Making Sense Of LeBron James New Contract With Los Angeles

LeBron James recently agreed to a new two-year, $97.1 million extension with the Los Angeles Lakers, but what does this extension really mean for his future in the NBA?

Throughout his entire career, LeBron James has always looked to sacrifice to the greater good of his teams. 

He took less money on contracts when he was with the Cleveland Cavaliers in order for them to add and keep All-Stars like Kyrie Irving and Kevin Love and he also did so with the Miami Heat, restructuring his contract year-after-year with these “1+1” type of deals.

While he now has a “1+1” type of contract once again with the Los Angeles Lakers, LeBron’s new deal that was recently agreed to ensures that he is finally getting paid as one of the top performers in the entire NBA.

On Wednesday, James and the Lakers agreed to a two-year, $97.1 million extension that could reach upwards of $111 million based on the league’s salary cap raises, according to The Athletic’s Shams Charania.

Making about $44.5 million this 2022-23 season, James is scheduled to now make around $46.7 million during the 2023-24 season and could make at least $50.4 million during the 2024-25 season, that is if he is to opt into his player option with the Lakers.

This is where LeBron James’ new contract gets very interesting because when it is time for him to make a decision on this player option, quite a few things will come into consideration.

The first is the status of the Lakers following the 2023-24 season and where they find themselves in the midst of the top teams in the NBA. Just this past year, Los Angeles finished 33-49, missing the postseason and having a lot to figure out in terms of chemistry on the floor in order to regain the championship mentality they had during the 2019-20 season in the NBA Bubble.

The second is that LeBron James will be 39-years-old, getting ready to turn 40 in December 2024 when it comes time for him to make a decision on his 2024-25 player option. Very few players in NBA history have been able to play at or past 40-years-old and still be as effective as they were in previous years.

The last factor for James in regards to a decision on this 2024-25 player option depends heavily on what happens with LeBron James Jr., a.k.a. Bronny James, his son.

A senior in high school now and expected to go to college next year, Bronny will be eligible for the 2024 NBA Draft, aligning his possible arrival into the NBA up perfectly with that of his father’s new contract.

This extension LeBron James has agreed to with the Los Angeles Lakers not only gives GM Rob Pelinka and the Lakers front-office time to turn things around from the disaster that was last season, but it also gives James leverage for what he is looking for.

Back during the 2022 NBA All-Star break, James made his intentions to play with his son very clear in an interview with The Athletic, stating that, “My last year will be played with my son. Wherever Bronny is at, that’s where I’ll be. I would do whatever it takes to play with my son for one year. It’s not about the money at that point.”

Team success and age are both factors for LeBron to figure out his future near the end of this new contract extension, but this “1+1” deal was widely expected by many across the NBA simply because it gives James the leverage he wants when his son is ready to enter the league.

It is quite possible that the 2024-25 NBA season could be LeBron James’ final season in the league before retiring, but there is a lot of time between now and then. Anything can happen over the course of the next two-to-three seasons and for LeBron, his focus is solely on getting Los Angeles back to the playoffs in pursuit of their 18th championship in team history.