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Volume 24 No. 132
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Dodgers, Yankees Lead Six MLB Teams In Paying Luxury Tax For '17 Season

The Dodgers topped MLB by spending $244M in ‘17 player salaries and are one of six teams “expected to pay a luxury tax this year,” according to Bob Nightengale of USA TODAY. The luxury tax payrolls are “based on the average annual values of contracts and earned 2017 bonuses.” While only the Dodgers and Yankees are above the $195M threshold, teams also “must include" about $13M in benefits "based on their 40-man rosters.” The Yankees have now “paid a luxury tax 15 consecutive years.” The Dodgers are “paying a tax for the fifth consecutive year, the Red Sox and Giants are paying for the third consecutive time; and the Cubs and Tigers are two-time offenders.” The luxury tax threshold will rise to $197M for the ‘18 season. The Brewers “had the lowest player payroll last season” at $67.9M, and while the Padres’ payroll was $71.7M, they paid just $39.4M to players on their active roster (USA TODAY, 11/14).

Red Sox

GONE FISHING: In Miami, Barry Jackson examines what the Marlins payroll may “look like for next few years.” A source said that new co-Owners Bruce Sherman and Derek Jeter “told other owners during the application process that their payroll projection” is not only $90M for the ‘18 season, but for ‘19 as well. There is a “planned jump” in ‘20, but the amount will “depend on how much the team can increase revenue.” These new owners “say they have creative ideas to increase revenue.” Sources said that Sherman and Jeter are “eyeballing at least four ways to increase revenue.” They “believe the annual rights of their TV contract will jump dramatically” from $20M per year when the deal with FS Florida expires after ‘20. Sherman and Jeter “believe they will be able to sell naming rights” for Marlins Park. They also “believe attendance will rise” and they will “increase revenue by making a stronger attempt to appeal to the Hispanic market than the past regime did” (MIAMI HERALD, 11/14).