Indiana Pacers: 2025 Offseason Priorities and Salary Cap Dynamics

I look at Pacers luxury tax situation, how Myles Turner's contract factors in, extension possibilities for Bennedict Mathurin and Aaron Nesmith, and see if Tyrese Haliburton's injury changes anything.

The Indiana Pacers have historically been the small-market team best at staying relevant over the past 25 years. Every time their window closes, they successfully pivot to a new core that consistently makes the playoffs. Instead of tearing it down, they took a year and a half hiatus starting in 2022 from being competitive to retool the roster around two lottery selections.

Those two selections didn’t factor substantially into their Finals run. Instead, it was several savvy moves throughout the years:

• Domantas Sabonis for Tyrese Haliburton

• Caris LeVert for the Andrew Nembhard draft pick

• Malcolm Brogdon for Aaron Nesmith

• Renegotiating Myles Turner’s contract

• Using the future flexibility from that renegotiation towards acquiring Pascal Siakam

This all culminated in one of the most improbable playoff runs in over a decade. Sure, they had some injury luck along the way, but so has every team that makes it this far.

Unfortunately, that injury luck swung the other way at the worst possible time. Their return to contention will take time with Tyrese Haliburton set to miss next season with a torn Achilles.

The Pacers have kept expenses on the lighter side, but that could change starting next season. They are looking at becoming luxury taxpayers for the first time in 20 years once they presumably re-sign Myles Turner. Fortunately, their liability doesn’t project to be significant at all. The more pressing matter may be controlling expenses in future seasons with extensions for Bennedict Mathurin and Nesmith on the horizon.