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Report: NBA Salary Cap, Luxury Tax, 1st and 2nd Apron Levels Revealed for 2025-26

Joseph ZuckerMar 25, 2025

The NBA provided updated salary-cap projections for the 2025-26 season to its 30 teams, with the cap climbing to $154.6 million, according to ESPN's Bobby Marks.

That would be a $14 million increase from this year.

Marks also provided the luxury-tax projections, which start at $187.9 million:

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Ahead of the 2016-17, the NBA's salary cap famously spiked, climbing from $63 million to $84.7 million, thanks to additional revenue from media rights deals. A lot of contracts signed that offseason became big overpays with spending levels quickly normalizing. Players who hit free agency starting in 2017 suffered the consequences.

The NBA and players' union made sure to avoid a similar problem in anticipation of new media rights deals that would mean another influx of cash coming into the league.

The current collective bargaining agreement stipulates the salary cap can only increase by up 10 percent from year to year. The newest projection from Marks represents the maximum figure allowable through the CBA.

Despite the cap going up, fans shouldn't expect a free-agency bonanza this summer.

With the limit set at $154.6 million, Spotrac estimates that 11 teams can realistically get under the cap. Of that group, only the New Orleans Pelicans, Detroit Pistons and Brooklyn Nets could have $20 million or more to spend.

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