Well, the New York Knicks have finally secured their guy. About to enter the third year of his current $104 million deal, Jalen Brunson became eligible to sign a four-year $156.5 million contract extension on Friday. However, he also had an option to wait another year for a chance at an even bigger five-year $269 million supermax deal. But giving the Knicks fans a sigh of relief, JB inked the deal with lower value right away, taking a massive pay cut from what he could have made next year.

While the huge sacrifice comes as a blessing for the Knicks, the loss for Brunson might be too big to recover even if he surpasses Jayson Tatum’s historic contract.

Jalen Brunson can say goodbye to $37 million

With JB’s new contract kicking in after the end of next season, he will again be eligible to sign an extension in 2028, this time for four years and $323 million. That’s an even bigger number than the richest contract in NBA history so far, belonging to Boston’s Jayson Tatum, who inked a five-year $315 million deal earlier this month. And even then, if Brunson decides to wait another year to sign the extension, he could increase that number to five years and $418 million.

But even in the best-case scenario where Brunson leverages his player option for the fourth year and signs another extension larger than what Tatum got, he is still set to lose $37.1 million for the first three years of his current deal by taking the $113 million pay cut now. And there is no way for him to recover that lost amount, making it one of the biggest financial sacrifices in league history.

Already exceeding expectations and becoming a Knicks legend in the last two seasons, Brunson proved to be one of the best free agent signings in a long time as the Knicks stole him from the Mavs by spending just $104 million for four years. And now that JB is making an unprecedented financial sacrifice, he has once again won over the hearts of the Knicks fanbase.

How does Jalen Brunson’s sacrifice help the Knicks?

Although JB giving up millions on the new deal does not look like a great financial decision on the surface, it’s important to understand why the superstar made that choice. Well, simply because he wants to win a championship. Sacrificing the $113 million gives his team the flexibility to improve their roster going forward and also keep their current roster intact for a better chance at winning the title in the near future. While Brunson could have made 35% of the 2025-26 salary cap on the first year of his deal had he waited another year to sign the deal, now the money he left opens up a $11.45 million cap space for the front office to make moves during the summer.

Even Knicks President Leon Rose appreciated Brunson’s massive sacrifice on social media, “Jalen signing his extension to remain with the Knicks for the long-term shows the dedication and passion he has for the organization, the fans, and this city.” Getting eliminated in the second round of the playoffs for the second straight year, Brunson probably understands that his team needs more firepower to get over the hump.

And the Knicks have already started making the moves as they added JB’s Villanova buddy Mikal Bridges to the roster in one of the biggest trades this off-season. Not only is Bridges an elite scorer who averaged nearly twenty points last season while shooting 37.2% from deep range, but he is also a great perimeter defender who can guard multiple positions. Moreover, with him finally reuniting with his college friends Brunson, Hart, and DiVincenzo, Bridges is likely to improve his game even more playing in New York.

Meanwhile, the Knicks also locked in OG Anunoby for five years with a massive extension just a few weeks ago, making their defense much stronger for the upcoming seasons. But the front office still has a lot of work to do as they still require a reliable big man after Isaiah Hartenstein left them to join OKC. Moreover, their current length players, Mitchell Robinson, and Julius Randle, missed a lot of games last season due to lingering injuries, which became one of the reasons why the team wasn’t able to get past the second round. So, in order to avoid repeating that same fate, the Knicks need to equip themselves with decent backup Centers who can take responsibility whenever their number is called.

For the first time in years, the Knicks have a squad that’s worthy of competing for a title and Jalen Brunson’s massive financial sacrifice allows them to build on this momentum even more. And if they are able to win a championship with Brunson as their leader, his sacrifice will be totally worth it.

Before leaving, be sure to check out some insights that Shaquille O’Neal’s ex-agent, Leonard Armato, shared about the Lakers legend’s infamous feud with the late Kobe Bryant.