Timberwolves' Updated Salary Cap After Naz Reid's Rumored $125M Contract

The Minnesota Timberwolves reportedly handed Naz Reid a hefty new contract on Friday.

According to ESPN's Shams Charania, Reid signed a five-year deal worth $125 million with the Timberwolves. He declined a $15 million player option for his 2025-26 campaign before agreeing to the new contract.

Minnesota now has $206 million in total salary and is projected to be $1.8 million below the second apron after signing Reid, per ESPN's Bobby Marks.

The Timberwolves also have an expected luxury tax bill of $23 million (via Marks).

Reid has developed into a key rotation piece in Minnesota since the team acquired him as an undrafted free agent in 2019.

After winning Sixth Man of the Year honors in 2024, he averaged a career-high 14.2 points, 6.0 rebounds and 2.3 assists per game while shooting 46.2 percent from the field and 37.9 percent from three-point territory during his 2024-25 campaign.

Reid has also helped the Timberwolves make the Western Conference Finals in each of the past two seasons, recording 9.9 points and 4.0 rebounds in 21.9 minutes per game on 47.6/38.1/76.2 shooting splits during his playoff career.

Minnesota will now look towards figuring out the future of Julius Randle and Nickeil Alexander-Walker. Randle owns a $30.9 million player option for the 2025-26 season, while Alexander-Walker is headed towards unrestricted free agency.

With the Timberwolves on the verge of an NBA Finals appearance in both 2024 and 2025, their front office is making sure to keep the team's core together and remain a contender in the Western Conference.