What Does Pacers' Cap Situation Look Like Following Jay Huff Trade?

The Indiana Pacers made the move for center Jay Huff to replace Myles Turner and still have some flexibility to make some maneuvers.

The Pacers were projected to spend big to keep Turner in free agency after the center expressed his interest in staying with Indiana.

Instead, he ended up joining the Milwaukee Bucks in a stunning turn of events. The front office and ownership made the decision to avoid paying Turner, so the team avoided the luxury tax and second apron.

More news: Pacers Slammed by NBA Insiders for Myles Turner Mistake

If the Pacers won the title or star Tyrese Haliburton was healthy for the upcoming season, the team would likely give Turner his deserved payday.

The organization didn't want to deal with the consequences of signing Turner for a team that won't be fighting for a title in the upcoming season.

NBA experts projected the team to enter the luxury tax to retain Turner and maintain the NBA Finals core.

Instead, the Pacers moved on and traded for Huff — giving up a second-round pick and a second-round pick swap.

According to Bobby Marks, Indiana is at a projected salary of $171 million — a little more than $16 million away from the luxury tax threshold and $24.9 million under the first apron.

Indiana offseason

By using a trade exception created in the previous season (this is likely the case), Indiana gets hard capped at the 1st apron. Plenty of flexibility below. pic.twitter.com/uBxGeWhvfF
— Bobby Marks (@BobbyMarks42) July 6, 2025

The team still has a $14.1 million non-tax mid-level exception to use in free agency and a $5.1 million biannual exception. They can also use the veteran minimum to sign anyone as well.

The Pacers are left retooling the roster for Haliburton's return, though the team still has a season to play in 2025.

Those exceptions should help the team get some additional depth onto the roster and potentially find out if they fit with the team's style of play.

Huff already provides solid center play and should fill the absence left by Turner as a floor-spacing, rim-protecting big man.

The team can now pivot into a potential Haliburton replacement who can create some offense for themselves and others.

More news: Pacers' Final Contract Offer to Myles Turner Revealed by Insider

Pacers Insider Says Myles Turner Joining Bucks Isn't That 'Stunning'

For more news and notes on the Indiana Pacers, visit Indiana Pacers on SI.