NBA franchises have until 4 p.m. Central Time on Friday, Aug. 29, to waive a player and apply the league’s stretch provision to any guaranteed salary that hits the books in the 2025-26 season.
The current collective bargaining agreement requires a player to clear waivers by Aug. 31. Because the waiver process lasts 48 hours, clubs must submit the paperwork no later than Friday afternoon for the stretch option to remain available.
Under the stretch rule, a team can distribute a player’s remaining guaranteed salary across twice the number of years left on the contract, plus one additional season. The mechanism reduces short-term cap and tax charges but creates smaller “dead-money” payments in future years.
Notable stretch moves this summer
- Damian Lillard, Bucks: $112.6 million converted into roughly $22.5 million per year through 2029-30
- Bradley Beal, Suns: $96.9 million turned into about $19.3 million annually through 2029-30 after a buyout
- Cole Anthony, Grizzlies: $11.1 million spread into nearly $3.7 million per year through 2027-28
- Vasilije Mičić, Bucks: $2 million trimmed to roughly $667,000 per year through 2027-28
Milwaukee and Phoenix used the provision to lower luxury-tax obligations and avoid the second apron, while Memphis cleared room for additional roster moves.
Teams that miss Friday’s deadline can still negotiate buyouts later in the season, but any fully guaranteed 2025-26 salary on a contract waived after Aug. 29 will remain unchanged on that year’s cap sheet. Executives working near the luxury-tax line or either apron have limited time to restructure payrolls before the option disappears.
No league-wide wave of roster cuts is expected, yet front offices mindful of future cap flexibility have one final opportunity to act.
Source: Hoops Wire
