After verbally agreeing to a contract offer with the Dallas Mavericks, free agent DeAndre Jordan is seemingly having second thoughts and will meet with his former team, the Los Angeles Clippers. On the surface, it might appear that Jordan can make a lot more money by re-signing with the Clippers, but the difference is actually not that great.
While the final salary cap figure for the 2015-16 season has yet to be set, teams are working under the assumption that it will be $67.1 million. As a player with seven years of experience, Jordan is eligible for a max contract with a starting salary that is 30% of the salary cap, or about $20.1 million. With the Clippers, Jordan can sign a five-year deal with annual raises of 7.5% worth approximately $116.9 million. With the Mavs, Jordan can sign a four-year deal with annual raises of 4.5% worth about $86.1 million.
The difference after four years is less than $4 million. That difference likely goes away completely with the lack of state income tax in Texas. According to Darren Rovell and Robert Raiola, the overall difference in the two deals drops from more than $29 million to about $12 million based just on taxes.
BusinessInsider.com