The Washington Wizards recently elected to waive Martell Webster and in conjunction simultaneously utilize the stretch provision on his remaining salary, triggering the following:
1.Since Webster was stretched after August 31, his $5,613,500 salary for this season (fully guaranteed) stays on team salary in its full, actual amount. The waiver gives Washington a roster spot to add a 15th player, which they reportedly did with Ryan Hollins on a rest-of-the-season contract.
2.Webster had 1 year left on team salary after this season, $5,845,250 in 2016, but that salary had a partial guarantee structure of $2.5M and would have become fully guaranteed if he was not waived on/before July 1st, 2016 or if Webster played 180 games in the ’13, ’14 and ’15 seasons combined (the latter was taken from Mark Deeks’ team salary page at shamsports.com prior to removal, and it should be noted that Eric Pincus of BasketballInsiders has that figure at 70 games this season instead of the 180 games combined). Abiding by Deeks’ figure, I had Webster at 122 tallied games, and thus in need of 58 games this year to fully guarantee his salary for 2016. Regardless, he failed to meet that benchmark, resulting in a partial guarantee of $2.5M in 2016.
3.In accordance with the stretch provision as outlined in #1 above, being a post August 31st waiver, Webster’s remaining salary will be stretched over two times the remaining years plus one, the remaining years starting in 2016. Thus, Webster’s $2.5M salary in ’16 will be stretched over the 2016/17, 2017/18 and 2018/19 seasons in yearly installments of $833,333.33.
4.In accordance with the following 2016 cap sheet, the Wizards now have $37,691,854 committed to 4 guaranteed salaries and Webster’s stretched amount. Factoring in Beal’s $14,236,685 free agent amount cap hold, the 100% scale cap hold for the projected 11th pick in the draft (Washington’s current draft slot) and 7 $543,471 minimum roster charges, the Wizards have a realistic salary total of $55,732,836 and max cap room of $33,267,164 to operate with (assuming all other players/cap holds are renounced) under the projected $89M ’16 cap.