How Jalen Brunson’s Contract Decision Will Save Knicks More Than $100 Million

Brunson is taking far less money to help the Knicks keep their roster together.

May 19, 2024; New York, New York, USA; New York Knicks guard Jalen Brunson (11) brings the ball up court against the Indiana Pacers during the third quarter of game seven of the second round of the 2024 NBA playoffs at Madison Square Garden. Mandatory Credit: Brad Penner-USA TODAY Sports / Brad Penner-USA TODAY Sports

Jalen Brunson and the New York Knicks have agreed to a contract extension, and his decision to sign now will save the franchise more than $100 million. It is a selfless, team-first decision that will help the Knicks keep their current squad together.

ESPN's Adrian Wojnarowski reported Friday that Brunson's new deal will be for four years and $156.5 million. That's $113 million less than he would have been guaranteed if he waited until next year to sign. So he's passing up a five-year, $269 million deal in 2025 to ink a contract now.

Taking the lesser deal will cost Brunson $37.5 million per year over the next three years, with the fourth year being a player option. He'll then be eligible for a four-year, $323 million extension in 2028 or a five-year, $418 million contract in 2029.

Brunson's teammate Josh Hart reacted to the news, tweeting, "Build him a statue."

Build him a statue 🥲

— Josh Hart (@joshhart) July 12, 2024

This is the kind of deal a player makes when he's chasing a championship. The 27-year-old point guard made his first All-Star team, was named second team All-NBA and finished fifth in NBA MVP voting for the 2023-24 season. He averaged career highs in points (28.7), assists (6.7) and minutes (35.4) per game, while shooting 40.1% from three-point range and 47.9% from the field.

The Villanova product has flourished since arriving in New York prior to the 2022-23 season. After earning his way into the starting lineup for the Dallas Mavericks during the 2021-22 campaign and setting career-highs, he hit free agency looking to cash in. The Knicks signed him to a four-year, $104 million deal and essentially turned the team over to him. It has been a dream marriage for both parties.

Brunson is taking on a massive risk here. He's at the peak of his value and if he happened to suffer an injury it could be devastating for his future earning power. He has placed those concerns squarely behind chasing a title with a loaded Knicks team.

This was all part of a calculated plan, according to Wojnarowski. The NBA insider wrote, "Brunson's study of championship organizations and franchise stars—Patrick Mahomes' Kansas City Chiefs, the Tom Brady New England Patriots and the Derek Jeter New York Yankees—gave him a blueprint for MVP-level players who structured contracts to give their teams the best chances at sustainable title runs."

Brunson will be surrounded by a ton of talent next season. He'll play alongside the recently re-signed OG Anunoby, Mikal Bridges, Julius Randle, Mitchell Robinson, Donte DiVincenzo and Hart. All of those players are signed through the 2025-26 season.

These days it's rare for a player to sacrifice money for the sake of his franchise's success. Brunson did just that by agreeing to this new contract.