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NBA Insider Reveals The Massive Luxury Tax Penalties The Warriors Will Pay If They Extend Andrew Wiggins And Jordan Poole

NBA Insider Reveals The Massive Luxury Tax Penalties The Warriors Will Pay If They Extend Andrew Wiggins And Jordan Poole

The Golden State Warriors retained their status as champions as they defeated the Boston Celtics in the 2022 NBA Finals. While the Celtics were highly favored in the Finals, the Warriors showed their experience and grit as they defeated the Celtics in six games.

One of the primary reasons for the Warriors' championship run was their stacked roster. With the likes of Stephen Curry, Klay Thompson, and Draymond Green alongside Andrew Wiggins, and Jordan Poole, the Dubs had an outstanding balance in their roster.

But building such a roster can be costly, and the Dubs certainly know a thing or two about the same. In a recent tweet, NBA analyst Bobby Marks revealed the Warriors might end up paying more than $200 million in tax penalties for the upcoming season.

While the Warriors have kept so many talented players on their side, the caveat in such a scenario is that the team often exceeds the luxury tax threshold. With the likes of Curry, Thompson, Green, and even Wiggins being paid salaries which are comparable to a max contract or exceed them, the Warriors have very less wiggle room for roster moves under the luxury tax threshold.

The Warriors, therefore, have a choice to make, either to get rid of one of their most expensive players or to exceed the luxury tax and become repeat tax offenders. Given the success the Warriors have had with the roster, it is highly unlikely that they would take the first option and will opt to sign or re-sign players despite increasing their luxury tax.

With 11 players already on their roster who are under contract, the Warriors have a total wage bill of $184.6 million. But this might be subject to change, as the Dubs might have to negotiate new contracts with Jordan Poole and Andrew Wiggins. Poole, who had a breakout season last year, had some outstanding performances in the postseason and is due for a payday next season. As for Wiggins, he showed the league why he was one of the best two-way players and provided the Warriors with some clutch performances in the Finals. 

With the existing wage bill, the Warriors are projected to pay a luxury tax of $181.3 million, but with Poole and Wiggins's extension in consideration, the Dubs might head to a luxury tax bill worth a whopping $200 million, which will be simply record-breaking.