Question about decreasing salaries

[skorff26]

In another one of my posts, I was told that salaries could only decrease at an 8% rate for a signing of another team's free agent.

-for max increases i know it's
Year 1 - given salary
Year 2 - given salary * 1.08
Year 3 - given salary * 1.16

-but my question is for max decreases is it
Option a
Year 1 - given salary
Year 2 - given salary/1.08
Year 3 - given salary/1.16
or
Option b
Year 1 - given salary
Year 2 - given salary *0.92
Year 3 - given salary *0.84
or
something entirely different.

[Three34]

Take your first salary. For argument's sake, assume it's $4 million. Work out 8% of $4 million. That's your maximum decrease. Then take it away from $4 million. And that's your second season salary.

To work out 8% of something, divide it by 100, then times it by 8.

[Dunkenstein]

then times it by 8.

Ah, memories of my fourth grade arithmetic class

"Dunk, that's multiply it by, not times it by." "Sorry, Miss Ward."

[D21]

skorff26, if you want to use it in a simple way, once you have the amount corresponding to the 8% (if it's for a first year of $10M, it's $0.8M), you can use this number as the max increase or decrease.

Don't continue to use the 1.16,... or same in decrease.
It's 8% max of the "first year salary", ad not "8% of the previous salary" (even if then it's a increase or decrease from the previous salary).

With this example, it gives you:

10,000,000 - 10,800,000 - 11,600,000 - 12,400,000 - 13,200,000 (Josh Smith contract)
for
10,000,000 - 10,800,000 - 10,900,000 - 11,700,000 - 12,200,000 (some max, some less than max increases)

Decreasing:
10,000,000 - 9,200,000 - 8,400,000 - 7,600,000 - 6,800,000

and since this amount is based on the first year, but an "increase or decrease of the previous year ", you can do it like that :
10,000,000 - 10,800,000 - 10,000,000 - 9,200,000 - 8,400,000

Look at the contract Turiaf got last summer, it's a good example of the possibilities since it uses increase and decrease, and made from max (8%) or less than max % from the first year:

4,500,000 - 4,140,000 - 4,000,000 - 4,360,000
it decreases by 8% of first year 4,500,000, so 360,000, then by only 140,000, then increase by the 8% of first year.

[JES12]

LOL, the dude had the math right to begin with in option B

"Salary given * 0.92" = Salary - Salary*8/100
Same with
Salary given * 0.84 = Salary - Salary *2*8/100 .....(same as 1 - 0.16 = 0.84)


But whatever, the answer to the OP is option B. Option A is totslly legal, but does not give maximum decrease.