Related/Follow-Up Tweet: [Bobby Marke calculated all luxury tax payments from when Wyc and the group bought the team compared to what 25-26 is projected to cost](https://x.com/BobbyMarks42/status/1816154851807535384)
SquimJim
This is for a 14-man roster of:
– 11 current players (225mil salaries) – 2025 1st Rounder + 2 min deals (~8mil in salary) – 233mil total salaries – 280mil in luxury tax – 513mil total
Thresholds and amount over:
– Luxury Tax Line: 188mil
– Amount Over Tax: 45mil
– 1st Apron: 196mil
– Amount Over 1st Apron: 37mil
– 2nd Apron: 208mil
– Amount Over 2nd Apron: 25mil
Edit:
I just want to add that the biggest penalty for team-building specifically is having your future 1st Rounder being frozen out of trades. HOWEVER, that isn’t an issue if you already traded a pick that would have frozen the pick anyway due to the Stepien Rule.
For example, we currently have our 2031 1st Rounder. If we traded that pick, we would lock out our 2030 1st Rounder and our 2032 1st Rounder due to the Stepien Rule. Here’s the thing: **both of those picks are already locked out of trades**. The 2030 1st is locked because we traded the 2029 1st for Jrue and the 2032 1st will be locked out because we are over the 2nd apron this year. Therefore, if the plan is to trade the 2031 1st, then the 2nd apron freezing our pick doesn’t matter because the Stepien Rule already froze it.
centaurquestions
Play out the season, win another title, figure the money out after.
enutz777
If we have to shed salary, it would be one of KP, Jrue, White. Probably to a team like OKC that has young rookie contract talent and needs veteran leadership on the floor in the 4th. Who we trade would be dependent on the return offered.
KP for Chet gets us under the 2nd apron.
Jrue and Hauser for Jalen Williams and picks would get us out of the tax entirely.
With a bunch of championship winning all stars and all nba players on good contracts, we will have a ton of flexibility following our back to back championships and will be well positioned for a 3 peat, whether that be by paying a huge tax bill or trading to avoid it.
(Those were random examples as I am not going to spend the time coming up with best trades for a hypothetical scenario a year from now.)
finnstergrammer34
So much of the looming financial decisions for 2025 and beyond is going to come down to how this upcoming season plays out. Can Porzingis make a full return and stay healthy for a playoff run? Can Jrue and Al keep contributing at a high level? Can a big frontline of Kornet, Tillman and Queta be enough to keep us competitive for a top playoff spot during longer stretches of the regular season? Can Joe keep our guys motivated and locked in on the back of a title win?
If they come out and win convincingly again next June, I have to think the conversation shifts towards āhow can we find ways to keep this dynasty afloat for at least one more yearā versus āwhere should we start cutting costsā because this team will have earned that right with all things considered. The windfall of a premiere NBA franchise having a legitimate chance to 3peat and be the next dynasty could be immense.
On the other hand, if any of those questions above are left open-ended or even answered negatively, or the team somehow takes a collective step back, it would become difficult for any ownership group to justify such a wildly unprecedented total spend in professional sports history. They could start stripping away pieces by the 2026 trade deadline. Maybe even sooner, like next offseason.
While itās probably unlikely, thereās also the possibility that, even in spite of next yearās potential success, we inherit a new ownership group that views the franchise solely through business metrics and scoffs at the mere thought of spending so much to contend and we are robbed of the chance of witnessing this core reach its ultimate potential before they cross the finish line.
All of which is to say – with so many factors in play contributing to an historically expensive team, we can only really take a year-by-year approach moving forward. If we win it all convincingly next season, I think this group has another year together before a 2026 tax reset. If our core takes steps back together and/or canāt stay healthy or effective, some changes are likely coming by the 2026 trade deadline (if not sooner).
Heshrat
The decision šš
Busy_Environment2463
Iām all for the tax rules efforting to make the league more competitive to small market teams, but the Celtics drafting good enough players (Tatum and Brown) that they could potentially have priced themselves out of keeping them (their own players that they drafted!!).
Teams should get a reduced cap hit for players that were drafted by the team.
This would benefit everyone. Small market teams, who could then be able to spend more around talent they drafted.
