Cutting Richard Jefferson would cost Cavs $10 million due to luxury tax

Cutting Richard Jefferson would cost Cavs $10 million due to luxury tax

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Cutting Richard Jefferson would cost Cavs $10 million due to luxury tax

Now that Dwyane Wade is officially on the Cleveland Cavaliers, veteran Richard Jefferson may be the odd man out.

Jason Lloyd of The Athletic notes that Jefferson is a “likely candidate” to lose his spot with Cleveland.

While a potentially necessary evil, it would not be a cheap decision for the organization (via Hoops Rumors)

“Jefferson, 37, has a $2.5 million contract, but if he’s released it will cost the club approximately $10.5 million in luxury taxes since it is a repeat offender, Lloyd points out. A second-round pick may have to be packaged to move Jefferson, Lloyd adds.”

According to the report, it would cost over $10 million for the Cavaliers to just release Jefferson due to the luxury tax penalty.

If they were to instead trade him, they’d likely need to include a future second-round pick for a team to agree to take on the 37-year-old veteran. Would it be worth it to not pay the luxury tax penalties of just releasing him?

One potential suitor could be the Lakers. Jefferson is longtime friends with head coach Luke Walton. The two played college basketball for Arizona together and Jefferson lives in the greater Los Angeles area.

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