Mid-Level exception: A cap exception that allows teams to sign one or multiple free agents to contracts above the minimum salary even if they are above the cap. There are three different mid-level exceptions. Teams may only use one of them, and the one(s) they have access to depends on their overall finances:
The cap-room mid-level exception is given to teams that were far enough below the cap to spend cap space on free agents. It can be used to sign contracts no longer than two years, and the projected amount for this exception in the 2022-23 season is $5,329,000.
The taxpayer mid-level exception can be used by any team operating above the salary cap, but is traditionally used by the most expensive ones. It offers a lower salary, but does not trigger a hard cap. It can be used to sign contracts no longer than three years, and the projected amount for this exception in the 2022-23 season is $6,392,000.
The non-taxpayer mid-level exception can be used by any team operating above the salary cap, but must be wielded with caution, as any team that does use it is hard-capped at the apron. It can be used to sign contracts for up to four years, and the projected amount for this exception in the 2022-23 season is $10,349,000.