Sixers Face A Brutal Free Agency Squeeze Around Embiid And PG

With new leadership at the helm, the Sixers navigate a maze of financial options in preparation for free agency, balancing potential signings and retaining key players amidst salary cap constraints.

The Sixers head into free agency with real flexibility, but not the kind that lets them roam anywhere they want. Mike Gansey is only a month into his run as Philadelphia’s president of basketball operations, and the roster he inherited gives the team a few meaningful paths to improve around Joel Embiid and Paul George’s max deals.

At the center of it all is the $15 million full non-taxpayer mid-level exception. Philadelphia is currently $24.1 million below the $209 million first apron, which makes that exception available. Use it, though, and the Sixers get hard-capped at the first apron, meaning their payroll cannot climb above $209 million at any point this season.

That matters because the non-taxpayer MLE is the club’s best shot at landing higher-end role players. Philadelphia has been tied to unrestricted free agents Dean Wade and John Collins, and both are the type of names whose market could fit in that range.

The team does not have to burn the whole exception on one player, either. It could split it up, such as signing Collins for $12 million and leaving $3 million to use later or carry into the regular season.

The Sixers already benefited from that kind of restraint when they were able to sign Dominick Barlow to an above-minimum rest-of-season deal in February because they had not spent their MLE the previous summer.

There’s also the $5.5 million bi-annual exception, which Philadelphia can use as well. The BAE is a simpler tool than the non-taxpayer MLE, but it comes with the same hard-cap consequence at the first apron. Players in that range are more likely to be Marvin Bagley III, Zach Collins, or Gary Trent Jr.

Then there’s the Jared McCain trade exception, which remains one of the more useful pieces on the board. Because Philadelphia did not receive a player back from Oklahoma City in that deal, it created a $4.2 million trade exception the Sixers can use to absorb a player making that amount or less without sending out salary.

The problem is the same one that shadows the rest of their options: using a trade exception from a prior season also hard-caps a team at the first apron. If Philadelphia gets too close to that line, the exception becomes basically unusable.

The same issue applies to the $2.3 million trade exception the Sixers received from Memphis in the Eric Gordon salary dump in February. And they cannot stack those exceptions to land one player, so a contract around $6.5 million would not be covered by combining the two.

The free-agent picture gets even more interesting because Philadelphia has some version of Bird rights on all four of its pending unrestricted free agents. Kelly Oubre Jr. and Quentin Grimes both have full Bird rights, which means the Sixers could re-sign either one above the cap and up to a maximum contract.

Andre Drummond is on Early Bird rights, since he has only spent the last two years with the team rather than three, so Philadelphia could start him at as much as 175% of his previous salary. Kyle Lowry also has full Bird rights, though he is more likely to retire than come back.

Grimes’ Bird rights trace back through two other teams. The Sixers got them from Dallas when they acquired him in February 2025, and Dallas had inherited them from Detroit in a July 2024 deal. That chain adds up to three years of service.

If Philadelphia uses the full non-taxpayer MLE, it would sit $10.4 million below the first apron, which may force a choice between Oubre and Grimes. The team does have three non-guaranteed contracts it can waive - Jabari Walker, Dalen Terry, and Bona - which would open another $7.5 million in room. Even so, the numbers still point toward Philadelphia having to pick one of Oubre or Grimes rather than keeping both.

As of now, the Sixers’ payroll sits at $184.9 million. That leaves them $16.1 million under the $201 million luxury-tax threshold and $24.1 million below the first apron. If they use both the full non-taxpayer MLE and the bi-annual exception, they would still be $4.9 million under the first apron.

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