The Miami Heat will be eligible on Saturday to sign a free agent to a prorated minimum contract without crossing the luxury-tax threshold, but a league source told the Miami Herald the front office does not plan to fill its final roster slot in the immediate future.
Team officials prefer to keep both roster and salary-cap flexibility for potential trades before February’s deadline or for late-season additions, the source said. Miami currently has 14 players on standard contracts, with only rookie guard Pelle Larsson (ankle sprain) and guard Terry Rozier (administrative leave following his arrest in a federal gambling investigation) unavailable for game action.
The club is $1,606,363 under the tax line. Signing a veteran to a minimum deal on Saturday would carry a $1,596,834 cap charge, a figure that will fall by more than $13,000 each day the Heat wait. Holding the roster spot open also allows Miami to absorb roughly $1.6 million in additional salary in any in-season trade without triggering the tax.
The luxury-tax line is not a hard cap, and the Heat could choose to exceed it and attempt to move back below later. However, avoiding tax payments this season is considered critical because the organization was a taxpayer in each of the past two years and hopes to steer clear of repeater penalties.
Rozier’s $26,643,031 salary for 2025-26 is guaranteed for $24,924,126. Waiving him on or before Jan. 7, the league-wide salary-guarantee date, would create an additional $1.7 million of room below the tax. Two obstacles remain: the NBA has not clarified whether Miami can trade or release Rozier while he is on leave, and the Heat would have to return to at least 14 standard contracts within two weeks of any such move, reducing potential savings.
Meanwhile, the Heat plan to send a representative to Rozier’s arbitration hearing next Wednesday, according to the South Florida Sun Sentinel. The session, which involves the NBA and the National Basketball Players Association, will determine whether Rozier is entitled to receive his salary while away from the team. His paychecks are currently being held in an escrow account.
Source: Hoops Rumors
