Published on August 8, 2019 by Connor Wolf  

According to statista.com, the average NBA franchise is valued at 1.868 billion dollars in 2019.  The value of these franchises, and the league as a whole, have been rapidly increasing in recent years.  As the popularity of the sport rises, so does the value of the NBA, followed by the value of each franchise.  Below is a graph that represents the average value of NBA teams since 2001.

Average Franchise Value

As we can see from the graph, these NBA teams are making money hand over fist, and more so than ever before.  As we expect this trend to continue, we can only assume that these franchises will be worth well over two billion dollars next year, in 2020.  But how are these previously mentioned teams using their money?

One primary use of a franchise’s income is player salaries.  Just like any other business, employees must be paid fair wages for their services.  Likewise, NBA players must be paid what they, and their franchise, believe they’re worth.  This article will take a deeper look into the numbers behind how NBA teams will be paying their players in the upcoming season and how they have decided to allocate their player spending.

Part 1 – Salary Caps

On average, the typical NBA team next season will pay their players over 123 million dollars in total salaries.  To be exact, the league average in player spending next season will be $123,456,972.  This amount seems almost absurd until you look at some of the contracts that have been signed in the NBA in recent years.  As the NBA is bringing in more revenue than ever before, about 8 billion dollars in 2019, the players are also making more than ever before.

These astounding numbers, and constantly increasing revenues, raise questions about the allocation of such money throughout the league.  Questions as to which teams spend the most money on their players, how much money teams are allowed to spend on their players, and which players and positions, on average, are being paid the most.

The following graph, and corresponding table, show how much money each team will be spending on player salaries alone, for the upcoming 2019-2020 NBA season.

Active Salary Cap

Salary Cap by Team

In the graph and table above, we can see which franchises are planning to spend the least, and most, amount of money paying their players next season. 

One interesting observation to be made is about the distribution of player spending among teams across the league.  As previously mentioned, the league average for total player salaries to be paid next season is $123,456,972.  Exactly 15 teams in the league will be spending more than this average number in the upcoming season, and, therefore, exactly 15 teams will be spending less than this average number.  This shows that there are no real outliers in terms of player spending and there is a fairly normal distribution throughout the league. 

Although we find a consistent distribution among the NBA teams and their players’ salaries, we also find a pretty large difference between the highest and lowest spending teams.  The Atlanta Hawks will be spending the least amount of money in the league next season on player salaries, at $103,533,724.  In contrast, the Portland Trail Blazers will be spending the most of any team on player contracts next year, at $139,919,213.  This means that Portland will be paying $36,385,489 more to its players next year than Atlanta will.

Part 2 – Positional Pay

Out of the average 123 million dollar team salary spent on players next season, how much will each position be allocated?  The following graphs and tables will break down positional pay in the NBA to highlight which positions are actually being paid the most and which positions will make the least.

The table below breaks down the following three categories by position in the NBA for the upcoming 2019-2020 season: the average salary for a player at each position, the average total dollar amount spent on each position by a team, and the average percentage of team salary allocated to each position.

Positional Pay

Average Player Salary for Each Position

Average Player Salary by Position

The graph above shows how much the average player for each position will be paid next season.  The list of positions in order from most expensive to least expensive, on average, goes: center, point guard, small forward, shooting guard, power forward.  The average center in the NBA next season will make just over 9.6 million dollars, followed closely by point guards at just under 9.4 million dollars.  Next, we see a fairly substantial decline, as small forwards will make just over 8 million dollars and shooting guards at just over 7.1 million dollars.  Lastly, the cheapest position is power forwards, who will make around 6.5 million dollars, on average, next season.

Average Amount Spent by Team on Each Position

Average Team Spending by Position

This graph above shows how much each NBA team is allocating to each position in the 2019-2020 season, on average.  This list, from most expensive to least expensive, goes: point guard, small forward, shooting guard, center, power forward.  The average NBA team next year will be paying their point guards the most salary of any position, just under 28.5 million dollars.  Next is small forwards at 26.4 million dollars, followed by shooting guards at 25.8 million dollars.  Centers come in next at just over 22 million, on average.  Lastly, power forwards are once again the least paid position, making just over 20.3 million dollars next season.

