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In bid to avoid luxury tax, Heat waive Rodney McGruder

Miami Heat v Washington Wizards

WASHINGTON, DC - OCTOBER 18: Rodney McGruder #17 of the Miami Heat dribbles against the Washington Wizards during the first half at Capital One Arena on October 18, 2018 in Washington, DC. NOTE TO USER: User expressly acknowledges and agrees that, by downloading and or using this photograph, User is consenting to the terms and conditions of the Getty Images License Agreement. (Photo by Will Newton/Getty Images)

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The Heat significantly reduced their impending luxury-tax bill by dealing Tyler Johnson and Wayne Ellington for Ryan Anderson shortly before the trade deadline. The only surprise: Miami didn’t make another trade to escape the tax entirely.

But it might not be too late to dodge the tax.

The Heat waived Rodney McGruder yesterday. If another team claims him, Miami will get under the luxury-tax line this season.

McGruder won’t be eligible for the upcoming playoffs, and he’ll be a free agent this summer. But a team claiming him can this offseason:


  • Make him a restricted free agent with a $3,021,354* qualifying offer
  • Count him against the salary cap at just that amount until he’s signed or renounced
  • Use Early Bird Rights to exceed the cap to re-sign him to a starting salary up to the estimated average player salary

*Correction: McGruder is entitled to a higher qualifying offer because he met the starter criteria.

McGruder is a solid 3-and-D wing with some complementary skills. Plenty of teams would benefit from having the 27-year-old.

Including the Heat, who are still in the playoff race. But they deemed saving money more important than maximizing their long odds of reaching the postseason.

A team claiming McGruder off waivers must use a trade exception or cap space and have an open roster spot. No team will cross this year’s luxury-tax line to add McGruder. The Clippers make a lot of sense, especially because they could use his low cap hold next summer while pursuing star free agents. But teams below the Clippers in the standings will have priority and could also make a claim.

If McGruder goes unclaimed, Miami will lose him and still be on the hook for the luxury tax. So, this is a high-stakes waiver period for the Heat.