Five Players the Pacers Could Target With Their Mid-Level Exception

Roster building has become unique under the NBA’s new CBA rules, and signing free agents has become secondary to making trades.

The Indiana Pacers do not have the salary cap space to sign a free agent like they did a few years ago when they were able to ink a deal with Bruce Brown. However, they will have their mid-level exception to sign a free agent or two.

There are two types of mid-level exceptions: the Taxpayer Mid-Level Exception and the Non-Taxpayer Mid-Level Exception. Currently, Indiana is slightly above the luxury tax, so it would fall into the Taxpayer Mid-Level Exception category and have $6,066,000 in spending power, according to Spotrac.

Mid-Level Exception Breakdown

Apr 3, 2026; Charlotte, North Carolina, USA; Indiana Pacers guard Quenton Jackson (29) brings the ball up court against the Charlotte Hornets during the first quarter at Spectrum Center. Mandatory Credit: Jim Dedmon-Imagn Images | Jim Dedmon-Imagn Images

There is a world where the Pacers could shed salary already on the roster to get slightly under the luxury tax, which would allow them to qualify for the Non-Taxpayer Mid-Level Exception that lets teams spend up to $15,049,000. The only caveat is that a team cannot cross into the first apron while using the Non-Taxpayer Mid-Level Exception.

This means Indiana would either need to clear enough space by waiving three players: Micah Potter, Kam Jones, and Quenton Jackson — or waive just one of them and create closer to $9 million to $11 million in available spending power with the Non-Taxpayer Mid-Level Exception.

For this exercise, I will operate under the Taxpayer Mid-Level Exception rules and look at players I think could fit into the $6 million range for the Pacers.

It’s worth noting that the minimum salary for players jumps about $200,000 this year. So if the Pacers are looking to add a veteran who has been in the league for 10 years or more, they will have to pay at least $3,877,445 this season.

1. Sandro Mamukelashvili | Small-Ball Center | Player Option

Stats in 2025-26: 11.2 points, 4.9 rebounds, 1.9 assists, 52.3% from the field, 38.9% from three, 74.7% from the free-throw line, 21.9 minutes per game.

Better known by his shortened nickname, “Mamu,” Sandro is a strong frontcourt bench player who can play the four or the five. Last season, he was primarily used as a center for the Raptors due to their lack of depth at the position.

He is a legitimate floor-spacing big and a high-energy player. (Watch this video breakdown to see why I am such a big fan)

Defensively, you won’t see him protecting the rim, but he plays with grit and effort. His high basketball IQ helps make up for what he lacks defensively. He is strong and plays well within a team system.

Offensively, you’re getting an efficient shooter, someone with guard-like skills for a big man, a strong driver, a dangerous floater, and a connective passer. He can finish with both hands, moves well off the ball, makes quick decisions, and rebounds effectively.

There are limitations to his overall game, but I think he provides the Pacers with nice versatility in their center room and is worth exploring. Indiana could offer him the full Taxpayer Mid-Level Exception, but even a two-year deal worth $6 million total ($3 million annually) could entice him to opt out of his current contract since it would nearly double his career earnings.

2. Khris Middleton | Wing | Unrestricted Free Agent

Stats in 2025-26: 10.2 points, 3.7 rebounds, 2.8 assists, 42% from the field, 36% from three, 87.5% from the free-throw line, 22.8 minutes per game.

At 35 years old, Middleton is coming off a $31 million contract. With his injury history, I do wonder how much he will command on the open market. If he wants to play for a contender, Indiana would be a terrific landing spot for him. He also has a previous basketball relationship with Aaron Nesmith, serving as his mentor, and the Pacers front office has a ton of respect for him.

He provides a legitimate scoring threat off the bench, has won a championship with Milwaukee while playing a pivotal role, and would be a perfect fit in the locker room. Indiana is in win-now mode, and adding win-now players matters.

Financially, the most I would offer him is the full Taxpayer Mid-Level Exception. But if he were willing to sign for less, I’d try to negotiate.

3. Gary Trent Jr. | Guard-Forward | Player Option

GTJ — Dec 31, 2024; Indianapolis, Indiana, USA; Milwaukee Bucks guard Gary Trent Jr. (5) shoots the ball while Indiana Pacers forward Pascal Siakam (43) defends in the second half at Gainbridge Fieldhouse. Mandatory Credit: Trevor Ruszkowski-Imagn Images | Trevor Ruszkowski-Imagn Images

Stats in 2025-26: 8.1 points, 1.2 assists, 1.0 rebounds, 38.7% from the field, 36% from three, 76.9% from the free-throw line, 21.2 minutes per game.

