Magic complete Tyus Jones salary dump to dip tax

Tyus Jones signed a one-year, $7 million deal with Orlando last offseason.

Nov 16, 2025; Houston, Texas, USA; Orlando Magic guard Tyus Jones (2) drives with the ball during the second half against the Houston Rockets at Toyota Center. Mandatory Credit: Troy Taormina-Imagn Images | Troy Taormina-Imagn Images

The Orlando Magic have traded Tyus Jones plus two second-round picks to the Charlotte Hornets for cash considerations, ESPN NBA insider Shams Charania was first reported roughly 17 hours ahead of the trade deadline.

The Orlando Magic are trading Tyus Jones to the Charlotte Hornets for cash considerations, sources tell ESPN.

— Shams Charania (@ShamsCharania) February 5, 2026

Sources said the Hornets receive two second-round picks from the Magic in this deal, lifting them to 11 first-rounders and 14 second-rounders over the next 7 years. The trade gets Orlando out of the luxury tax. https://t.co/68vfBCaetu

— Shams Charania (@ShamsCharania) February 5, 2026

Those picks will be a 2027 second-round pick swap (least favorable between BOS/ORL) and a 2028 Magic second-round pick, according to ESPN's Bobby Marks.

Charlotte received the 2027 least favorable second via Boston/Orlando and 2028 second via Orlando sources tell ESPN. https://t.co/RvakaSb4jo

— Bobby Marks (@BobbyMarks42) February 5, 2026

As a result of this trade, the Magic move $1.4 million below the luxury tax, according to Yossi Gozlan's Cap Sheets. Due to his contract and his underwhelming play, Jones has been subject to plenty of trade rumors over the last several weeks.

Now, a deal is done.

Jones, 29, was averaging 3.0 points and 2.4 points on 34.2 percent shooting and 44.8 percent true shooting through 48 games, including eight starts. He was having the worst season of his career, by far. And now he will be on his fifth team in four years.

Since the Magic traded Jones' $7 million without getting salary in return, they created a $7 million trade exception. Those will last up to one calendar years, so they essentially have until next deadline to use it.

Are the Orlando Magic done?

Oct 10, 2025; Philadelphia, Pennsylvania, USA; Orlando Magic guard Tyus Jones (2) dribbles the ball against the Philadelphia 76ers during the third quarter at Xfinity Mobile Arena. Mandatory Credit: Bill Streicher-Imagn Images | Bill Streicher-Imagn Images

The Orlando Magic entered the deadline with 14 players on roster. Now, they are down to 13, one below the 14-player minimum, which they have two weeks to get back to.

They could convert either one of Orlando Robinson, Colin Castleton and Jamal Cain to a standard contract. But none of them have played to level to justify that. They can also opt to sign a vet to a prorated minimum or a player to a 10-day contract.

Those are last-ditch options. The clock is ticking on the deadline. Before then, Orlando could, theoretically, do a 2-for-1 move -- but would likely prefer to take back less salary than they send out because of how close they are to the tax.

It only has one tradable first-round pick (2032) and two fewer seconds (down to seven total SRPs) to work with. Injuries have played a role. But at 25-24, the Magic are in desperate need of a shake-up. Regardless if it's a two-team trade or a multi-teamer, they are quite limited in the flexibility they can work with.

Nevertheless, time is ticking.

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