Pacers offseason primer: Time for one more significant addition? (2024)

With All-Star lead guard Tyrese Haliburton having been tied into a maximum-value extension prior to the startof last season, with Aaron Nesmith having signed one of his own for a flat $11 million per annum in each of the next three seasons, and with Myles Turner having signed a rare renegotiation-extension in January 2023, the Pacers have three big pieces tied into contracts. The trio combine for a price of approximately $63 million, a fair price for their services, and a plethora of rookie scale contracts in Jarace Walker ($6,362,433), Bennedict Mathurin ($7,245,720), Ben Sheppard ($2,664,031) and Isaiah Jackson ($4,435,380) help keep the overall costs down.

There is however one obvious and glaring exception. Siakam – their All-Star big man, their leading scorer, their big mid-season acquisition and the man who raised both their floor and their ceiling – is destined to hit unrestricted free agency this summer, barring an extension. And if he does so, he will be one of the best players in a weak market.

Beyond that, however, the Pacers should have relatively good continuity heading into next season, with only some of their bench frontcourt depth hitting the market. There are no bad contracts, there are no ways to really create bad contracts, the expiring deals of Doug McDermott and the long-departed Daniel Theis create significant extra breathing room on the cap sheet, and in Haliburton, they have a superstar every free agent in the world will benefit from playing alongside.

Perhaps it is time, then, for another big acquisition.

Because of Siakam’s expiring contract, the Pacers have a good amount of freedom to operate under the punitive measures preventing excessive spending; the luxury tax and the two “aprons”. Even once Siakam’s presumed maximum value new contract is added to the books, the absence of bad contracts and dead cap mitigates the danger.

That said, Siakam’s maximum cap hold prevents cap space aspirations, unless he were to leave. There therefore exists no realistic path to the Pacers having cap space. Consequently, they are likely to operate in the mid-range area, where they can use their exceptions without fear of reprisal, and keep who they want to keep.

• Unrestricted free agent

When the Pacers traded for Siakam from the Toronto Raptors back in February, they did so knowing that his free agency was coming. The possibility of an extension and thus no free agency at all technically exists, but is not foreseeable; now aged 30 and entering the back nine of his career, Siakam has one enormous payday left in him, and would be best served

It does however follow that the Pacers would only have made the move for Siakam were they willing to re-sign him for a high price point, and in all likelihood, the max. The Raptors did not think that was worth the price of business; Indiana, clearly, does. And were they not confident they could re-sign him, the deal would not have been made either.

• Restricted free agent

Acquired from the Knicks prior to the start of the season for the low cost of merely two 2028 second-round picks, Toppin had a career-best campaign and was an important sixth man for the Pacers. Playing all 82 regular season games, with 28 starts, he averaged the first double-digit scoring average of his career, and shot a career-best 40.3 percentfrom doing so.

Entering the free agency market for the first time, Toppin will be a 26-year-old 6-foot-9 multi-positional floor-stretcher. It is an intriguing combination, and one likely to yield more on the market than the tiny redraft price that the Pacers got him for. Toppin’s nightly impact is not as consistent as his attendance, and he is still prone to lapses and questionable judgment on both ends of the court, yet his corner three-point shooting is an asset to a passer like Haliburton. Returning for the qualifying offer amount seems fair, perhaps with years attached.

• Unrestricted free agent

Indiana re-acquired McDermott at the trade deadline as a part of the Buddy Hield deal, and it was assumed that he would be a part of their forward rotation down the stretch of the season. However, he has been on the very peripheries of the rotation, in a way unbecoming of his substantial $13,750,000 salary.

If there is to be a continuation of McDermott’s time in Indiana, the minimum salary seems more fitting and reflects both his position deep down the bench and his advanced years. Then again, considering the premium placed on shooting, he may earn a taxpayer mid-level Exception amount (circa. $5 million) elsewhere on the market.

• Unrestricted free agent (player option)

Like Toppin before him, Smith’s arrival in Indiana as a “redraft” player was successful, and he has just completed the second season of the three-year, $15,131,319 contract he signed in the 2022 offseason. For the 9.9 point per game regular season averaged he returned, it has been a great price.

That said, Smith was squeezed out of much of the playoff run in deference to some small ball lineups that were deemed preferable, even with the rebounding disadvantage. And while they ultimately did not come to anything, rumors abounded at the deadline that Smith was likely to be moved on. If so, he will have suitors, but with the player option, he seems more likely to opt out and walk.

• Entering fourth year of rookie scale contract

Backing up Myles Turner, Jackson has made incremental improvements across his three years in the NBA, and while the Pacers’ renewed commitment to Turner (and Jackson’s inability to realistically play alongside him) means there is no path to the starting job on the roster as constructed, he is nevertheless performing well in his reserve role.

