The NBA has informed teams that next season's salary cap will be set at $101.8 million and the luxury tax will be set at $123.7 million, the league announced.

The new salary cap and tax level will go into effect as free agency begins at 12:01 a.m. ET on July 1.

Additionally, the cap floor, which is set at 90 percent of the salary cap, will be $91.6 million.

The league projects the cap to sit at $109 million for the 2019-2020 season and jump to $116 million in 2020-21, as reported by ESPN's Zach Lowe.

As for the exceptions outlined in the CBA, the non-taxpayer mid-level will be $8.6 million, the taxpayer mid-level will be $5.3 million, and the mid-level for teams with cap room will be $4.4 million.