CLEVELAND, Ohio -- The Cavaliers decided not to waive veteran guard Mo Williams by Wednesday's deadline to do so and "stretch" the $2.2 million they owe him next season over three years, which would've saved the team millions in luxury tax penalties.

However, the Cavs are also highly skeptical that Williams, 33, is planning to return in 2016-17, according to a team source. On Saturday, cleveland.com reported that Williams was strongly considering retirement, according to multiple sources close to him.

The front office has heard the same thing, on numerous occasions, just not from the player. Williams, who battled knee and thumb injuries for much of Cleveland's 2016 title run, will now probably make the full $2.2 million he's owed, unless he reaches a buyout agreement with the Cavs as part of his retirement -- should he choose to end his career after 13 seasons.

Had the Cavs waived him Wednesday, they would've saved millions next summer in luxury-tax penalties. The team is already nearly $24 million over the $94 million salary cap and $4 million over the threshold to have to pay a luxury tax, and that's without the likely re-signing of free agent guard J.R. Smith.

The Cavs weighed waiving Williams now -- influenced by the appearance that he doesn't seem to intend on playing -- and having his salary spread out over three years (which will save them money now but add to their luxury tax penalties in each year), versus paying a larger penalty for Williams now in the final year of Williams' contract.

Unless Williams convinces the team he is healthy enough to contribute, the Cavs are left with a big hole behind starting point guard Kyrie Irving. They have rookie Kay Felder, but may try to find a trade partner to take Williams' salary in an effort to find a backup guard.

Also, former Baylor power forward Cory Jefferson will likely attend training camp as a non-guaranteed invitee, a source said. Jefferson's plans to come to camp with Cleveland was first reported by international basketball writer David Pick.

Training camp starts Sept. 26.