Pacers have eyes on lottery, return to contention in 2026-27

After a disappointing 2025-26 season, the Pacers will look to rebound quickly, according to Keith Smith of Spotrac.

Indiana is currently projected to operate over the cap and near the luxury tax, with limited flexibility outside of the taxpayer mid-level exception.

The team’s offseason will largely hinge on the draft lottery. Its 2026 first-round pick is top-four protected, But if it lands outside that range, it will be sent to the Clippers. Obviously, a top-four pick would give Indiana a chance to add a high-end prospect and accelerate a return to contention.

Most of the roster is already under contract, including Tyrese Haliburton, Pascal Siakam and Ivica Zubac, leaving the front office without many urgent decisions.

As a result, the Pacers are expected to take an opportunistic approach, potentially exploring trades to manage salary or reshape the roster.

Extension decisions for several players could also be on the horizon, though none are considered pressing.

Bottom line? If healthy (and with some lottery luck) Indiana is positioned to take a step forward next season.