Warriors’ luxury tax bill astronomical after addition of Kelly Oubre Jr.
The Golden State Warriors were motivated to use their mid-level trade exception to add a player following Klay Thompson’s injury, but it will cost them.
The Warriors are set to add Kelly Oubre Jr. in a trade with the Oklahoma City Thunder. Oubre was always known as a likely target for them, so the acquisition makes sense.
But here’s the thing: even though Oubre is set to earn $14.4 million next season, he will cost the Warriors a lot more than that. The Warriors are already in the luxury tax, so every dollar they spend costs them progressively more in penalty fees.
Bobby Marks says the Warriors currently owe $66 million in luxury tax fees. Oubre’s contract will cost them more than four times the amount in fees.
Golden State tax bill is currently $66M
The addition of Kelly Oubre would see it increase to $134M
$14.4M of Oubre + $68M in taxes= $82.4M
— Bobby Marks (@BobbyMarks42) November 19, 2020
Oubre’s $14.4 million will cost the Warriors $68 million in taxes, meaning they are spending $82.4 million to get Oubre. Their total luxury tax bill will be $134 million. That’s just crazy money.
But the Warriors are determined to get back to competing. In order to contend, they need to improve. The team also has extensive plans to have fans attend their games so they can start making money again.
