How Much Is the NBA Max Contract?
The NBA max contract is the most a player can earn in a single season. We break down how much money NBA superstars like LeBron James and Kevin Durant make.
NBA Max Contract Basics
The NBA max contract is the largest amount of money that a player can sign for with any one team. The amount of the contract is based on a number of factors, including the player’s experience, the team’s salary cap, and the collective bargaining agreement between the NBA and the players’ union.
How is the max contract calculated?
The maximum contract a player can sign is based on a number of factors, including the player’s experience, the salary cap, and any collective bargaining agreement in place.
A player’s experience is the biggest factor in determining their max contract. There are three experience tiers: 0-6 years, 7-9 years, and 10+ years. Players in the 0-6 tier can earn 25% of the salary cap, players in the 7-9 tier can earn 30% of the salary cap, and players in the 10+ tier can earn 35% of the salary cap.
The salary cap is set by the NBA each year and is based on league revenues. For the 2019-2020 season, the salary cap is $109 million.
The collective bargaining agreement (CBA) is a negotiation between the NBA and its players that determines things like how much players will be paid, what benefits they will receive, etc. The current CBA was agreed upon in 2017 and runs through 2024.
Under the current CBA, all player contracts are guaranteed (meaning if a player is released or traded, they will still get paid). In addition, there is a provision called “the Derrick Rose rule” which allows players who meet certain criteria to earn 30% of the salary cap instead of 25%.
What are the benefits of signing a max contract?
In order to be eligible for a max contract, a player must have either: (1) completed 8 years of service in the NBA, or (2) been named to an All-NBA Team, or (3) won Defensive Player of the Year, or (4) won MVP during the most recent season or two prior to becoming a free agent.
Players who meet any one of those criteria are eligible for a designated player max contract, which can be worth up to 35% of the salary cap. In 2017-18, the max salaries are as follows:
$24.1 million for players with 0-6 years of service
$27.3 million for players with 7-9 years of service
$30.6 million for players with 10-plus years of service
However, there are some factors that can reduce the amount of money a player can make in a max contract. For example, if a player is traded during the course of their current contract, their max salary is reduced by 5%. So if Kyrie Irving had signed a max contract with the Cleveland Cavaliers worth $25.8 million per year and was then traded to the Boston Celtics, his max salary with the Celtics would be worth $24.5 million per year instead.
Another notable factor is the so-called “Rose Rule,” named after former Chicago Bulls star Derrick Rose. The rule allows players who meet certain criteria — namely, being named MVP or making an All-NBA team in any two of their first three seasons — to earn 30% of the salary cap instead of 25%. This provision was included in the 2011 CBA in order to give young superstars like Rose an incentive to stay with their original teams rather than leaving in free agency as soon as they became eligible for a big pay day.
NBA Max Contract History
In order to understand how much the NBA max contract is, we first need to take a look at the history of the max contract. The NBA max contract is the highest amount of money that a player can sign for with a team. The max contract has been increasing over the years, and it is now at an all-time high.
How has the max contract changed over time?
The maximum contract in the NBA has changed quite a bit over time. In the early days of the league, there was no real limit on how much a team could pay a player. This led to some players becoming extremely wealthy, while others were not paid nearly as much.
In the mid-1990s, the NBA instituted a salary cap, which limited how much teams could spend on player salaries overall. This helped to even things out somewhat, but it still allowed for players with more negotiating power to earn more than others.
In recent years, the NBA has implemented a “soft” salary cap, which gives teams some flexibility in how much they can spend. The maximum contract is still in place, but teams can go over the cap if they are willing to pay a luxury tax.
The maximum contract has increased quite a bit over time, reflecting the increasing popularity and profitability of the league. In 2014-15, the maximum contract was worth $22.1 million per year. In 2020-21, it is worth $37.4 million per year.
What has been the biggest max contract ever signed?
The biggest max contract in NBA history was signed by LeBron James in 2016. He signed a four-year, $153 million deal with the Cleveland Cavaliers. This contract made him the highest-paid player in the NBA at the time.
NBA Max Contract for the 2020-21 Season
The NBA max contract is the highest amount of money that a player can sign for with any team. The max contract changes each season and is based on the NBA’s salary cap. For the 2020-21 season, the NBA max contract is $33.7 million.
How much will the max contract be worth for the 2020-21 season?
The maximum amount a player can earn in the 2020-21 season is $41,158,790, or 35% of the salary cap. The actual amount of the max contract will depend on the number of years of NBA service the player has. 0-6 years: $25,507,336 7-9 years: $32,694,293 10+ years: $41,158,790
Who are some of the players eligible for a max contract this offseason?
This offseason, some of the biggest names in the NBA will be eligible for a max contract extension. Among them are LeBron James, Kevin Durant, Kawhi Leonard, Paul George, and Jimmy Butler. All five of these players are currently signed to deals that pay them less than the max salary for their respective positions. If they were to sign a max extension with their current team, they would be in line for a significant raise.
LeBron James is by far the most notable player on this list. He is currently in the fourth year of a six-year deal that pays him $33 million per year. If he were to sign a max extension with the Los Angeles Lakers, he would see his salary jump to $44 million per year. Kevin Durant is in a similar situation with the Golden State Warriors. He is making $30 million this season and could see his salary increase to $38 million if he signed a max extension with the Warriors.
Kawhi Leonard is in the midst of his first season with the Los Angeles Clippers and is currently signed to a five-year deal worth $103 million. If he were to sign a max extension with the Clippers, his salary would balloon to $191 million over the next four years. Paul George is also in his first season with the Clippers and is making $29 million this year. If he signed a max extension with the team, he would see his salary jump to $46 million next season.
Jimmy Butler is in his first season with the Miami Heat and is making $20 million this year. If he were to sign a max extension with the Heat, his salary would jump to $36 million next season.