Why the Kevin Porter Jr. extension is a massive win for the Houston Rockets

The Houston Rockets and Kevin Porter Jr. have finally agreed to a contract extension, according to ESPN’s Adrian Wojnarowski. The four-year, $82.5 million contract will tie Porter to the Rockets through the 2026-27 season.
Houston Rockets guard Kevin Porter Jr., has agreed on a four-year, $82.5 million contract extension, his agent Sam Permut of @RocNationSports tells ESPN. pic.twitter.com/3EB2ymuwaw
— Adrian Wojnarowski (@wojespn) October 17, 2022
At first glance, it appears that Porter will be making $20 million a season, but the devil is always in the details. Following the initial report, The Athletic’s Shams Charania reported the structure of the deal. According to Charania, only $15.86 million of the deal is guaranteed, and it all comes in the first year.
Kevin Porter Jr.’s four-year extension is only guaranteed for $15.86 million, all in Year 1, sources said. The contract includes June trigger dates after first season, but the Rockets can essentially release Porter at any point without further pay up to the $82.5M. https://t.co/A806sRcnaE
— Shams Charania (@ShamsCharania) October 17, 2022
There’s a lot to unpack here, but very bluntly, this is one of the least player-friendly extensions I’ve ever seen. Under no circumstances should Porter have considered signing this extension.
Why Kevin Porter Jr. lost his extension negotiations
As a player, the whole point of signing an extension is to guarantee security. By giving up a chance to test the market, the player is deflating their value. In turn, the organization guarantees them financial security. It’s a win for both sides, the team saves a little money, and the player has money locked up.
Kevin Porter Jr. did none of that. The contract is even more perplexing because it puts a relatively mundane cap on his future earnings. In essence, the Rockets gave Porter a one-year extension with three consecutive team options at around $20 million. If Porter falters or gets hurt or the Rockets want to go big-game hunting, they can cut him without a second thought, but if Porter breaks out, then they have him for relative peanuts.