Parsons_Refund

The Grizzlies have created an NBA record $25M trade exception

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For those who don’t know what this means, it means we can take up to $25M in salary without sending anything back.  It expires in a year.  Look for them to use it on players like Whiteside, Adams, Roberson, Schroeder, with a first round pick attached.

The King Kleiman Era is upon us.  Great job by the FO.

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5 minutes ago, Parsons_Refund said:
The King Kleiman Era is upon us.  Great job by the FO.

We are too close to the luxury tax to use it though. Great job only if we are able to use it. Otherwise it's just a wasted asset. Blind squirrel finding an acorn or excellent F.O. move is yet to be determined. 

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Fantastic job . I think or FO has opened tons of options . as much as I don't wanna see us speed up a rebuild we could easily free up more space if we want and go after some nice wings

 

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9 minutes ago, Father Pat said:

We are too close to the luxury tax to use it though. Great job only if we are able to use it. Otherwise it's just a wasted asset. Blind squirrel finding an acorn or excellent F.O. move is yet to be determined. 

You clearly need to do more research.  Or you’re trying to spread fake news to a start your own anti-Kleiman cult.

Trade exceptions count against the cap but not against the luxury tax.

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13 minutes ago, Father Pat said:

We are too close to the luxury tax to use it though. Great job only if we are able to use it. Otherwise it's just a wasted asset. Blind squirrel finding an acorn or excellent F.O. move is yet to be determined. 

Well the ones we used to create this one were in the same boat nice sized TPE but too close to absorb anything it will be pretty beneficial next off-season

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Just now, Ndq0327 said:

Well the ones we used to create this one were in the same boat nice sized TPE but too close to absorb anything it will be pretty beneficial next off-season

Don’t listen to him.  He doesn’t know anything about the money side of basketball.  Trade exceptions don’t count against the luxury tax.  

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6 minutes ago, Parsons_Refund said:

 

You clearly need to do more research.  Or you’re trying to spread fake news to a start your own anti-Kleiman cult.

Trade exceptions count against the cap but not against the luxury tax.

Learn about trade exceptions and then feel free to apologize, unless if you are some troll. 

Trade exceptions are mostly used so a team does not have to take back matching salary and most certainly do "count" against the luxury tax if a team goes over.

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The players we use a tpe to get will count is what they are saying.

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3 minutes ago, Father Pat said:

Learn about trade exceptions and then feel free to apologize, unless if you are some troll. 

Trade exceptions are mostly used so a team does not have to take back matching salary and most certainly do "count" against the luxury tax if a team goes over.

Do more research big guy.

Building on Larry Coon’s excellent work, there are a few key concepts to understand about trade exceptions:

They count against the cap but not the luxury tax – Paralleling other exceptions in the NBA, trade exceptions reduce a team’s salary cap space when on the books. Like the Mid-Level, they can be renounced should a team want that but already-existing trade exceptions can also be used to prop a team over the cap should that be strategically beneficial. (I must mention here that teams under the cap do not receive trade exceptions, another value of using tricks like cap holds to stay over the cap when possible to maximize flexibility.)  However, it should also be noted that trade exceptions do not count against the luxury tax. Teams under the tax line like Oklahoma City and Golden State last season were not pushed over by having them and teams in the tax like Miami and Brooklyn did not have to pay additional tax on theirs.

They last a calendar year at maximum – Trade exceptions last up to one year after the trade that created it was approved by the league office, unless that anniversary falls on a weekend or holiday (then the team gets until the next business day.)”

https://midlevelexceptional.com/2014/07/03/nba-salary-cap-trade-exception/

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6 minutes ago, Parsons_Refund said:

Do more research big guy.

Building on Larry Coon’s excellent work, there are a few key concepts to understand about trade exceptions:

They count against the cap but not the luxury tax – Paralleling other exceptions in the NBA, trade exceptions reduce a team’s salary cap space when on the books. Like the Mid-Level, they can be renounced should a team want that but already-existing trade exceptions can also be used to prop a team over the cap should that be strategically beneficial. (I must mention here that teams under the cap do not receive trade exceptions, another value of using tricks like cap holds to stay over the cap when possible to maximize flexibility.)  However, it should also be noted that trade exceptions do not count against the luxury tax. Teams under the tax line like Oklahoma City and Golden State last season were not pushed over by having them and teams in the tax like Miami and Brooklyn did not have to pay additional tax on theirs.

They last a calendar year at maximum – Trade exceptions last up to one year after the trade that created it was approved by the league office, unless that anniversary falls on a weekend or holiday (then the team gets until the next business day.)”

https://midlevelexceptional.com/2014/07/03/nba-salary-cap-trade-exception/

We need fanboyslim to break it down for us, because I'm lost.

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If you go over the luxury tax, you pay. Trade exception or not. You are reading it wrong. The trade exception "moves" the salary cap, so to speak. The luxury tax is in stone. The Grizzlies will have to do a lot of horse trading to be in a position to use the 25 mil trade exception and stay under the luxury tax. Again, it is yet to be seen because until the trade exception is used, it is impossible to claim that it is good or bad. The Grizzlies, and other teams, have let trade exceptions expire before so in the end it meant nothing.