Average Percentage of Team Salary Paid to Each Position

Average Percent Team Salary Paid

The graph above represents the percentages of team salaries allocated to each position throughout the league.  As you can see, this graph is the same as the graph that represents the average team spending per position for NBA teams next year.  The percentage of team salary is just another way to look at the distribution of pay by position.  However, I prefer to analyze the distribution of positional pay this way because I believe it is the clearest representation of how teams are spending their money.  NBA teams next season will allocate 23.1% of their salaries to point guards alone.  They then will use 21.47% to pay small forwards, followed by shooting guards at 20.98%.  Only 17.96% of salary money is used to pay centers and only 16.5% will be used to pay power forwards.

Part 3 – Point Guards

Point guards, on average, will be paid the second highest of any position next season in the NBA, per average player salary.  However, the average NBA team next season will pay their combined point guard unit more than any other position on average.  This is due to the number of point guards the average team will have signed on their roster.  As mentioned in the “Positional Pay” section of this series of articles, the average NBA point guard next year is set to make $9,389,358.  Being that there are currently 91 signed point guards in the league (3.03 per team), the average NBA team will be spending over 28.4 million dollars on this position during the 2019-2020 season.

Below you will find a table breaking down how much money each NBA team has allocated to paying their point guards’ salaries for the upcoming NBA season.  Following that is a graph showing the percentages of each team’s total salary dedicated to that position.  This graph highlights which teams will be paying their floor generals the most next year.

Point Guard Salaries

Point Guard Salary Percent

For the upcoming 2019-2020 NBA season, the average NBA team will be spending a total of $28,417,655 (23.10% of their total team salary) on their point guard unit.  There are 11 teams in the league who will be spending more than this average on their floor generals next season.  This also means that there are 19 teams in the league who will be spending less than the league average on their point guards.

The Golden State Warriors are spending the most money of any team in the NBA next season on their point guards.  They have two signed players at this position who together will be paid just over 67.5 million dollars.  On the contrary, the Denver Nuggets will pay the least amount of salary to their point guards in the 2019-2020 season.  They also have two signed players at this position, but will only be paying them just over 6 million dollars combined.  To be exact, the difference between the most and least expensive point guard units in the NBA is $61,483,781.

There are eight teams in the NBA next season who will be paying their point guards more than any other position on their roster.  These teams spending the highest percentage of their player salaries on their point guards include: the Golden State Warriors, the Oklahoma City Thunder, the New Orleans Pelicans, the Utah Jazz, the Boston Celtics, the Toronto Raptors, the Cleveland Cavaliers, and the Washington Wizards.

The highest paid point guard for the 2019-2020 NBA season will be Stephen Curry of the Golden State Warriors, who will be making $40,231,758.  Chris Paul of the Oklahoma City Thunder and Russell Westbrook of the Houston Rockets are tied for second, making $38,506,582.  The Washington Wizards’ John Wall comes in at fourth, set to make $38,199,000.  Rounding out the top five most expensive point guards for the upcoming NBA season is Kyle Lowry of the Toronto Raptors, who will be paid $34,996,296.

Part 4 – Shooting Guards

Shooting guards, on average, will be paid the second lowest of any position next season in the NBA, per average player salary.  However, the average NBA team next season will pay their combined shooting guard unit the third most of any position on average.  This is due to the number of shooting guards the average team will have signed on their roster.  As mentioned in the “Positional Pay” section of this series of articles, the average NBA shooting guard next year is set to make $7,103,915.  Being that there are currently 109 signed shooting guards in the league (3.63 per team), the average NBA team will be spending over 25.8 million dollars on this position during the 2019-2020 season.

Below you will find a table breaking down how much money each NBA team has allocated to paying their shooting guards’ salaries for the upcoming NBA season.  Following that is a graph showing the percentages of each team’s total salary dedicated to that position.  This graph highlights which teams will be paying their sharpshooters the most next year.

Shooting Guard Salaries

Shooting Guard Salary Percent

For the upcoming 2019-2020 NBA season, the average NBA team will be spending a total of $25,810,892 (20.98% of their total team salary) on their shooting guard unit.  There are 16 teams in the league who will be spending more than this average on their sharpshooters next season.  This also means that there are 14 teams in the league who will be spending less than the league average on their shooting guards.

