Anthony Davis makes approximately $58.46 million per year as of the 2026-27 NBA season. This figure represents the salary from his three-year contract originally signed with the Los Angeles Lakers, which averages $58,456,566 annually over its duration. For context, at this income level, Davis earns roughly $160,000 per day, placing him among the highest-paid professional athletes in the world.
Beyond his base salary, Davis’s total annual earnings extend into endorsement deals and investment returns, though his primary income stream remains his NBA contract. The path to these earnings has been built through elite performance in the league, beginning with his 2012 draft selection by the New Orleans Pelicans and continuing through his rise as a franchise cornerstone player. It’s important to note that Anthony Davis was traded to the Washington Wizards following his Lakers contract tenure, though the contract terms discussed here reflect his documented earnings from that agreement. Understanding how athletes at this level are compensated involves more than just reading the headline figure—it encompasses tax implications, contract structure, and how these salaries compare across the league.
Table of Contents
- What’s Included in Anthony Davis’s Annual NBA Salary?
- How Does the Lakers Contract Break Down Year by Year?
- How Does Anthony Davis’s Salary Compare to Other NBA Superstars?
- What Are the Tax Implications of a $58 Million NBA Salary?
- How Stable Is This Income Level?
- Breaking Down the Three-Year Contract in Real Terms
- What’s Next for Davis’s Earnings Trajectory?
- Conclusion
- Frequently Asked Questions
What’s Included in Anthony Davis’s Annual NBA Salary?
anthony Davis’s $58.46 million salary for 2026-27 represents guaranteed money from his three-year Lakers deal, which totaled $175,369,698. This is not money Davis receives as a lump sum on draft day or season opening—it’s paid in installments over the course of the NBA season and offseason, typically split into payments aligned with the league’s pay schedule. The contract structure matters significantly because it determines when money arrives and how it’s taxed.
NBA salaries are earned throughout the season (roughly October through June) and players pay federal taxes, state taxes (which vary depending on where games are played), and various other deductions. A player earning $58.46 million faces a tax bill that can easily exceed 40-50% when combining federal, state, and local taxes depending on the team’s location and the player’s residency. Another critical component is that this salary figure is separate from any endorsement deals Davis may have signed with shoe companies, apparel brands, or other commercial partners. Many NBA stars at Davis’s level earn additional tens of millions annually through endorsements, though those numbers vary year to year based on performance, marketability, and negotiating power.
How Does the Lakers Contract Break Down Year by Year?
The three-year contract Davis signed specified different salary amounts for each season, with the 2026-27 figure ($58.46 million) representing the highest year. The previous 2025-26 season carried a salary cap hit of $54.13 million, showing an increase of approximately $4.33 million year-over-year. This escalation clause is standard in NBA contracts for superstar players—the deal rewards continued service and helps protect against inflation. One limitation to understand is that these figures represent the salary cap impact and cash salary, which can differ in certain situations.
Players might defer portions of their salary, take bonuses, or structure deals in ways that create discrepancies between what the salary cap counts and what the player actually receives in a given year. In Davis’s case, the figures provided reflect his actual compensation structure without significant deferrals. The contracts also include no-trade clauses or player options that affect flexibility for teams and players. These terms significantly impact the landscape of how and when a player can move between teams. Davis’s movement from the Lakers to the Wizards illustrates how players at his compensation level have leverage in negotiations that younger, lower-paid players simply don’t possess.
How Does Anthony Davis’s Salary Compare to Other NBA Superstars?
At $58.46 million annually, Davis ranks among the highest-paid players in the NBA, though not at the absolute top. For comparison, LeBron James and other franchise cornerstones have negotiated similar or occasionally higher figures depending on when their contracts were signed and what the salary cap allowed. The variance in NBA salaries is substantial—the highest-paid player might earn roughly twice what the 15th-highest-paid player makes. Davis’s earning power reflects both his on-court performance and his status as a perennial All-Star and one-time MVP candidate.
His championships, playoff appearances, and consistent elite defensive and offensive production have given him leverage in contract negotiations. However, it’s worth noting that injury history can impact long-term earnings potential, as players with durability concerns may not command the same multi-year deals as injury-free peers. The NBA salary landscape has also shifted significantly with the adoption of new collective bargaining agreement provisions. Contracts signed in recent years tend to be larger in absolute dollars than those from five to ten years prior, simply due to the overall growth of the league’s revenue. Davis’s contract reflects the contemporary reality of NBA compensation, not historical norms.
What Are the Tax Implications of a $58 Million NBA Salary?
One of the most misunderstood aspects of athlete income is the tax burden. Anthony Davis doesn’t take home the full $58.46 million—federal income tax alone typically claims 37% of earnings at this level for top earners, plus state income tax depending on where the Lakers operated and where Davis maintained residency. California, where the Lakers play, has among the highest state income tax rates in the nation at over 13%, further reducing his take-home amount. Players also pay Medicare and Social Security taxes, though high earners hit the income caps on Social Security contributions.
