Examining Heat's Salary Cap, Decisions for 2023 NBA Free Agency After Finals Loss

After losing Game 5 of the NBA Finals and the championship to the Denver Nuggets on Monday, the Miami Heat must now turn their attention to the offseason where major financial decisions await them.

According to Spotrac, not only is Miami facing a $19 million luxury tax bill, but the team is also projected to be over the salary cap by a whopping $67 million. As part of the league's new collective bargaining agreement, teams that are $17.5 million over the tax threshold are significantly restricted in their roster flexibility.

Heat star Jimmy Butler will count for the biggest number on the books, as his three-year extension kicks in at the start of the 2023-24 season. He's set to earn an estimated $45.2 million in the first year of his new deal.

The 33-year-old proved himself to be Miami's most important player during his impressive postseason run, but he's played in less than 65 games in each of his four seasons with the franchise.

Most of Miami's core will remain intact, with Tyler Herro, Bam Adebayo, Kyle Lowry and Duncan Robinson all signed for next season. The Heat are paying steep prices for each of them, so perhaps they will look to restructure some deals in order to create some cap room.

Miami will also have a few key free agents to decide on, such as swingman Max Strus.

Rising point guard Gabe Vincent, who started nearly every playoff game this season, is also set to hit the open market.

Veteran forward Kevin Love will be an unrestricted free agent, too, though he looked like a solid fit in his brief time with the Heat and could look to stay put as his career winds down.