If the Celtics strike out in free agency, however, they could renegotiate-and-extend his deal this summer. I think there's a decent chance they go that route if Hayward et al. dont choose Boston.
Would you please explain what you mean by re-negotiate?
It's when you use cap space to extend a players contract. If a player signed a 4 year deal, they can renegotiate it after the 3rd year. Strictly different to an extension. It's what Westbrook and Harden did last summer.
We could renegotiate IT to the 0-6year max this summer, $25.5m I believe, giving him a massive boost in salary next year to offset the lower salary in subsequent years. It makes more financial sense for him than waiting to get the max next year imo, it would mean he'd be eligible for the 10 year max when he next became a free agent.
Right. The salary cap is projected to be $101 million for next season, and $103 million the following season. The Celtics could offer IT a 5-year contract this summer, starting at the 0-6 max of $25.25 million. Alternatively, IT could play out his contract and sign with another team for the 7-9 max in 2018 (5% raises), or the 7-9 max with the Celtics in 2018 (8% raises). Here's how the choices play out:
1) IT plays out his contract, signs a max elsewhere next summer -- $132.9 million new contract over four years, $139.1 million over 5-year period.
2) IT plays out his contract, signs a max with Celtics -- $138.4 million over four years of new contract, $144.6 million over 5-year period.
3) IT renegotiated his contract this summer, signing a 5-year max at the 0-6 experience level -- $121.2 million over the four years of free agency he foregoes, and $146.5 million over the 5-year period.
In other words, we see that if IT signed a max this summer, he would get paid more than he would waiting a year and signing a max at a higher per year salary. At the same time, the Celtics could save over $17 million during the 4-year max period, or about $4 million per year, giving them a little more wiggle room with the luxury tax. It's even possible that there's negotiating room, such that IT could be paid a little bit under the 0-6 max, or given slightly smaller raises, so that he winds up with the same total 5-year salary in situations 1 or 2. I don't think that happens myself -- the NBA standard is that you give All-NBA players in their 20s the most you can give them, but again, it at least creates a bargaining position.