When aggregating federal, state, local, and various other tax obligations, a player earning $58 million might reasonably expect to keep only $25-30 million of that amount, sometimes less. This calculation underscores why agents negotiate aggressively for every additional million—after taxes, each million in gross salary translates to substantially less in actual spending power. Additionally, Davis must account for agents’ fees (typically 4-5% of contract value), financial advisors, and other professional services that reduce net income further. These are business expenses that come off the top before tax calculations. Understanding this gap between gross salary and actual take-home money is essential context for anyone examining athlete compensation.
How Stable Is This Income Level?
An important limitation to recognize is that NBA contracts, while guaranteed, can end unexpectedly due to injury, release, or other complications. Davis’s three-year, $175 million deal provides security that most workers never experience, but even this substantial protection has conditions. If an athlete suffers a career-ending injury, contract guarantees provide a safety net, but the earnings still cease at contract completion. The team situation also matters. Davis was traded from the Lakers to the Wizards, which demonstrates that even elite players don’t control where they work.
A significant trade or team dysfunction could potentially impact earning potential if it affects performance, marketability, or future contract negotiations. The $58.46 million figure is locked in for 2026-27, but what comes after depends on how Davis performs, what the market values, and whether he remains healthy. Another consideration is that unlike traditional employment, NBA income is highly concentrated and front-loaded in Davis’s career. These peak earning years in his early-to-mid-30s won’t continue indefinitely. Once contracts expire or players age out of the league, earnings drop precipitously unless they transition to broadcasting, business ventures, or other ventures.
Breaking Down the Three-Year Contract in Real Terms
The total three-year Lakers contract valued at $175,369,698 averages to $58,456,566 per season. To contextualize this for the average person, this is equivalent to a worker earning roughly $100,000 annually needing 584 years of work to match what Davis earns in one season. This comparison illustrates the vast earnings differential between elite professional athletes and typical household incomes.
The guaranteed nature of the contract also matters. Unlike workers who can be terminated at-will, Davis received a guarantee that the team would pay this money regardless of performance, injury, or other circumstances. This guarantee is a fundamental difference in how elite athletes are compensated versus how most employees are paid—Davis has security that provides flexibility for long-term planning and investment.
What’s Next for Davis’s Earnings Trajectory?
As Davis enters the later stages of his prime years, his next contract will likely determine whether his earning power increases, maintains, or decreases. Superstars at his level often negotiate substantial increases as free agents, but past performance and injury history influence negotiations. Teams evaluate age, durability, and fit before committing to nine-figure deals.
The NBA’s continued revenue growth from broadcasting deals, merchandising, and arena revenue suggests that future salary caps will continue climbing. This could mean Davis’s successor generation of stars commands even larger figures. However, Davis’s own trajectory will depend on whether he remains a perennial All-Star and playoff contributor through the remainder of his playing career.
Conclusion
Anthony Davis makes $58.46 million per year from his three-year Lakers contract, with average annual value of $58,456,566. After accounting for federal taxes, state taxes, agent fees, and other professional expenses, his actual take-home pay is substantially lower—realistically in the $25-30 million range annually. This salary places him among the NBA’s elite earners and represents the culmination of years of elite performance and negotiating leverage.
Understanding Davis’s compensation requires looking beyond headline figures to examine contract structure, tax implications, and context within the broader league landscape. His income demonstrates both the massive compensation available to superstar professional athletes and the complex reality of how that income is actually received and utilized. For fans and those curious about athlete earnings, Davis’s deal provides a clear example of how modern sports compensation works at the highest levels.
Frequently Asked Questions
Does Anthony Davis still play for the Lakers?
Anthony Davis was traded to the Washington Wizards following his tenure with the Lakers. The contract figures discussed here reflect his guaranteed earnings from his Lakers agreement.
How much does Anthony Davis actually take home after taxes?
After federal taxes (approximately 37%), California state income tax (over 13%), Social Security, Medicare, and other deductions, Davis likely keeps between $25-30 million of his $58.46 million gross salary.
Is the entire $58.46 million guaranteed?
Yes, Davis’s contract is fully guaranteed, meaning the team must pay this amount regardless of performance or injury status.
How does Davis’s salary compare to other NBA players?
Davis ranks among the top 10 highest-paid NBA players. His salary is comparable to other franchise superstars but not necessarily the single highest—that distinction varies by player and contract timing.
What happens to Davis’s salary if he gets injured?
His guaranteed contract remains in effect, meaning he continues to receive full payment even if injury prevents him from playing. However, contracts expire at their designated end date regardless of circumstances.
Can Davis’s salary increase during the contract?
The contract is fixed with predetermined amounts for each year. The 2026-27 figure of $58.46 million is the agreed-upon amount and cannot increase during the contract term.