Some NBA trades are more about money than basketball. While they may be less exciting, money deals are needed given the league’s complex collective bargaining agreement with minimum team salaries and luxury taxes.

A recent example was the January 5 deal sending Noah Vonleh from the Boston Celtics to the San Antonio Spurs. Vonleh, the only active player in the deal, was immediately waived by the Spurs. So, what was the point?

The Trade

First, the details of what exactly went from team to team. The Celtics traded Vonleh with $1.5 million to San Antonio.

San Antonio sent a top-54 2024 protected second-rounder to the Celtics and didn’t require the forward to report or pass a physical. The Spurs absorbed Vonleh’s salary into cap space. In September, he signed a one-year, $2.5 minimum contract (at seven years of service). His salary was not protected, with January 7 being the last day to cut him before it became fully guaranteed for the season.

The Celtics received a $505,239 trade exception for Vonleh that will last a year, expiring on January 5, 2024.

Boston’s Tax Savings

The Celtics had decided to let Vonleh go but didn’t want the ~$1.2 million he’d have earned upon clearing waivers on their books. Boston, as a taxpayer, would owe a projected tax of about $62.6 million with Vonleh. Clearing that number by sending him to San Antonio dropped that tax bill to approximately $58.2 million.

That’s a $4.4 million savings, which was motivation enough, even if the trade cost Boston $1.5 million in cash to San Antonio. The net is almost $2.9 million, and if the Celtics decide later to add salary by trading for or signing another player, that extra savings could be more substantial.

Cost to the Spurs

The league’s minimum team salary (or floor) this season is $111.3 million, which is 90 percent of the $123.7 million salary cap. The Spurs are below that mark. With Vonleh’s waived salary, the team’s total against the cap is $95.9 million.

But the Celtics were responsible for the rest of Vonleh’s earnings for his time on the roster. The Spurs will only get credit in the floor calculation for the amount they paid, just $42,474 (three days, including those on waivers). The team loses a little cap room ($1.2 million) but still has about $27.7 million in space. The Spurs will still get the $1.5 million from Boston for its trouble.

And the Spurs are still about $15.3 million under the floor, with Vonleh’s $42,474 barely making a dent. That includes about $1.3 million paid out to two-way players and waived Exhibit 10 contracts who are playing for the Austin Spurs (like Chaundee Brown and Tommy Kuhse).

If San Antonio doesn’t add salary before the end of the season, the franchise will need to send that shortfall to the National Basketball Players Association (NBPA), which when then be redistributed to the players on the roster like Keldon Johnson, Jakob Poeltl, Devin Vassell, etc.

Odd Pick Protection; Small Trade Exception

The Celtics saved in luxury taxes. The Spurs get $1.5 million for almost nothing—a nothing something. In this case, San Antonio met its trade requirement by sending its 2024 second-rounder with top-54 protection. Usually, in a 60-player draft, the most protection a second-round pick can have is top-55. With the Philadelphia 76ers docked a selection for violating free agency rules this past summer, the 2024 draft will only have 59 picks—thus the odd protection.

If the Spurs are one of the best teams in the league next season, they’ll happily give up their second-rounder.

Finally, since Boston didn’t receive any salary in return for Vonleh, the team gains the trade exception. As a one-year minimum, Vonleh’s $2.9 million only counted against the Celtics’ cap as the two years-of-service minimum of $1.8 million. Additionally, he wasn’t guaranteed, which led to a few extra steps to calculate the trade exception.

In the deal, the Celtics get the amount of Vonleh’s cap hit ($1.8 million) less the amount remaining on the contract ($1.3 million, starting January 6, which is the day after the trade). The remainder of $505,239 is the exception, which is good for a year but probably too small to be utilized.

Email Eric Pincus at eric.pincus@gmail.com and follow him on Twitter @EricPincus.