The Denver Nuggets enter this offseason facing a series of complex and high-stakes decisions. Hamstrung by the second-apron tax threshold, the front office must navigate roster construction carefully if they hope to run it back competitively. Re-signing restricted free agent Peyton Watson, for instance, would push the team deeper into luxury tax territory unless other moves are made. Yet amid these challenges, one critical decision stands out as remarkably straightforward—one that Nikola Jokić has made effortless for the organization.
The Nuggets simply must sign Jokić to his maximum contract extension as soon as possible.
According to ESPN’s Bobby Marks, Jokić is eligible for a max extension worth either three years and $214 million or four years and $278 million, depending on whether he exercises his 2027-28 player option. The earliest the two sides can ink the deal is the day after the NBA Finals conclude. For Denver, there should be no hesitation. They should sign this extension on day one of the offseason window and move forward with confidence.
Despite a disappointing first-round exit against the Minnesota Timberwolves, Jokić remains at the absolute peak of his powers. The Serbian superstar has cemented his place as one of the greatest players in the league. He deservedly should have claimed his sixth MVP award this season, though finishing with six straight top-two finishes is a historic achievement in itself. He also earned his eighth All-NBA selection and led the entire NBA in both rebounds and assists.
Paying Jokić an average of roughly $71 million annually on the three-year extension may sound staggering to some, but this is the Joker—a generational talent who continues to elevate everyone around him. Letting any uncertainty linger around his future would be unthinkable.
The decisions only get tougher after Jokić’s extension
While extending Jokić is a no-brainer, the rest of Denver’s offseason will test the front office and team president Josh Kroenke. Retaining Watson is likely a priority for continuity on the wing and in the frontcourt, but doing so without corresponding trades or cuts will trigger the harsher penalties of the second apron. The Nuggets will have limited flexibility to improve the roster through free agency or mid-level exceptions.
This financial reality forces a fundamental question: How aggressively is Denver willing to build around their franchise center?
The Nuggets cannot waste Jokić’s title window
At 31 years old next season, Jokić is still firmly in his prime, but the supporting cast is aging alongside him. Aaron Gordon will also be 31, while Jamal Murray turns 29. Compared to the much younger, more athletic cores of the San Antonio Spurs and Oklahoma City Thunder—teams that have surged ahead in both talent and defensive versatility—the Nuggets’ window is narrowing.
The franchise cannot afford to let Jokić’s championship contention years slip away through inaction or excessive conservatism. He has already delivered an MVP-level masterpiece season after season. Failing to surround him with the necessary athleticism, defense, and depth would not only risk squandering his prime but could also damage long-term trust between the superstar and the organization.
The path forward may involve paying the second-apron tax in the short term to remain competitive. It could require creative roster maneuvering or strategic trades to inject youth and versatility. What it cannot involve is standing pat while stronger, faster, and deeper teams pull further ahead.
For once this summer, the Nuggets have an unequivocally easy call. Signing Nikola Jokić to his max extension is not just smart business—it’s essential. The harder choices that follow will define whether Denver can truly maximize the final prime years of one of the most talented players the league has ever seen.