 

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8 minutes ago, Parsons_Refund said:

Do more research big guy.

Building on Larry Coon’s excellent work, there are a few key concepts to understand about trade exceptions:

They count against the cap but not the luxury tax – Paralleling other exceptions in the NBA, trade exceptions reduce a team’s salary cap space when on the books. Like the Mid-Level, they can be renounced should a team want that but already-existing trade exceptions can also be used to prop a team over the cap should that be strategically beneficial. (I must mention here that teams under the cap do not receive trade exceptions, another value of using tricks like cap holds to stay over the cap when possible to maximize flexibility.)  However, it should also be noted that trade exceptions do not count against the luxury tax. Teams under the tax line like Oklahoma City and Golden State last season were not pushed over by having them and teams in the tax like Miami and Brooklyn did not have to pay additional tax on theirs.

They last a calendar year at maximum – Trade exceptions last up to one year after the trade that created it was approved by the league office, unless that anniversary falls on a weekend or holiday (then the team gets until the next business day.)”

https://midlevelexceptional.com/2014/07/03/nba-salary-cap-trade-exception/

He is talking about the salary acquired through the trade.

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Just now, Dwash said:

He is talking about the salary acquired through the trade.

Thank you Dwash. I thought that went without saying but evidently it didn't.

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38 minutes ago, PutARingOnIt#GrizzFan said:

basically put it...we can trade for a player who salary is with 25mil without having to send any players back to match salaries.

Yes, but it won't happen. Grizzlies now have 2 picks they have to sign, should be around 11 mil or so, JV and Delon possibly being re-signed, won't be far enough below the luxury tax. Trades will be needed if JV and Delon get re-signed because that would be 16 players under contract. The Grizzlies will not go over the luxury tax. They can't or they lose the small market revenue sharing money.

The OP thinking that we should be looking for the Grizzlies to get "Whiteside, Adams,... with a first round pick attached" is pure fantasy.

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Agree with father pat. It counts for sure for luxury tax. For the rest, the move can be great and is a first necessary strep in the process. We will have big space in one yer after Chancre contract is over.  TRhis year will be a good building process, teach the youngs guys to play and get better and next year we can have a real competitive team. 

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1 hour ago, Father Pat said:

Yes, but it won't happen. Grizzlies now have 2 picks they have to sign, should be around 11 mil or so, JV and Delon possibly being re-signed, won't be far enough below the luxury tax. Trades will be needed if JV and Delon get re-signed because that would be 16 players under contract. The Grizzlies will not go over the luxury tax. They can't or they lose the small market revenue sharing money.

The OP thinking that we should be looking for the Grizzlies to get "Whiteside, Adams,... with a first round pick attached" is pure fantasy.

If they renounce JV I think there's space there would be no point in having JV and Adams. There's about $72m in guaranteed money at the minute plus I think around $10m for the draft picks. 

Then there's a $25m cap hold for JV and $7.6m for Delon. 

So a rough (and possibly wrong) calculation would be about $20m in cap room and $52m under the cap if they renounce JV but sign Delon at around his cap hold and let Bradley and Korver go.

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10 hours ago, Parsons_Refund said:

Don’t listen to him.  He doesn’t know anything about the money side of basketball.  Trade exceptions don’t count against the luxury tax.  

Ha I didn't even see this  but looks like I was right and u are just copying and pasting stuff from Google we have a guy for contract related matters @fanboyslim so if you aren't 100% sure I don't suggest calling posters out on their knowledge of things related to the Grizz cause I have seen the Grizz let TPE'S expire cause using them would send them over the line.

Just because you have a tpe big enough to absorb a salary you still need to have room under the cap to bring it in. So like I said next summer when the contracts start to fall off it will be a good opportunity to use it cause they will have more cap space.

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My question is

Can we get Heat or Celtics or even Wolves involved the trade so we get bad contracts and move into the lottery?

 

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6 hours ago, VikingWarrior said:

How long is the TPE “valid” for ? We have some serious salaries coming off the books .....

1 calendar year past the transaction. So in this case, the deal will happ July 6 so this TPE will expire July 6, 2020. We already have a trade exception on the books that we haven't used yet. 

TPE can be tricky. From what I remember, you can't package it with another player to take back extra salary- for example, we can't package the TPE and Slo Mo to bring back  a $34 mil player. The TPE is a single transaction where you can take back player(s) salary equal to the TPE only. We'll see if the Grizz even use it.

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10 hours ago, FrenchGrizzlies said:

Agree with father pat. It counts for sure for luxury tax. For the rest, the move can be great and is a first necessary strep in the process. We will have big space in one yer after Chancre contract is over.  TRhis year will be a good building process, teach the youngs guys to play and get better and next year we can have a real competitive team. 

Careful there. Saying stuff like that will get you accused of "trying to spread fake news to start your own anti-Kleiman cult"! 😄

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