The Indiana Pacers made a significant offseason move while competing in the NBA Finals.
Indiana traded their 23rd overall pick and Mojave King’s rights to New Orleans Pelicans for their own 2026 first-round pick.
The timing raised eyebrows across the league. Few teams conduct draft business during their Finals run, making Indiana’s decision particularly notable.
Indiana’s trade centers around luxury tax avoidance. The Pacers aim to stay approximately $19.9 million below the tax threshold next season.
Trading away the rookie-scale $3.24 million contract creates crucial salary cap flexibility. Indiana prioritizes re-signing center Myles Turner without triggering costly luxury tax penalties.
NBA Insider Brian Windhorst explained the strategy: “Two things I’ll say about this. This is a maneuver to save some salary because they’re going to try to sign Myles Turner and probably be a luxury taxpayer for the first time.”
Tim Bontemps shared skepticism about Indiana’s willingness to pay luxury tax.
The ESPN insider predicts the Pacers will find ways to avoid the penalty despite public statements.
“This is a move to save some money this year and avoid paying the luxury tax,” Bontemps noted.
“I will again predict that the Indiana Pacers, while saying, ‘Yeah, we’re going to pay the luxury tax,’ and haven’t for decades, and barely have to do anything else to avoid paying the luxury tax, I suspect they’re not going to pay the luxury tax next season.”
Team president Kevin Pritchard acknowledged the difficulty of conducting business during Finals competition. The Pacers currently trail Oklahoma City Thunder 3-2 in their series and potentially without Tyrese Haliburton for Game 6.
Pritchard revealed the challenge to Windhorst during practice: “Oh my god, I know some teams have done business during the finals in the past but I don’t know how anybody is getting anything done. This is a really difficult situation.”
The limited preparation showed in Indiana’s draft process. “We’ve only had like two draft workouts,” Pritchard admitted, highlighting the Finals’ impact on front office operations.
Indiana’s cost-cutting approach raises questions about their championship commitment. The Pacers demonstrated elite potential throughout their Finals run, suggesting they belong among the league’s top contenders.
Next season presents another opportunity for Indiana to compete at the highest level. However, their financial conservatism could limit roster improvements needed to capture their first championship since joining the NBA.
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