Full Breakdown
Pacers Waive Micah Potter to Add Veteran Forward Larry Nance Jr.
7/10/2026, 12:56:37 PM
Core Transaction Details
On July 8, 2026 the Indiana Pacers officially waived center Micah Potter after a league source confirmed the move. The waiver cleared space for the signing of Larry Nance Jr., an eleven-year veteran forward-center, to a one-year contract for the 2026-27 season. The transaction was first reported by ESPN’s Shams Charania.
Background & Salary-Cap Mechanics
The Pacers were hard-capped at the NBA’s first apron, forcing them to create cap room before adding Nance. Potter’s $2.8 million non-guaranteed deal was removed, while Nance’s contract—reported as $3.88 million in one source and $4 million in another—counts only $2.45 million against the books thanks to the league’s veteran-minimum exception. This maneuver saved the team roughly $400 thousand and placed them about $2.24 million farther from the first apron, roughly $600 thousand more than earlier estimates.
Roster Implications
With Potter gone, the Pacers’ backup options at power forward and center narrow to Obi Toppin and the newly signed Nance. Nance is expected to serve as the reserve big behind recently acquired Ivica Zubac. The cap flexibility also allows Indiana, which currently carries 14 players under contract—a rarity for the franchise—to consider adding a player on a veteran-minimum deal with zero or one year of NBA experience. Adding a three-year wing such as Johnny Furphy, who is rehabbing a torn ACL, would exceed the available space. Promoting two-way guard Taelon Peter to a standard non-guaranteed contract (projected at $2.16 million) is another option that would preserve two-way slots for Jalen Slawson, Braden Smith, and Ethan Thompson.
Financial Impact & Luxury-Tax Considerations
The Pacers sit just above the luxury-tax line, projected at roughly $8 million over. Trading the expiring $8.4 million contract of Jarace Walker before the NBA trade deadline could bring the team back under the tax threshold. Indiana has avoided paying the luxury tax for more than two decades and may prioritize staying below the line to evade the repeater-tax penalty in the upcoming season.
Conflicting Reports & Gaps
Sources differ on the exact value of Nance’s deal: one cites $3.88 million, another $4 million. Both agree the cap hit is $2.45 million. No direct comment from Pacers president of basketball operations Kevin Pritchard or other team officials has been released; the narrative relies on league insiders and NBA reporters.
What’s Next
If the Pacers choose to trade Walker’s contract, they could solidify cap space for a rookie signing or a promotion from the two-way roster before the trade deadline. Monitoring any official statements from the Pacers front office will clarify whether additional roster moves are forthcoming.
