The Miami Heat's decision to include bonuses in Tyler Herro's contract extension could wind up creating a cap crunch moving forward.
Under the rules of the new collective bargaining agreement, Herro's $2.5 million in unlikely bonuses count toward tax aprons, which was not the case under the previous CBA.
"The Heat are penalized for a contract signed before the new rules started," one Western Conference executive told ESPN's Tim Bontemps and Bobby Marks.
While $2.5 million is not an exorbitant sum, it can make all the difference when navigating the NBA's new tiered tax system.