The Rockets open tonight against Dallas with $205.5M in salary. That is over the $200.4M tax line and under the $209.0M first apron. Next summer Thompson's salary nearly triples, and only two of the next four first-round picks belong to Houston outright.
Last season
The trade on July 6, 2025, sent Jalen Green and Dillon Brooks to Phoenix for Kevin Durant and set the cost of contending. Houston went 52-30 with a 117.5 offensive rating, a 112.1 defensive rating and a net of 5.4. The Lakers still ended the season before the second round. Ownership is paying tax money to raise that ceiling.
October 19
RealGM and Hoops Rumors reported that Houston converted Julian Phillips and Oscar Tshiebwe into two-way contracts and waived Sean Pedulla. A day earlier, Cameron Matthews, Caleb McConnell and Bryce Harris left the team after joining in mid-October. None of these moves changed the top of the sheet. Five players earning $14.1M or more still account for most of the money.
Tonight
Sixteen contracts add up to $205.5M, against a $165.0M salary cap. Durant earns $43.9M and Alperen Sengun earns $35.6M. Next come Fred VanVleet's $25.0M player option, Jabari Smith Jr. at $23.6M and Tari Eason at $14.1M. Steven Adams, who is day-to-day with a right calf injury, makes $13.0M. Reed Sheppard costs $11.1M after an 82-game season in which he shot 39.4 on threes.
Summer 2027
Amen Thompson's salary goes from $12.3M to $35.9M. Durant's rises to $46.1M and Sengun's to $37.3M, and Sheppard moves to $14.0M. VanVleet has no 2027-28 figure, and neither do Jae'Sean Tate, Bogdan Bogdanovic, Phillips or Tshiebwe. Smith drops to $21.8M and Adams to $11.9M. Marcus Smart holds a $6.4M player option. Eleven players are already under contract.
2027 to 2030
Draft picks give Houston little room to deal. The Rockets own their 2028 and 2030 first-round picks outright, while the 2027 and 2029 firsts are swaps. The 2028 second-rounder goes to Charlotte and the 2029 second-rounder to Memphis, and the 2027 and 2030 seconds are swaps. Outside Durant and the players Houston drafted, VanVleet's $25.0M and Adams's $13.0M are the biggest salaries on the books.
Are the Rockets paying the luxury tax in 2026-27?
Houston's $205.5M payroll is above the $200.4M tax line. It is still below the $209.0M first apron.
How much will Amen Thompson make in 2027-28?
Thompson will make $35.9M, up from $12.3M this season. Only Durant and Sengun earn more that year.