The draft, which is the only thing that is really a level playing field between all 30 teams, would allow teams to lock up great talents and have more of a home grown feel rather than rooting for laundry and luxury tax spending.
KantoChampionGreen
We have become the Premier League. Now let us play international ball tournaments against the other champions. Winner gets the TV money.
yuletidepod68
Right now is the good times Timmy (Bon Temps)
ecclectic_collector
The easiest solution is that they let Porzingis walk at the end of his deal so the team can get under the 2nd apron…
But if Horford retires after next year or takes a minimum for one more year or something, it could save the Celtics a lot of money and if Porzingis keeps getting injured, then maybe he’d consider taking a discount on his next contract, maybe closer to $20 million a year (which is $10 million less than his current deal), and if that happens, then the Celtics would really need to only shave $10ish million off the books to get under the 2nd apron which could be done by moving Hauser or Pritchard + Springer… so I feel like the Celtics cap situation is a bit overdramatized by some media and fans
amidtheraw
Why wouldn’t they just deduct the luxury tax cost of this roster from the team valuation when they sell the thing? Like every private equity guy would.
SlutBacon
I won’t pretend to know a heck of a lot about the money behind basketball and salary caps, but I do think a lot of articles like this one, which I read to pick up more knowledge, forget one thing: winning makes money.
Yes, the owners are taking a gamble by putting their money on the table, but it’s not like it’s just to get rings. Winning more brings in much better commercial and sponsorship deals and merchandising deals. I suspect the Celtics are gambling on the Lakers and Warriors’ global popularity waning as LeBron and Steph wind down and want to fill the super brand vacuum. The Celtics have the history, good branding, big domestic, and on-court success to become the dominant brand in the NBA. Look at the Warriors; they’ve paid a fortune in tax relative to league-average revenues, but it’s been worth it financially as their revenues have also massively eclipsed the rest of the league.
ethereal3xp
Maybe this was why Brad wanted to keep Queta, Tillman and Kornet around for a few more seasons. They all can play with the starters and can help with different matchups. If the team sheds from KP and Horford contracts after it ends: you also drop below the 2nd apron.
GoatmontWaters
Do billionaires want to be able to brag and show off? This isn’t a for profit league. It’s bragging rights amongst the elites. Pay up
14 Comments
Related/Follow-Up Tweet: [Bobby Marke calculated all luxury tax payments from when Wyc and the group bought the team compared to what 25-26 is projected to cost](https://x.com/BobbyMarks42/status/1816154851807535384)
This is for a 14-man roster of:
– 11 current players (225mil salaries)
– 2025 1st Rounder + 2 min deals (~8mil in salary)
– 233mil total salaries
– 280mil in luxury tax
– 513mil total
Thresholds and amount over:
– Luxury Tax Line: 188mil
– Amount Over Tax: 45mil
– 1st Apron: 196mil
– Amount Over 1st Apron: 37mil
– 2nd Apron: 208mil
– Amount Over 2nd Apron: 25mil
Edit:
I just want to add that the biggest penalty for team-building specifically is having your future 1st Rounder being frozen out of trades. HOWEVER, that isn’t an issue if you already traded a pick that would have frozen the pick anyway due to the Stepien Rule.
For example, we currently have our 2031 1st Rounder. If we traded that pick, we would lock out our 2030 1st Rounder and our 2032 1st Rounder due to the Stepien Rule. Here’s the thing: **both of those picks are already locked out of trades**. The 2030 1st is locked because we traded the 2029 1st for Jrue and the 2032 1st will be locked out because we are over the 2nd apron this year. Therefore, if the plan is to trade the 2031 1st, then the 2nd apron freezing our pick doesn’t matter because the Stepien Rule already froze it.
Play out the season, win another title, figure the money out after.
If we have to shed salary, it would be one of KP, Jrue, White. Probably to a team like OKC that has young rookie contract talent and needs veteran leadership on the floor in the 4th. Who we trade would be dependent on the return offered.
KP for Chet gets us under the 2nd apron.
Jrue and Hauser for Jalen Williams and picks would get us out of the tax entirely.
With a bunch of championship winning all stars and all nba players on good contracts, we will have a ton of flexibility following our back to back championships and will be well positioned for a 3 peat, whether that be by paying a huge tax bill or trading to avoid it.
