
There's a minimum payroll level, but not a maximum. You can spend as much as you want. But once you get beyond the salary cap, you can only add more payroll via salary cap exceptions. There are ten cap exceptions, and trading is one of them. This is how Dallas has piled up such a big payroll.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:14 am
by jym85
Crazy but that last trade dropped the Magic's payroll this year by around 4 or 5 mil ha
They were #1 in payroll

They're around 89/90 mil now which is right where the Mavs are

The Lakers are in the lead at 91.5 mil
Celtics are at $83 mil for anyone wondering

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 7:53 am
by DonKilluminati
jym85 wrote:
The Lakers are in the lead at 91.5 mil


**** sure aren't playing like they're worth 91.5 million right now, that's for damn sure.

/disgruntled fan

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 8:03 am
by Wavy Q
DonKilluminati wrote:
jym85 wrote:
The Lakers are in the lead at 91.5 mil


**** sure aren't playing like they're worth 91.5 million right now, that's for damn sure.

/disgruntled fan


+1

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 8:11 am
by Speedlot
There is a limit I believe. You can't just sign w.e you want. You'd have to use loopholes to do it, or re-signing your own players.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 8:29 am
by boogydown
There is no limit. However for each dollar you are over, you pay an additional $1 which goes into a bucket which is then distributed equally to the teams who were under the luxury tax limit.

I expect that the NBA will likely set a firm cap that you can't exceed with the new CBA and will also likely remove the ability for teams over the tax to spend the MLE or at least reduce the value of the MLE.

Something like this is what I would like to see

Soft Cap: 70 Million
Any team under this can spend as much as they want on free agents as long as it doesn't exceed 70 million.

Exceeding Cap: 70+ Million
Any team that exceeds the cap continues to pay the luxury tax. The MLE on the other hand is reduced to around 3ish million for teams over the cap.

Max Limit: 90 Million
No team can exceed this amount. If you have free agents to sign, you will have to let them walk.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 9:15 am
by AllBall
MaceCase wrote:If there is then the Magic will surely discover it.


Deep pockets son.

Image

:lol:

Re: Is there a max amount that teams can go into luxury tax?

Posted: Wed Dec 22, 2010 9:32 am
by lukekarts
Teams can spend as much as they like until they go bankrupt.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Thu Dec 23, 2010 7:28 pm
by ranger001
A practical (not theoretical) maximum would be 15 maximum salaries paid to vets with over 10 years in the nba. That would be some team, every player making the max.

Re: Is there a max amount that teams can go into luxury tax?

Posted: Thu Dec 23, 2010 7:55 pm
by shrink
ranger001 wrote:A practical (not theoretical) maximum would be 15 maximum salaries paid to vets with over 10 years in the nba. That would be some team, every player making the max.


Yep with max raises everytime, and it would take a team a while to get their payroll that high. But then you have buy-outs on top of that, so I don't think there is even a theoretical maximum.

Maybe Isiah knows?