Rookie max extensions for Jalen Williams and Chet Holmgren have triggered a financial crunch, forcing Sam Presti to navigate restrictive trade aprons and a looming $208 million tax bill.
Oklahoma City ducked the luxury tax and first apron this season, but its financial bliss is now over because rookie max extensions for Jalen Williams and Chet Holmgren officially begin. They will jump from a combined $20.3 million in salary this season to $82.5 million next season.
As a result, the Thunder are currently $28.5 million above the projected 2027 second apron threshold. How will Oklahoma City’s financial situation impact their offseason moves?
First, it’s important to understand the restrictions they face. First apron teams are not allowed to receive more salary than they send out in trades. The same restriction applies to second apron teams, but they also cannot send out multiple players in the same trade.
For example, if the Thunder want to trade for a player who earns $12.2 million next season, then they must send back one player who earns at least this much money. The other team also cannot be an apron team unless the salaries match exactly because they would be receiving more salary than they shed. This restriction limits Oklahoma City’s potential trade partners significantly.
It also prevents the Thunder from acquiring a player who earns more than their biggest contract. Williams and Holmgren pace the roster at $41.2 million each next season, so Sam Presti cannot legally target anyone with a higher cap hit, like Giannis Antetokounmpo ($58.4 million), as long as Oklahoma City is above the second apron. If they desperately desire the 2x MVP (they don’t), then Presti needs to dump enough salary to change from a second apron to a first apron team. This maneuver allows the Thunder to aggregate contracts in trades and thus combine enough salary to reach Antetokounmpo's $58.4 figure.
The Thunder are $28.5 million above the second apron, so it would be very difficult to shed enough salary and still retain their big three, Isaiah Hartenstein and Alex Caruso. Essentially, look for Oklahoma City to remain a second apron team for the 2027 season and be subject to heavy trade restrictions.
But this doesn’t mean Presti will not dump salary. The franchise’s luxury tax bill is currently projected to be a monstrous $208.2 million. If Oklahoma City declines Luguentz Dort’s $17.7 million team option and replaces him with the 12th overall pick, then it could save in the ballpark of $65 million. It’s a drastic figure because there are huge multipliers on dollars that are well above the luxury tax threshold.
Overall, the Thunder’s financial situation likely leads them to shed some salary and not be too active on the trade market this offseason.
