NBA salary cap set at $58.7 million

The NBA has set next season's salary cap at $58.7 million, paving the way for contracts to be signed starting Wednesday.

The tax level is $71.7 million, with harsher penalties starting this season for teams that exceed it.

Teams formerly paid $1 for every $1 they were over, but the penalties now start at $1.50 per dollar for teams up to $4.9 million over, with increases from there.