In late January, the NBA lowered its salary cap projection for the 2024-25 season from $142 million to $141 million. Although the projection has dipped, it still represents a 3.66 percent increase from the 2023-24 campaign’s $136 million salary cap.
That climb in salary cap would have the following impact on the 2024-25 season:
| Level | 2023-24 | 2024-25 |
| Salary Cap | $136,021,000 | $141,000,000 |
| Luxury Tax | $165,294,000 | $171,315,000 |
| First Apron | $172,346,000 | $178,655,000 |
| Second Apron | $182,794,000 | $189,485,000 |
| Minimum Team Salary | $122,418,000 | $126,900,000 |
| Tax Bracket Size | $5,000,000 | $5,183,023 |
Additionally, maximum salaries will increase based on the players’ years of service (YOS) in the league:
| YOS |
2023-24 | 2024-25 |
| 0-6 | $34,005,250 | $35,250,000 |
| 7-9 | $40,806,300 | $42,300,000 |
| 10+ | $47,607,350 | $49,350,000 |
Minimum salaries would similarly climb:
| YOS | 2023-24 | 2024-25 |
| 0 | $1,119,563 | $1,160,544 |
| 1 | $1,801,769 | $1,867,722 |
| 2 | $2,019,706 | $2,093,637 |
| 3 | $2,092,354 | $2,168,944 |
| 4 | $2,165,000 | $2,244,249 |
| 5 | $2,346,614 | $2,432,511 |
| 6 | $2,528,233 | $2,620,778 |
| 7 | $2,709,849 | $2,809,042 |
| 8 | $2,891,467 | $2,997,308 |
| 9 | $2,905,861 | $3,012,229 |
| 10+ | $3,196,448 | $3,313,453 |
The NBA reimburses teams for the amount over the two YOS veteran minimum, provided the contract is a one-year minimum deal. In those cases, the player will count against the cap and tax at the two YOS minimum, which would also be their outgoing salary in trade. Additionally, for non-drafted players with 0-1 YOS, the tax hit is the 2 YOS minimum.
The spending exceptions will also rise proportionately:
| Exception | 2023-24 | 2024-25 |
| Non-Taxpayer Mid-Level | $12,405,000 | $12,859,000 |
| Room Mid-Level | $7,723,000 | $8,006,000 |
| Taxpayer Mid-Level | $5,000,000 | $5,183,000 |
| Bi-Annual | $4,516,000 | $4,681,000 |
Teams below the salary cap only have access to the Room Mid-Level Exception (RMLE). Those who do not drop under the salary cap but stay below the NBA’s first apron can use the Non-Taxpayer Mid-Level (NTMLE) and Bi-Annual (BAE) Exceptions. Tax teams below the second apron will only have the Taxpayer Mid-Level (TMLE). Those above the second apron won’t have any of the listed exceptions but can sign players to minimum contracts.
The following represents the Rookie Scale for the top 30 picks in the 2024 NBA Draft. While the actual scale is lower, the industry standard is to pay the maximum 120 percent of scale:
| Pick | 2023-24 | 2024-25 | 2025-26 | 2026-27 | Proj. Qualifying Offer |
| 1 | $12,605,760 | $13,236,360 | $13,866,480 | $17,485,631 | $24,479,883 |
| 2 | $11,278,680 | $11,842,800 | $12,406,920 | $15,657,533 | $21,998,834 |
| 3 | $10,128,480 | $10,634,640 | $11,141,520 | $14,082,881 | $19,885,028 |
| 4 | $9,131,760 | $9,588,600 | $10,045,320 | $12,707,330 | $18,031,701 |
| 5 | $8,269,440 | $8,682,600 | $9,096,240 | $11,524,936 | $16,434,559 |
| 6 | $7,510,680 | $7,886,280 | $8,262,000 | $10,476,216 | $15,022,894 |
