Trade Kicker question.

[InBoobieWeTrust]

I read Larry Coon's FAQ answer and I'm still confused.

For example, Ilgauskus and Dalembert both have trade kickers in their contract, assuming neither waives them, what is the impact? Is there any? Do they essentially cancel each other out salary-wise, or do they make things more complicated(Mainly inquiring because I'm interested in a potential Iguodala/Dalembert trade situation and the trade kicker part for Z(obviously the Cavs would add more) and Dalembert is something I can't quite grasp)

[answerthink]

Trade kickers are paid to players when they are traded. They can be for up to 15% of the remaining value of the contract, which is prorated mid-season. The amount of the trade kicker is applied to a team's salary for salary cap purposes over the remaining partially or fully guaranteed seasons of the contract (in proportion to the percentage guaranteed). For trade purposes, the player's trade value is the sum of his current salary and the allocated portion of his bonus.

For example, if Player A, who has the following details remaining on his contract, is traded at the exact midpoint of the current season, the math would be as follows:

2009/10 Salary: $10,000,000 (100% guaranteed); 50% left since traded at midpoint
2010/11 Salary: $10,000,000 (100% guaranteed)
Trade Kicker: 15%

Total Remaining Value = (50% * 2009/10 Salary + 100% * 2010/11 Salary) = 15,000,000
Trade Kicker = 15% * 15,000,000 = 2,250,000
Portion that Applies to 2009/10 = Trade Kicker / (100% / (100% + 100%)) = 1,125,000
2009/10 Salary for Trade Purposes = 2009/10 Salary + Portion that Applies = 11,125,000

I know this can be confusing. I am happy to answer any further questions.

[Rapsobsessed7]

what would Dalemberts TK be at the halfway point of the season.

[Dunkenstein]

what would Dalemberts TK be at the halfway point of the season.

Dalembert's salary for this season is $12,025,694. His salary for next season is $12,912,823. His trade kicker is 15%. Based on the formula answerthink provided above, you do the math.

[Rapsobsessed7]

i dont understand the formula though. Also doesnt he have a 7.5% TK thats what i read somewhere.

[answerthink]

If Dalembert were traded two-thirds of the way through the season, using the figures provided and assuming a 15% trade kicker, his 2009/10 salary for trade purposes would be $13,294,798.

Keep in mind, however, that trade bonuses are based only on base salary. If the salary details provided above include likely bonuses, the calculation would change and his total salary would be reduced.