With the flurry of moves over the last few days, it's worth taking a few minutes to look over the 76ers salary cap situation.
First, the moves that have gone into this calculation, and a couple of assumptions being made:
- Spencer Hawes has agreed to a 2 year, $13 million deal. For the basis of this calculation, I'm assuming his contract is a flat deal with a $6.5 milion cap hit. This could obviously flip a couple hundred thousand dollars if it escalates his second year. Hawes has around a $7.5 million cap hit until he's signed/renounced, so they would want to complete this deal as early on July 11th as possible.
- Lavoy Allen signed a 2 year, $6 million deal. Again, I'm going to assume a flat contract, but if it escalates that could save the Sixers a hundred thousand dollars or two right now. Despite Allen's cap hold (~$962k) being significantly less than his signed contract, the Sixers cannot gain flexibility by holding off on Allen's new contract because if they go over the cap they will not have an exception to sign him with.
- Louis Williams has announced that he has parted ways with the 76ers. This cap figure assumes they've renounced his rights. It's likely they didn't, but if they get to the point where they've agreed in principle with a free agent, doing so is only a formality. This is all academic right now as nobody can officially agree to terms until the 11th, so renouncing his bird rights wouldn't help the Sixers right now anyway.
- The Sixers have used the amnesty provision on Elton Brand, clearing his full $18 million + contract off of their salary cap calculation. They will pay the remainder of that $18 million over what he is signed for during the bidding process. For example, if somebody signs Brand to $5 million for next season, then the Sixers pay roughly $13 million of Brand's salary.
- The Sixers have agreed to terms on a 1 year, $6 million deal for Nick Young.
By my calcuation, that leaves the Sixers at just over $50.5 million committed to 10 players for 2012-2013: Andre Iguodala, Thaddeus Young, Nick Young, Evan Turner, Spencer Hawes, Jrue Holiday, Lavoy Allen, Nikola Vucevic, Moe Harkless, and Arnett Moultrie.
Assuming a $60 million cap figure, that leaves the Sixers with around $9 million or so in cap space left to spend. After going over the cap, they would still have the possibility of using minimum salaries to fill out the remaining roster spot(s).
The Sixers have reportedly turned their attention to Ersan Ilyasova. Of the rumored potential candidates (mainly, Kris Humphries and Ilyasova), Ilyasova is one of the targets I would support. The 4th year player from Turkey averaged a career best 13 points per game with 8.8 rebounds, while shooting 45.5% from three point range. He averaged 14.2 points and 8.9 rebounds in 29 minutes during 41 starts, including 16.1 points and 9.1 rebounds on 50.8% shooting from three after the all-star break.
Of course, there's still the possibility of using that financial flexibility to facilitate an Andre Iguodala trade.
On a related note, how bad does that Lavoy Allen rookie contract look right now? Had they given Allen a standard rookie contract with team options for the second year, they'd be saving roughly $2 million on his salary right now and have even more flexibility to work with. Also, because of this they either had to use a portion of their MLE to re-sign Allen or clear cap space, which they ended up doing so by amnestying Brand.
So had they given him a standard deal, they'd either have had the possibility of keeping Brand and offering Young their $5 million MLE or they would have amnestied Brand and had $2 million more in cap room to play with. Go Rod Thorn.
So far, the Sixers have avoided making long term mistakes this offseason. At the very least, with Brand, Williams, and likely Meeks out and Young, Harkless, and Moultrie in, there will be some considerable change over last years team. Had you asked me 2 weeks ago whether 3 of the teams top 7 players would be gone I probably would have taken that bet.