The Los Angeles Dodgers they had spent much of the off-season moving in the shadows, while other teams like the Padres blew the house out the window by landing Blake Snell and Yu Darvish. But wow, in the past few weeks they’ve left everyone else by spending over $ 150 million on three MLB-free agency players in Blake Trains, Trevor Bauer and Justin Turner.
The former, who coached and clinched the Dodgers in 2020, received a two-year $ 17.5 million contract to return to the team.
On the other hand, Bauer, this year’s bomb maker, received three years for $ 102 million with forays after each year and years one and two would break the record of money made in one year at $ 40 and 42 million. Per year. , respectively.
Finally, the Dodgers and their Captain Turner both had to give their arms to turn, because while one wanted to award only a one-year contract, the other wanted three years or more. Ultimately, they agreed within two years for 34 million euros.
While most teams have cut their spending somewhat since the start of the pandemic, the Dodgers have done the opposite. Let’s not forget Mookie Betts’ contract. In fact, they are the only team so far to have crossed the luxury tax limit, the Red Sox coming closest at 208 million.
Prior to these latest contacts, Dodgers were still below the $ 210 million pre-luxury salary ceiling. According to the sites Roster Resource and Cot’s, the team is now between $ 254 million and $ 256 million for the 2021 season. Going over a limit of more than $ 40 million is important.
Why? MLB’s luxury tax has three tiers, each of which costs a little more.
- First level: 20% on the amount above the limit up to 20 million
- Second level: 32% in the amount between 20 million and 40 million
- Third level: 42.5% in the amount above 40 million, but they also have to drop 10 places in the design.
This is only for the first year that you are in the luxury tax, each year you repeat you have to pay a higher amount.
That means the Dodgers, if they keep their payroll that way, they will have to pay 4 million for the level, 6.4 million for the second, and 2.9 million for the last level. In total, Dodgers’ payroll with everything and luxury taxes would be about $ 270.2 million.
The Dodgers could make a change to free up a few million to lower the tax, such as changing David Price though he doesn’t draw much attention to teams at the moment as he could decide at any time to not this year to play like in 2020.
We’ll see if it works out for the 2020 championship team.