LAS VEGAS – Jalen Brunson had the prospect to sign the second nine-figure contract of his profession, but was unavailable.
Negotiations on a possible contract extension, for those who may even call it that, couldn't begin until midnight ET on Friday, but long before he heard any legal jargon, the All-Star point guard was in a position to guess his team's offer.
The New York Knicks were near giving Brunson every thing they might, although the deal wouldn't have been appropriate for a player of his caliber.
The team could only pay Brunson a limited amount and was forced to sign a contract that paid him far lower than one he could sign if he waited until the free agent period in 2025 after which prolonged his contract.
Brunson had decided long before he was eligible to play that he desired to stay in New York, that he had fallen in love with the franchise, that he valued the safety of a dollar today over several dollars tomorrow, that he desired to proceed playing for head coach Tom Thibodeau and his Villanova buddies, and that he hoped to compete for a title with a team that sees itself as a title contender next season and beyond.
But when Friday got here, Brunson had more essential things to do.
Instead of specializing in business, Brunson hung out along with his good friend and teammate Josh Hart. He was so wanting to proceed hanging out along with his team that he held off on renewing his contract… because he was too busy hanging out along with his team.
Build him a statue 🥲
— Josh Hart (@joshhart) July 12, 2024
Brunson signed the contract extension on Friday afternoon, a historic moment for the Knicks. No one else in league history has re-committed to a franchise in this manner.
The contract extension pays him $156.5 million over 4 years, $113 million less guaranteed than he would have received had he waited until free agency. No player has ever left that much money on the table – especially not one within the early stages of his prime.
The most famous cases of major discounts within the NBA involved players who were already receiving huge salaries. Dirk Nowitzki accepted a three-year, $25 million contract to return to the Dallas Mavericks in 2014. He could have made almost 4 times as much if he had desired to, but Nowitzki was already in his mid-30s. Tim Duncan cut his salary so he could play endlessly with the San Antonio Spurs, but by that time he was already a longtime veteran.
Brunson is selecting the cheaper contract today fairly than becoming a free agent in a 12 months when he can be eligible for a maximum contract valued at $269.1 million over five years.
There was a financial argument for why it was value committing the cash. Brunson valued the safety that a contract extension would supply. That's still more cash than many CEOs make in a lifetime, so he might as well insure against injury.
By signing a contract extension now, he can even be eligible for his next contract extension a 12 months sooner than if he had waited until free agency to sign the five-year deal. Those extra one year might be significant.
But there's a reason this moment is so notable. The Knicks at the moment are back in motion in an era that will likely be dominated by a punitive collective bargaining agreement that may limit the flexibleness of any extremely expensive team.
From a purely financial standpoint, Brunson just did the most important financial favor in NBA history.
And it's not close.
He signed with one priority in mind: He should take every reasonable measure to get to the ring. The Knicks can now look forward knowing they’ve Brunson under a team-friendly contract through no less than 2028. His latest deal takes effect for the 2025-26 season and he has a player option for the ultimate 12 months. It comes with all of the bells and whistles, including a 15 percent trade kicker, a league source said.
New York's hopes of staying under the dreaded second apron not only in 2024-25, but the next season and possibly beyond, just became much more realistic. The Knicks, who traded five first-round picks (including 4 unprotected) for Mikal Bridges earlier this offseason, already imagine their title window is open. Brunson's contract extension has pushed the glass even higher, especially through 2026.
Bridges is on a bargain contract until then, making $23.3 million this season and $24.9 million afterward. Brunson will make about $34.9 million in the primary 12 months of his deal, while the Knicks will spend $153.2 million on nine players: Brunson, Bridges, Hart, OG Anunoby, Mitchell Robinson, Donte DiVincenzo, Miles McBride, Pacome Dadiet and Tyler Kolek. The second half of the 12 months is predicted to be about $207.8 million.
A salary cap below $207.8 million would give the Knicks beneficial resources, but in the event that they go over that limit, they’ll say goodbye to the mid-level exception, the power to make most trades, and more.
Brunson could get a likelihood to earn back many of the money he gave up. As detailed earlier this week, the 2028 contract extension will make him a free agent after his tenth 12 months within the NBA. He will likely be eligible for the very best max contract a player can get, value a projected $417 million over five years. If Brunson were to sign that deal, salary increases in 2028-29 and 2029-30 would fill the gap.
But the 12 months 2028 remains to be 4 years in the longer term. Nobody knows what’s going to occur by then.
Players get injured. They regress. Small point guards like Brunson are historically more vulnerable to such mishaps. For whatever reason, the Knicks could slack off by then and judge to go in a distinct direction. They could hire a brand new front office or a brand new coach. This is the NBA, where sweeping changes can occur overnight, let alone 4 years.
There's no guarantee Brunson will get that a reimbursement. But after all, he didn't do it to get wealthy. He did it to present his team the perfect likelihood to win.
image credit : www.nytimes.com