Report: Updated 2020-21 NBA Salary Cap, Luxury-Tax Projections Revealed

Rob Goldberg@TheRobGoldbergFeatured ColumnistJanuary 30, 2020

NBA Commissioner Adam Silver speaks during a news conference at Vivint Smart Home Arena, Wednesday, Oct. 23, 2019, in Salt Lake City. The NBA announced that Salt Lake City has been selected to host the NBA All-Star Game in 2023. (AP Photo/Rick Bowmer)
Rick Bowmer/Associated Press

The salary cap for the 2020-21 NBA season is projected to rise to $115 million after sitting at $109.1 million in 2019-20, according to Adrian Wojnarowski of ESPN.

That is slightly below the initial projection of $116 million.

The league is projected to have a luxury-tax threshold of $139 million in 2020-21, per Wojnarowski. The current threshold is $132.6 million, via Spotrac.

While the totals are lower than the initial projections, the numbers could've been worse considering the soured relationship with China following a tweet from Houston Rockets general manager Daryl Morey.

On Wednesday, Wojnarowski and Bobby Marks reported the backlash from China has cost the NBA around $150-200 million.

"The financial consequences have been and may continue to be fairly dramatic," NBA Commissioner Adam Silver said in October, per Sean Gregory of Time.

It led to a slight decrease in cap projections, which may create challenges for teams to stay under the cap.

Only a handful of teams are projected to have significant cap room, per Wojnarowski and Marks, while teams such as the Boston Celtics, Brooklyn Nets, Golden State Warriors, Houston Rockets and Philadelphia 76ers are projected to be above the luxury-tax threshold.

Still, with players like Anthony Davis and Brandon Ingram set to become free agents, teams will figure out how to make room for them.

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