Miami Heat guard Tyler Herro, last season's NBA Sixth Man of the Year, has signed a four-year contract extension, the team announced Sunday.

Multiple reports said the deal was worth an average of $30 million per season with performance incentives over the life of the contract that could make it worth as much as $130 million.

"Tyler is an impact multi-faceted player and we are excited to have him signed for the next five years," Heat president Pat Riley said.

"His improvement every year since we drafted him has led to this day. We believe he will continue to get better."

The 22-year-old American was taken 13th overall by Miami in the 2019 NBA Draft.

The Heat reached the NBA Finals in his rookie season, losing to the Los Angeles Lakers in the 2020 title showdown, but were ousted in the first round of the 2021 playoffs and fell to Boston in a seventh-game showdown in this year's Eastern Conference finals.

Herro came off the bench in 56 of his 66 appearances last season to earn the NBA top reserve award, averaging 20.7 points, 5.0 rebounds and 4.0 assists in 32.6 minutes on the court.

Herro has averaged 16.7 points, 4.7 rebounds and 3.2 assists a game over his three league seasons, improving his scoring average every campaign.