The NBA’s decision on how to restart its season will have rippling effects across the league in many aspects that few would consider. One of the biggest financial impacts will come in the form of contractual bonuses tied into performances in dozens upon dozens of players deals.
ESPN’s Bobby Marks detailed how the league may address the issue of 82-game performance incentives when the league will likely play less than 70 games this season:
Sources told ESPN that the most likely outcome will be similar to how the league handled bonuses during the lockout-shortened season in 2011-12. Contract incentives initially intended for 82 games were prorated to account for the 66-game season. For example, a player with a $500,000 bonus in his contract for playing in 70 games qualified for the bonus if he played in 56 games. However, performance bonuses based on averages — such as shooting percentages — were not adjusted.
Specific to the Pelicans, Jrue Holiday could see some fairly large bonuses come down to minute details. According to Marks, Holiday has incentives – all worth $255,000 – tied to games played (66), minutes (2,075), assists per game (7.3) and rebounds per game (3.15).
Currently, Holiday has played 55 games. Prorated to a 70-game schedule, he would need to play 56 games to qualify. Holiday missed nine games in total this season with various minor injuries.
He’s also played 1,922 minutes. He needed only to play 1,771 minutes, meaning he far cleared the mark. In terms of assists, Holiday is at 6.9 per game, well below the mark needed. His 4.9 rebounds per game, though, are well above the mark needed.
Therefore, based on the season ending without another regular season game being played, the likely outcome will see Holiday earn $510,000 of his possible $1,020,000 in incentives while missing out on an additional $255,000 by just one game played.
