Nikola Jovic's contract details revealed

Last week, the Miami Heat signed fourth-year forward Nikola Jovic to a four-year, $62.4 million extension, which won’t kick in until the 2026-27 season. While it was originally expected that Jovic’s first-year salary would be around $13.8 million with eight percent raises each season — the structure that most extensions follow — his contract details were released Monday. And it doesn’t quite follow that structure.

According to Spotrac’s Keith Smith, Jovic’s first-year salary will be $16.2 million, roughly 9.8 percent of next year’s projected salary cap. The final three years of his contract equate to $14.9M, $15.1M and $16.2M, respectively.

2026-27: $16.2 million (~9.8 percent)
2027-28: $14.9 million (~8.5 percent)
2028-29: $15.1 million (~8.3 percent)
2029-30: $16.2 million (~8.2 percent)

Miami structured Nikola Jovic's extension with a dip from Year 1 to Year 2 before going back up for Years 3 & 4, a league source told @spotrac.

26-27: $16.2M
27-28: $14.9M
28-29: $15.1M
29-30: $16.2M

Allows the Heat to have additional cap flexibility in 2027 and 2028 summers.
— Keith Smith (@KeithSmithNBA) October 7, 2025

From 2026-30, the cap is projected to rise roughly five percent each season. The NBA will be overflowing with money, given its new $76 billion media rights deal. Expansion is one of Adam Silver’s foremost priorities. But if the yearly cap increases inch closer to the 10 percent max over the duration of Jovic’s contract, it’s going to look even better for the Heat.

The lower salaries in 2027-28 and 2028-29 coincide with the first year of a possible extensions for Tyler Herro and Kel’el Ware, respectively, should either be signed.

Jovic has been one of the Heat’s best young players since he was drafted No. 27 in the 2022 NBA Draft. However, ill-timed injuries have led to him only playing 107 games in three seasons — having never played more than 46 in a single season.

Hanifan: Why Nikola Jovic’s extension could be an absolute bargain for Heat

If he’s able to stay healthy, it could be a bargain for the Heat. He’s one of the team’s best passers, play finishers and 3-point shooters while making considerable strides as an individual and team defender. Jovic is also excellent at making snap decisions in transition, which will be key for Miami if it continues to push the pace in the regular season.

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