The Houston Rockets are spending the most money of any team in the NBA next season on their shooting guards.  They have six signed players at this position who together will be paid over 59.3 million dollars.  On the contrary, the Cleveland Cavaliers will pay the least amount of salary to their shooting guards in the 2019-2020 season.  They only have two signed players at this position and will only be paying them just over 2.7 million dollars combined.  To be exact, the difference between the most and least expensive shooting guard units in the NBA is $56,614,674.

There are six teams in the NBA next season who will be paying their shooting guards more than any other position on their roster.  These teams spending the highest percentage of their player salaries on their shooting guards include: the Indiana Pacers, the Phoenix Suns, the San Antonio Spurs, the Houston Rockets, the Miami Heat, and the Portland Trail Blazers.

The highest paid shooting guard for the 2019-2020 NBA season will be James Harden of the Houston Rockets, who will be making $38,199,000.  Jimmy Butler of the Miami Heat and Klay Thompson of the Golden State Warriors are tied for second, making $32,742,000.  The San Antonio Spurs’ DeMar DeRozan comes in at fourth, set to make $27,739,975.  Rounding out the top five most expensive shooting guards for the upcoming NBA season is CJ McCollum of the Portland Trail Blazers, who will be paid $27,556,959.

Part 5 – Small Forwards

Small forwards, on average, will be paid the third highest of any position next season in the NBA, per average player salary.  However, the average NBA team next season will pay their combined small forward unit the second most of any position on average.  This is due to the number of small forwards the average team will have signed on their roster.  As mentioned in the “Positional Pay” section of this series of articles, the average NBA small forward next year is set to make $8,006,344.  Being that there are currently 99 signed small forwards in the league (3.30 per team), the average NBA team will be spending over 26.4 million dollars on this position during the 2019-2020 season.

Below you will find a table breaking down how much money each NBA team has allocated to paying their small forwards’ salaries for the upcoming NBA season.  Following that is a graph showing the percentages of each team’s total salary dedicated to that position.  This graph highlights which teams will be paying their wings the most next year.

Small Forward Salaries

Small Forward Salary Percent

For the upcoming 2019-2020 NBA season, the average NBA team will be spending a total of $26,420,934 (21.47% of their total team salary) on their small forward unit.  There are 13 teams in the league who will be spending more than this average on their wings next season.  This also means that there are 17 teams in the league who will be spending less than the league average on their small forwards.

The Los Angeles Clippers are spending the most money of any team in the NBA next season on their small forwards.  They have three signed players at this position who together will be paid just under 76.8 million dollars.  On the contrary, the Golden State Warriors will pay the least amount of salary to their small forwards in the 2019-2020 season.  At the time of this article, they do not have any signed players on their roster with the primary position of small forward.  Therefore, to be exact, the difference between the most and least expensive small forward units in the NBA is $76,758,792.

There are seven teams in the NBA next season who will be paying their small forwards more than any other position on their roster.  These teams spending the highest percentage of their player salaries on their small forwards include: the Atlanta Hawks, the Sacramento Kings, the Los Angeles Lakers, the Minnesota Timberwolves, the Brooklyn Nets, the Los Angeles Clippers, and the Memphis Grizzlies.

The highest paid small forward for the 2019-2020 NBA season will be Kevin Durant of the Brooklyn Nets, who will be making $38,199,000.  Lebron James of the Los Angeles Lakers ranks second and is set to make $37,436,858.  Tobias Harris of the Philadelphia 76ers and Kawhi Leonard of the Los Angeles Clippers tie for the third spot, and will be paid $32,742,000.  Rounding out the top five most expensive small forwards for the upcoming NBA season is Gordon Hayward of the Boston Celtics, who will be paid $32,700,690.

Part 6 – Power Forwards

Power forwards, on average, will be paid the lowest of any position next season in the NBA, per average player salary.  Likewise, the average NBA team next season will pay their combined power forward unit less than any other position on average.  Power forward is simply the cheapest position in the NBA.  As mentioned in the “Positional Pay” section of this series of articles, the average NBA power forward next year is set to make $6,549,426.  Being that there are currently 93 signed power forwards in the league (3.10 per team), the average NBA team will be spending over 20.3 million dollars on this position during the 2019-2020 season.

Below you will find a table breaking down how much money each NBA team has allocated to paying their power forwards’ salaries for the upcoming NBA season.  Following that is a graph showing the percentages of each team’s total salary dedicated to that position.  This graph highlights which teams will be paying their stretch fours the most next year.