(Those were random examples as I am not going to spend the time coming up with best trades for a hypothetical scenario a year from now.)
So much of the looming financial decisions for 2025 and beyond is going to come down to how this upcoming season plays out. Can Porzingis make a full return and stay healthy for a playoff run? Can Jrue and Al keep contributing at a high level? Can a big frontline of Kornet, Tillman and Queta be enough to keep us competitive for a top playoff spot during longer stretches of the regular season? Can Joe keep our guys motivated and locked in on the back of a title win?
If they come out and win convincingly again next June, I have to think the conversation shifts towards āhow can we find ways to keep this dynasty afloat for at least one more yearā versus āwhere should we start cutting costsā because this team will have earned that right with all things considered. The windfall of a premiere NBA franchise having a legitimate chance to 3peat and be the next dynasty could be immense.
On the other hand, if any of those questions above are left open-ended or even answered negatively, or the team somehow takes a collective step back, it would become difficult for any ownership group to justify such a wildly unprecedented total spend in professional sports history. They could start stripping away pieces by the 2026 trade deadline. Maybe even sooner, like next offseason.
While itās probably unlikely, thereās also the possibility that, even in spite of next yearās potential success, we inherit a new ownership group that views the franchise solely through business metrics and scoffs at the mere thought of spending so much to contend and we are robbed of the chance of witnessing this core reach its ultimate potential before they cross the finish line.
All of which is to say – with so many factors in play contributing to an historically expensive team, we can only really take a year-by-year approach moving forward. If we win it all convincingly next season, I think this group has another year together before a 2026 tax reset. If our core takes steps back together and/or canāt stay healthy or effective, some changes are likely coming by the 2026 trade deadline (if not sooner).
The decision šš
Iām all for the tax rules efforting to make the league more competitive to small market teams, but the Celtics drafting good enough players (Tatum and Brown) that they could potentially have priced themselves out of keeping them (their own players that they drafted!!).
Teams should get a reduced cap hit for players that were drafted by the team.
This would benefit everyone. Small market teams, who could then be able to spend more around talent they drafted.
The draft, which is the only thing that is really a level playing field between all 30 teams, would allow teams to lock up great talents and have more of a home grown feel rather than rooting for laundry and luxury tax spending.
We have become the Premier League. Now let us play international ball tournaments against the other champions. Winner gets the TV money.
Right now is the good times Timmy (Bon Temps)
The easiest solution is that they let Porzingis walk at the end of his deal so the team can get under the 2nd apron…
But if Horford retires after next year or takes a minimum for one more year or something, it could save the Celtics a lot of money and if Porzingis keeps getting injured, then maybe he’d consider taking a discount on his next contract, maybe closer to $20 million a year (which is $10 million less than his current deal), and if that happens, then the Celtics would really need to only shave $10ish million off the books to get under the 2nd apron which could be done by moving Hauser or Pritchard + Springer… so I feel like the Celtics cap situation is a bit overdramatized by some media and fans
Why wouldn’t they just deduct the luxury tax cost of this roster from the team valuation when they sell the thing? Like every private equity guy would.
I won’t pretend to know a heck of a lot about the money behind basketball and salary caps, but I do think a lot of articles like this one, which I read to pick up more knowledge, forget one thing: winning makes money.
Yes, the owners are taking a gamble by putting their money on the table, but it’s not like it’s just to get rings. Winning more brings in much better commercial and sponsorship deals and merchandising deals. I suspect the Celtics are gambling on the Lakers and Warriors’ global popularity waning as LeBron and Steph wind down and want to fill the super brand vacuum. The Celtics have the history, good branding, big domestic, and on-court success to become the dominant brand in the NBA. Look at the Warriors; they’ve paid a fortune in tax relative to league-average revenues, but it’s been worth it financially as their revenues have also massively eclipsed the rest of the league.
Maybe this was why Brad wanted to keep Queta, Tillman and Kornet around for a few more seasons. They all can play with the starters and can help with different matchups. If the team sheds from KP and Horford contracts after it ends: you also drop below the 2nd apron.
Do billionaires want to be able to brag and show off? This isn’t a for profit league. It’s bragging rights amongst the elites. Pay up