Rockets navigate luxury tax with roster adjustments and future plans

The Houston Rockets are managing their payroll as they approach the luxury tax threshold. Recently, they waived JD Davison, coming under the tax limit by $14,077. GM Rafael Stone indicates the team is not hindered by financial constraints as they aim to enhance the roster. With several young players due for extensions, the Rockets may face increasing payroll challenges in the coming seasons. This offseason, they signed Marcus Smart and Bogdan Bogdanovic while also shedding some salary. The strategy appears focused on remaining under the tax to avoid potential penalties in future years.

• 7:35 PMYahoo Sports — The Rockets and the luxury tax: How Houston is navigating the limit and its options for future moves