Power Forward Salaries

Power Forward Salary Percent

For the upcoming 2019-2020 NBA season, the average NBA team will be spending a total of $20,303,220 (16.50% of their total team salary) on their power forward unit.  There are 14 teams in the league who will be spending more than this average on their stretch fours next season.  This also means that there are 16 teams in the league who will be spending less than the league average on their power forwards.

The New York Knicks are spending the most money of any team in the NBA next season on their power forwards.  They have five signed players at this position who together will be paid just under 57.9 million dollars.  On the contrary, the Brooklyn Nets will pay the least amount of salary to their power forwards in the 2019-2020 season.  At the time of this article, they do not have any signed players on their roster with the primary position of power forward.  Therefore, to be exact, the difference between the most and least expensive power forward units in the NBA is $57,898,310.

There are five teams in the NBA next season who will be paying their power forwards more than any other position on their roster.  These teams spending the highest percentage of their player salaries on their power forwards include: the Chicago Bulls, the New York Knicks, the Dallas Mavericks, the Milwaukee Bucks, and the Detroit Pistons.

The highest paid power forward for the 2019-2020 NBA season will be Blake Griffin of the Detroit Pistons, who will be making $34,449,964.  Paul Millsap of the Denver Nuggets ranks second and is set to make $30,350,000.  Kevin Love of the Cleveland Cavaliers takes the third spot, making $28,942,830.  The Dallas Mavericks’ Kristaps Porzingis comes in at fourth, set to make $27,285,000.  Rounding out the top five most expensive power forwards for the upcoming NBA season is Anthony Davis of the Los Angeles Lakers, who will be paid $27,093,018.

Part 7 – Centers

Centers, on average, will be paid the highest of any position next season in the NBA, per average player salary.  However, the average NBA team next season will pay their combined center unit the second lowest of any position on average.  This is due to the diminishing number of centers the average team will have signed on their roster.  As mentioned in the “Positional Pay” section of this series of articles, the average NBA center next year is set to make $9,605,692.  Being that there are currently only 69 signed centers in the league (2.30 per team), the average NBA team will be spending just over 22 million dollars on this position during the 2019-2020 season.

Below you will find a table breaking down how much money each NBA team has allocated to paying their centers’ salaries for the upcoming NBA season.  Following that is a graph showing the percentages of each team’s total salary dedicated to that position.  This graph highlights which teams will be paying their big men the most next year.

NBA Center Salaries

NBA Center Salary Percent

For the upcoming 2019-2020 NBA season, the average NBA team will be spending a total of $22,093,092 (17.96% of their total team salary) on their center unit.  There are exactly 15 teams in the league who will be spending more than this average on their big men next season.  This also means that there are exactly 15 teams in the league who will be spending less than the league average on their centers. 

The Philadelphia 76ers are spending the most money of any team in the NBA next season on their centers.  They have three signed players at this position who together will be paid just over 57.1 million dollars.  On the contrary, the Chicago Bulls will pay the least amount of salary to their centers in the 2019-2020 season.  At the time of this article, they do not have any signed players on their roster with the primary position of center.  Therefore, to be exact, the difference between the most and least expensive center units in the NBA is $57,125,194.

There are four teams in the NBA next season who will be paying their centers more than any other position on their roster.  These teams spending the highest percentage of their player salaries on their centers include: the Charlotte Hornets, the Philadelphia 76ers, the Denver Nuggets, and the Orlando Magic.

The highest paid centers for the 2019-2020 NBA season will be Al Horford of the Philadelphia 76ers and Nikola Vucevic of the Orlando Magic, who will both be making $28,000,000.  Joel Embiid of the Philadelphia 76ers and Nikola Jokic of the Denver Nuggets tie for the third spot and will both be paid $27,504,630.  Rounding out the top five most expensive centers for the upcoming NBA season is Karl-Anthony Towns of the Minnesota Timberwolves, who is set to make $27,285,000.

Sources

 www.spotrac.com

www.lineups.com

www.statista.com

www.espn.com

About the Author

Connor just completed his sophomore year at Purdue University, where he is pursuing a double major in actuarial sciences and applied statistics, with a minor in management.  He has had a passion for both sports and statistics since a very young age, and enjoys discovering all the new information statistics can give us about sports.  Here is a link to his LinkedIn profile: https://www.linkedin.com/in/connor-wolf-bb3775186/.