Orlando opens 2026-27 at $223.3M, above the $221.7M second apron. The core is paid through 2027-28, and the flexibility to change it is thin.
The Magic are past every line the league draws.
The payroll is $223.3M. That clears the $165.0M cap, the $200.4M tax line, the $209.0M first apron and the $221.7M second apron. Being above the second apron is the tightest tier, and it limits what the front office can do in trades. Orlando has 16 contracts on the sheet.
Four players hold most of the money, and it is committed into 2027-28.
Franz Wagner earns $41.8M, Paolo Banchero $41.5M, Desmond Bane $39.4M and Jalen Suggs $32.4M, with Wendell Carter Jr. next at $18.1M. Next season Wagner and Banchero each rise to $44.8M, Bane to $42.2M, and Suggs drops to $29.6M. Carter is at $19.6M. Suggs shot 33.9% from three last season and Banchero 30.5%. The bill grows while the question of who earns it stays open.
Little comes off the books, and the exits are mostly small.
Only eight players appear on the 2027-28 sheet. Jonathan Isaac ($10.4M), Anthony Black ($10.1M) and Goga Bitadze ($7.6M) are not on it. Black is the one to watch: RealGM reported that the Magic are not expected to extend him. The cap sheet still lists JD Davison at $2.6M and Malaki Branham at $2.5M, though Orlando waived both along with Kevin Knox II this month. Jamal Cain's $2.6M is a team option.
The pick cupboard is nearly bare.
Orlando keeps its 2027 first-round pick. The 2028 first is owed to Portland and the 2030 first to Memphis, and the 2029 first carries protection. The seconds are a mix of swaps and debts: 2028 to Charlotte, 2029 to Memphis if conditions are met. That leaves few sweeteners to attach to a salary dump.
Health, not the books, decides the next move.
Noah Penda, at $2.2M, is out with a partial hamstring tear, and Wagner's right shoulder is day-to-day. Salary can't ease either problem with the Magic this far over the line. Orlando opens Wednesday against the Hawks.
Are the Orlando Magic over the luxury tax in 2026-27?
Yes. Their payroll is $223.3M, above the $200.4M tax line and the $221.7M second apron.
Which picks do the Magic own?
They keep their 2027 first-round pick, and their 2029 first is protected. The 2028 first is owed to Portland and the 2030 first to Memphis.