In 59 regular season games, Jackson averaged 6.5 points, 4.0 rebounds and 1.0 blocks in only 13.1 minutes per contest, with a physical profile that can occupy a lot of space and good discipline to stay within his limitations. The backup center spot behind two established and cemented-in bigs is not a priority, and perhaps Jackson’s best value is in a trade package. Yet if he was willing to sign an extension for a small increase on his rookie scale salary, it is something the Pacers should consider. Although it may come down to a choice between him and Smith.

Players rostered: 11, including one player option

Two-way players: None

Guaranteed salaries: $105,456,907

Non-guaranteed salaries: $2,120,683

Total salary: $107,577,590

Projected 2024/25 salary cap amount:$141,000,000

• Salary cap space: None

Projected 2024/25 luxury tax threshold:$171,345,000

• Luxury tax space:Plentiful

Projected 2024/25 first apron threshold:$178,655,000

• First apron space:Plentiful

Projected 2024/25 second apron threshold:$189,486,000

• Second apron space:Extremely plentiful

Spending options:

• Non-taxpayer Mid-Level Exception, $12,859,000 (projected)
• Bi-Annual Exception, $4,681,000 (projected)
• Buddy Hield trade exception, $159,471 (expires February 10 2025 and functionally useless)

2024-25 salary: $35,250,000 (* estimated amount, due to the exact maximum salary determination not being made until the July moratorium)

Remaining salary guaranteed: $204,450,000 through 2028-29 (* as above)

Additional notes:

• Can receive a contract starting at 30% of the 2024/25 salary cap via the “Rose Rule”
• Has a 15% trade kicker

2024-25 salary: $19,928,500

Remaining salary guaranteed: $19,928,500 through 2024-25

2024-25 salary: $11,000,000

Remaining salary guaranteed: $33,000,000 through 2026-27

2024-25 salary: $9,300,000 (only $5 million guaranteed)

Remaining salary guaranteed: $5,000,000 through 2024-25

Additional notes:

• 2024/25 salary is only $5 million guaranteed, becoming fully guaranteed if not waived on or before the day after the 2024 NBA Draft
• Extension-eligible immediately

2024-25 salary: $7,245,720

Remaining salary guaranteed: $7,245,720 through 2024-25

Additional notes:

• Has a $9,187,573 team option for 2025/26

2024-25 salary: $6,362,433

Remaining salary guaranteed: $6,362,433 through 2024-25

Additional notes:

• Has a $6,665,406 team option for 2025/26
• Has a $8,478,396 team option for 2026/27

2024-25 salary: $5,417,386 (player option)

Remaining salary guaranteed: $5,417,386 through 2024-25

Additional notes:

• Has a 10% trade kicker
• If he opts in, extension-eligible after July 6.

2024-25 salary: $4,435,380

Remaining salary guaranteed: $4,435,380 through 2024-25

Additional notes:

• Rookie scale extension eligible

2024-25 salary: $2,664,031

Remaining salary guaranteed: $2,664,031 through 2024-25

Additional notes:

• Has a $2,790,869 team option for 2025/26
• Has a $5,031,973 team option for 2026/27

2024-25 salary: $2,120,693

Remaining salary guaranteed: Zero

Additional notes:

• 2024/25 salary is fully unguaranteed, becoming $250,000 guaranteed if not waived on or before opening night, and thereafter has no other guarantee dates
• Has a $2,301,587 team option for 2025/26
• Even with the team option, 2025/26 salary is fully unguaranteed, becoming $271,325 guaranteed if not waived on or before opening night, and thereafter has no other guarantee dates

2024-25 salary: $2,019,699

Remaining salary guaranteed: $2,019,699 through 2024/25

Additional notes:

• Has a $2,187,451 team option for 2025/26
• Extension-eligible after July 22.

Cap hold: $49,261,430 (* estimated amount, due to the exact maximum salary determination not being made until the July moratorium)

Type of free agent:Full Bird (unrestricted)

Additional notes:

• Extension-eligible until June 30.

Cap hold: $20,625,000

Type of free agent:Full Bird (unrestricted)

Additional notes:

• Extension-eligible until June 30.

Cap hold: $20,409,036 (qualifying offer amount of $7,744,600; reduced from $9,170,460. due to not meeting starter criteria)

Type of free agent:Full Bird (restricted)

Cap hold:$2,093,637

Type of free agent:Early Bird (unrestricted)

Cap hold:$1,867,722

Type of free agent:Non Bird (restricted)

Additional notes:

• Gilbert Arenas clause is applicable.

Cap hold:$1,867,722

Type of free agent:Non Bird (restricted)

Additional notes:

• Gilbert Arenas clause is applicable.

Cap hold:$1,867,722

Type of free agent:Non Bird (restricted)

Additional notes:

• Gilbert Arenas clause is applicable.