Indiana saw Gary Trent Jr. score 37 points in Milwaukee’s only playoff win in 2025 and then drop 33 points in Game 5 before losing the ball between his legs in overtime, leading to Tyrese Haliburton’s game-winning layup.

In that playoff series, Trent Jr. shot 50% from three on 44 attempts and was a major problem for the Pacers — not just in the postseason, but throughout the regular season as well. This past season was a bit of a down year for Trent Jr., but Milwaukee as a whole struggled for much of the year.

Signing Trent Jr. to a veteran minimum contract would be a solid move for the Pacers. He is an average defender but would fit nicely into Indiana’s scheme. Pairing him in the backcourt with T.J. McConnell could provide the Pacers with an offensive boost if he rediscovers his elite three-point shooting.

4. Tim Hardaway Jr. | Guard-Forward | Unrestricted Free Agent

THJ — Nov 29, 2019; Phoenix, AZ, USA; Dallas Mavericks head coach Rick Carlisle with guard Tim Hardaway Jr. (11) against the Phoenix Suns at Talking Stick Resort Arena. Mandatory Credit: Mark J. Rebilas-Imagn Images | Mark J. Rebilas-Imagn Images

Stats in 2025-26: 13.5 points, 2.6 rebounds, 1.4 assists, 44.7% from the field, 40.7% from three, 81.1% from the free-throw line, 26.6 minutes per game.

Coming off a strong season in Denver, Tim Hardaway Jr. finished third in Sixth Man of the Year voting. He was a sniper from beyond the arc and benefitted from Nikola Jokic’s gravity.

That said, Hardaway Jr. has been a journeyman, playing for five teams over his 13-year career. One of those stops came in Dallas under Rick Carlisle, where he played 160 games and started 86. In his first full season with Carlisle, Hardaway averaged 15.8 points per game while shooting 39.8% from three. In his final season under Carlisle, he averaged 16.6 points while shooting 39.1% from beyond the arc.

While Hardaway isn’t known for his defense, he has extensive playoff experience and remains a terrific shooter. Leaving Denver for Indiana would only make sense if he believed the Pacers had a better path to a title than the Nuggets in a loaded Western Conference.

It’s reasonable to believe Indiana could land Hardaway Jr. on a veteran minimum contract. It would cost the Pacers $3,877,445 to get a deal done.

5. Aaron Holiday | Guard | Unrestricted Free Agent

Stats in 2025-26: 5.5 points, 1.1 assists, 1.0 rebounds, 41.7% from the field, 39.4% from three, 85.4% from the free-throw line, 13.7 minutes per game.

Pacers fans are familiar with Aaron Holiday because he was a former first-round pick by Kevin Pritchard. While his time in Indiana didn’t pan out and he was eventually traded to the Washington Wizards, he has carved out an end-of-bench role in Houston over the last three seasons, appearing in 197 total games.

The Pacers need point guard depth, and Holiday would provide improved depth with defensive upside. He has a 6-foot-7 wingspan and is extremely quick, which can create problems for opposing guards. His length allows him to defend both point guards and shooting guards on the perimeter.

Offensively, he is best as a spot-up shooter and driver. Not much has changed from his time in Indiana, but he is more well-rounded now than he was early in his NBA career.

Last season, Holiday earned around $4.8 million with the Rockets, and at age 29, the Pacers would probably need to offer him something close to that figure to get him to sign. With point guard being such a pivotal position for Indiana, adding someone with experience at the position who can also slide over to the two makes him an intriguing option.

Final Thoughts

Overall, I like all five of these names and would be thrilled to see the Pacers pursue any of them. Personally, I’m highest on Mamukelashvili (“Mamu”) and think he would be an upgrade over both Jay Huff and Micah Potter.

He’s an extremely skilled small-ball big man whose style would fit the Pacers’ random movement offense incredibly well. But if Indiana wanted to add a wing, Tim Hardaway Jr. makes a lot of sense, especially given his prior relationship with Rick Carlisle.

Middleton’s injury history worries me, but the best version of Middleton is better than anyone else on this list.

Holiday and Trent Jr. are both depth pieces, but each could carve out smaller — yet effective — roles with this team.

You can follow me on X @AlexGoldenNBA and listen to my daily podcast, Setting The Pace, wherever you get your podcasts.

Add us as a preferred source on Google