| 7 | $6,856,440 | $7,199,520 | $7,541,880 | $9,578,188 | $13,802,169 |
| 8 | $6,281,280 | $6,595,440 | $6,909,480 | $8,788,859 | $12,726,268 |
| 9 | $5,773,800 | $6,062,760 | $6,351,360 | $8,091,633 | $11,773,326 |
| 10 | $5,485,080 | $5,759,280 | $6,033,240 | $7,692,381 | $11,246,261 |
| 11 | $5,210,760 | $5,471,520 | $5,732,160 | $7,606,576 | $11,174,060 |
| 12 | $4,950,480 | $5,198,160 | $5,445,600 | $7,504,037 | $11,075,959 |
| 13 | $4,702,800 | $4,938,120 | $5,173,200 | $7,392,503 | $10,963,082 |
| 14 | $4,467,960 | $4,691,400 | $4,914,840 | $7,278,878 | $10,852,807 |
| 15 | $4,244,160 | $4,456,320 | $4,668,600 | $7,156,964 | $10,721,132 |
| 16 | $4,032,240 | $4,233,720 | $4,435,560 | $6,804,149 | $10,240,244 |
| 17 | $3,830,280 | $4,021,920 | $4,213,440 | $6,471,844 | $9,785,428 |
| 18 | $3,639,120 | $3,820,680 | $4,002,960 | $6,156,552 | $9,351,802 |
| 19 | $3,475,200 | $3,648,840 | $3,822,960 | $5,887,358 | $8,984,108 |
| 20 | $3,336,000 | $3,502,800 | $3,669,360 | $5,658,153 | $8,673,949 |
| 21 | $3,202,560 | $3,362,880 | $3,523,080 | $5,612,266 | $8,648,502 |
| 22 | $3,074,640 | $3,228,240 | $3,381,960 | $5,563,324 | $8,612,026 |
| 23 | $2,951,760 | $3,099,480 | $3,246,600 | $5,509,480 | $8,567,241 |
| 24 | $2,833,800 | $2,975,520 | $3,117,120 | $5,451,843 | $8,515,779 |
| 25 | $2,720,040 | $2,855,880 | $2,992,440 | $5,389,384 | $8,455,943 |
| 26 | $2,630,040 | $2,761,440 | $2,892,840 | $5,215,791 | $8,220,087 |
| 27 | $2,554,200 | $2,681,880 | $2,809,920 | $5,069,096 | $8,024,379 |
| 28 | $2,538,240 | $2,665,560 | $2,792,400 | $5,040,282 | $8,014,048 |
| 29 | $2,520,120 | $2,646,000 | $2,772,120 | $5,003,677 | $8,005,883 |
| 30 | $2,501,640 | $2,626,680 | $2,752,080 | $4,967,504 | $7,948,006 |
The Expanded Traded Player Exception (ETPE), which allows teams under the aprons to take back a certain amount above the outgoing salary in a trade also adjusts with the cap. So, too, will the cash allowed in trades and a few additional items listed below:
| Notes | 2023-24 | 2024-25 |
| ETPE Level 1: 200 percent + $250,000 | $1-$7,250,000 | $1-$7,525,000 |
| ETPE Level 2 | $7,250,001-$29,000,000: flat $7,500,000 | $7,525,001 – $30,100,000: flat $7,775,000 |
| ETPE Level 3: 125 percent + $250,000 | $29,000,001+ | $30,100,001+ |
| Cash in Trade | $7,005,000 | $7,261,000 |
| Two-Way Salary | $559,782 | $580,272 |
| Exhibit 10/Two-Way Max | $75,000 | $77,745 |
| Higher Two-Way Qualifying Offer Guarantee Max | $90,000 | $93,294 |
| Early Bird Exception | $12,015,150 | $12.9 million |
| Estimated Average Player Salary (EAPS) | $11,958,000 | $12.8 million |
| Starter Criteria No. 9 | $8,486,620 | $8,486,620 |
| Starter Criteria No. 15 | $7,744,600 | $7,744,600 |
| Starter Criteria No. 21 | $5,216,324 | $5,216,324 |
Note: The Early Bird Exception and EAPS are not tied directly to the rise in the salary cap. Check back for updates. The Starter Criteria figures remain flat from 2023-24 to 2024-25.
Email Eric Pincus at eric.pincus@gmail.com and follow him on X/Twitter @EricPincus.
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