Magic officially cut ties with veteran forward

Jonathan Isaac's contract would have become fully guaranteed next week.

Jun 18, 2026; Orlando, FL, USA; Orlando Magic President of Basketball Operations Jeff Weltman takes media questions during a press conference to introduce new head coach Sean Sweeney at AdventHealth Training Center. Mandatory Credit: Mike Watters-Imagn Images | Mike Watters-Imagn Images

The Orlando Magic's first pivotal move of the summer came three days before the start of free agency.

The Magic officially cut ties with veteran forward Jonathan Isaac one day before his 2026-27 salary would have become fully guaranteed, NBA insider Jake Fischer of The Stein Line was among the first to report.

Isaac, 28, carried a $14.5 million cap hit, although only $8 million of the salary was partially guaranteed.

Isaac had $8 million of his $14.5 million salary guaranteed for 2026-27. It would have become fully guaranteed tomorrow. https://t.co/f0YldBIXwj

— Jake Fischer (@JakeLFischer) June 27, 2026

It became a matter of when, not if Isaac was going to be waived. The Magic amended his contract guarantee in March, and, understandably, the Magic did not want to potentially attach an asset to salary dump him on a team with cap space.

Jonathan Isaac can still return to Magic, technically:

Feb 21, 2026; Phoenix, Arizona, USA; Orlando Magic forward Jonathan Isaac (1) against the Phoenix Suns at Mortgage Matchup Center. Mandatory Credit: Mark J. Rebilas-Imagn Images | Mark J. Rebilas-Imagn Images

The caveat with this transaction is that, technically, the Magic can still re-sign the seven-year veteran if he clears waivers.

According to the Orlando Sentinel's Jason Beede, the Magic did not waive-and-stretch Isaac. Instead, they just outright released him, creating a loophole that allows them to re-sign him once he clears waivers (48-hour period) if he doesn't sign elsewhere.

If the Magic stretched Isaac, he would have a cap hit of $1.14 million the next seven seasons, since the final two years beyond '26-27 were non-guaranteed. Instead, he'll accrue a $8 million cap hit. If he re-signs, that would be an extra $2.45 million.

Isaac was a non-factor in Orlando's rotation last season, averaging 2.6 points and 2.5 rebounds on 42.2 percent shooting and 60.3 percent from the free-throw line. He was a disaster from 3-point range and didn't carry nearly as much impact defensively (when he was on the court), clouding his spot in the rotation.

Isaac was the Magic's emergency backup behind Wendell Carter Jr. and Goga Bitadze. As currently constructed, that role likely goes to rookie Izaiyah Nelson, their No. 51 overall draft choice. Although it remains to be seen whether or not Moe Wagner, a free agent this summer, returns.

Orlando is $10.1 million over the luxury tax and $2.8 million above the first apron, according to Yossi Gozlan's cap sheets. However, they are $9.9 million below the second apron with at least three spots to fill before the new season. Orlando still has its $6.1 million taxpayer mid-level exception, but would not be able to use all of it plus 1.) two minimums (~2.5M) or 2.) one minimum and one second-round exception (~$2.2M first year salary) to sign Nelson.

However, the cap hit for the second-round exception would not kick in until July 30, which means that the Magic could buy an extra month to make additional moves. They could also sign him to a two-way, which won't count against the cap at all.

Nevertheless, as we've belabored, Orlando does not have any flexibility -- barring a potential franchise-altering move to break up its core. We're not expecting that to happen -- but never say never!