Some endings never really feel final. And that was the mood around Steve Kerr and the Golden State Warriors after their Play-In exit against the Phoenix Suns in April. With no contract in place, talk of a split only grew louder. Yet behind the scenes, patience won out. Now, the Warriors are ready for another chapter with Coach Kerr staying on the sidelines and Stephen Curry still leading the charge.

ESPN’s Shams Charania reported, “It’s a two-year contract for Steve Kerr to return as head coach of the Golden State Warriors. Sources tell me that it makes him and keeps him the highest-paid coach in the NBA moving forward.” He added, “For this 13th season and beyond with the Warriors. But Steve Kerr did contemplate stepping away after a legendary four-championship run over the course of 12 years so far in Golden State.”

The 60-year-old completed his run on an extension of 2 years, $35 million, which he signed in Feb 2024. That deal made him the highest-paid coach in the NBA’s history with an annual value of $17.5 million. But his new contract extension will be bigger than the previous one, and we’re yet to know its true value. However, this handshake was seemingly beyond monetary facilities. It was more about the trust that both sides had in each other.

Charania added, “But I’m told Kerr met with Joe Lacob, the Warriors owner, multiple times over the last three weeks face-to-face. And the conclusion was Steve Kerr wanted to coach. Joe Lacob and the Warriors welcomed him, wanted him back on this team.” He added, “And the sides moved forward and just figured out what does this team look like into the summer, playing style, obviously, the contractual terms as well.”

By late April, the Warriors’ front office made it clear that they wanted Steve Kerr back as the head coach. According to a report from ClutchPoints’  Brett Seigel, “There is not one person within the organization who wants Kerr to walk away. Lacob and Dunleavy have both made it known to Kerr that they want him back, as have Curry, Green, and the entire locker room.” And that choice stood out because of how comfortable the whole system was with the 60-year-old at its center.

Now comes the most important part of this new contract extension. That is, the Warriors roster. Going into the 2026-27 season, the Golden State Warriors don’t have enough financial flexibility. Kerr staying through 2028 quietly changed the entire temperature around the Warriors. Therefore, the front office might have to take some tough calls. And that might start with Draymond Green and Jimmy Butler.

Steve Kerr’s future puts Draymond Green & Jimmy Butler’s in jeopardy

Shams Charania noted, “This now clears the way for Steve Kerr to coach for the final years of Stephen Curry’s career in Golden State. And now also gives them a sense of direction. They are going to be out there in the marketplace looking for a star-caliber player to pair with Stephen Curry, with Steve Kerr as the head coach. They have four first-round picks. We’ll see what happens in the lottery later today, as well as tradable contracts.”

The Warriors already project a staggering $278.3 M in total cap allocations for 2026-27. Meanwhile, they are sitting at  -$113.3 million in cap space. Even with $27 M below the first apron and $40 M below the second apron, every financial decision now carries enormous weight. That pressure naturally shifts attention toward Jimmy Butler and Draymond Green. Butler is owed roughly $56.8 million in 2026-27. But his Achilles injury from January 30 could sideline him for the entire season.

Because of that uncertainty, league chatter around a temporary trade scenario has only grown louder. Golden State already pulled off a similar move with De’Anthony Melton in 2024 before eventually bringing him back after recovery. The Warriors still believe Jimmy Butler can remain part of their long-term plans. Although the front office will intensify discussions once June and July arrive.

Meanwhile, Draymond Green holds a $27.6 million player option for his age-36 campaign. ESPN’s Anthony Slater reported that the Warriors are open to future talks instead of forcing a breakup. Still, Green’s 2025-26 production painted a complicated picture. Across 68 games, he averaged 8.4 points, 5.5 rebounds, and 5.5 assists while shooting 41.8% from the field and 32.6% from deep. Add Stephen Curry’s $62.6 million salary, and Golden State suddenly looks like a franchise balancing loyalty, age, injuries, and one final championship chase all at once.

Championship windows rarely close quietly, and the Warriors now stand at that exact crossroads. Steve Kerr chose belief over uncertainty. Yet his return also forces Golden State into difficult conversations. Jimmy Butler’s recovery, Draymond Green’s future, and an aging core now sit under the spotlight. Still, with Stephen Curry and Steve Kerr in place, the Warriors believe one last title run remains possible.