MLB News & Notes (other than Cubs or Sox) - Printable Version +- Sons of Ivy (https://sonsofivy.com/forum) +-- Forum: Chicago Cubs (https://sonsofivy.com/forum/forum-4.html) +--- Forum: The Friendly Confines (https://sonsofivy.com/forum/forum-8.html) +--- Thread: MLB News & Notes (other than Cubs or Sox) (/thread-8401.html) Pages:
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MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 Quote:<blockquote class="ipsBlockquote" data-author="rok" data-cid="234636" data-time="1421688280"> Everything about that deal is nuts. 7/210 is nuts. Paying $15 million a year for 7 years after the contract is over is certifiably insane.</blockquote> My money is on Scherzer having TJS by year 2 of this deal. MLB News & Notes (other than Cubs or Sox) - Coldneck - 01-19-2015 Quote: Everything about that deal is nuts. 7/210 is nuts. Paying $15 million a year for 7 years after the contract is over is certifiably insane.</blockquote> My money is on Scherzer having TJS by year 2 of this deal. </blockquote> ESPN says there is a $50MM signing bonus, which confuses me. The math doesn't work. Quote: MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 Quote:<blockquote class="ipsBlockquote" data-author="rok" data-cid="234639" data-time="1421688490"> Everything about that deal is nuts. 7/210 is nuts. Paying $15 million a year for 7 years after the contract is over is certifiably insane.</blockquote>My money is on Scherzer having TJS by year 2 of this deal. </blockquote> ESPN says there is a $50MM signing bonus, which confuses me. The math doesn't work. Quote: The deal also includes a record $50 million signing bonus, a person familiar with the negotiations told The Associated Press.</blockquote> That helps against the luxury tax minimum. If spread out like Lester's deal it doesn't all count toward payroll if it is bonus. MLB News & Notes (other than Cubs or Sox) - Coldneck - 01-19-2015 Quote: Everything about that deal is nuts. 7/210 is nuts. Paying $15 million a year for 7 years after the contract is over is certifiably insane.</blockquote> My money is on Scherzer having TJS by year 2 of this deal. </blockquote> ESPN says there is a $50MM signing bonus, which confuses me. The math doesn't work. Quote: The deal also includes a record $50 million signing bonus, a person familiar with the negotiations told The Associated Press.</blockquote> That helps against the luxury tax minimum. If spread out like Lester's deal it doesn't all count toward payroll if it is bonus. </blockquote> Can you explain how that works in this situation? It sounds like you're saying the luxury tax calculation can be gamed very easily? I would have thought that a signing bonus means that he's paid $50MM on (fill in date). Or $25MM on date #1 and $25MM on date #2, etc. I'd be surprised if a team can just say $50M is a signing bonus but it's paid out like regular salary (or deferred salary) and receive any luxury tax benefits. MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 I'm not 100% sure of the exact rules, but I've never seen a signing bonus of more than 25% of a total contract. They don't always end up being spread out, but I do know that there are trade offs given differing tax rates on bonus vs. regular wages, so it's not as though you could make most of the contract a bonus and immunize everyone from the luxury threshold. Here is Lester's signing bonus from the official Lester thread as an example: $30 million signing bonus: $15 million April 1, 2015 $2.5 million Dec 31, 2018 $2.5 million Dec 31, 2019 $10 million Sep 15, 2020 I would imagine Scherzer's $50 million will shake out in a similar manner. MLB News & Notes (other than Cubs or Sox) - Coldneck - 01-19-2015 Quote:I'm not 100% sure of the exact rules, but I've never seen a signing bonus of more than 25% of a total contract. They don't always end up being spread out, but I do know that there are trade offs given differing tax rates on bonus vs. regular wages, so it's not as though you could make most of the contract a bonus and immunize everyone from the luxury threshold. Here is Lester's signing bonus from the official Lester thread as an example:I guess I'd have to understand the luxury tax collection for any of it to make sense. To say that there's a $50MM signing bonus and then say that it's a 7 year/$210MM contract paid out in fourteen $15MM payments doesn't make any sense. There's an error somewhere in there. And I wouldn't expect either the Cubs or the Nats to be in jeopardy of the luxury tax any time soon. I think it begins in the $200MM range. MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 Quote:<blockquote class="ipsBlockquote" data-author="rok" data-cid="234662" data-time="1421694648">I guess I'd have to understand the luxury tax collection for any of it to make sense. To say that there's a $50MM signing bonus and then say that it's a 7 year/$210MM contract paid out in fourteen $15MM payments doesn't make any sense. There's an error somewhere in there. And I wouldn't expect either the Cubs or the Nats to be in jeopardy of the luxury tax any time soon. I think it begins in the $200MM range. </blockquote>Well, add in another $20-30 mil contract or two, and you start getting really close to the $189 luxury threshold (last I checked). It wouldn't take much from the current $110 million and $135 million estimated 2015 payrolls of the Cubs and Nats respectively (before adding in Scherzer) plus future contract inflation, then it starts to get dicey. MLB News & Notes (other than Cubs or Sox) - nakedman1664 - 01-19-2015 Close, $189 million. Edit: rok beat me to it, it's still that number. MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 Quote:SB Nations Chris Cotillo reports that pitcher Yovani Gallardo has been informed he has been traded to the Rangers. News of the trade was initially reported Monday morning. Per Jeff Passan of Yahoo Sports, the Brewers will receive infield prospect Luis Sardinas, pitcher Corey Knebel, and pitcher Marcos Diplan. MLB.coms Jesse Sanchez adds that the Brewers are sending cash to the Rangers as well. Who? MLB News & Notes (other than Cubs or Sox) - funkster - 01-19-2015 Maybe I just don't know the Rangers's system, but I don't recognize any of those names. MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 I've heard of Sardinas because he got called up briefly in 2914, but know very little about him. The others are a complete mystery to me. MLB News & Notes (other than Cubs or Sox) - VanSlawAndCottoCheese - 01-19-2015 Quote:I've heard of Sardinas because he got called up briefly in 2914, but know very little about him. The others are a complete mystery to me. Was that the year the Mexico City Banditos beat the Jupiter Space Marauders in the Intergalactic Series, Future Man? MLB News & Notes (other than Cubs or Sox) - MickKelleherWasMyHero - 01-19-2015 Quote: Was that the year the Mexico City Banditos beat the Jupiter Space Marauders in the Intergalactic Series, Future Man? </div> </blockquote> I was going to make a smart-ass comment about that being the year that the Cubs finally break their world (Intergalatic) series drought, but I didn't think that would go over to well here. MLB News & Notes (other than Cubs or Sox) - nakedman1664 - 01-19-2015 I want some sardines now. MLB News & Notes (other than Cubs or Sox) - rok - 01-19-2015 Quote:<blockquote class="ipsBlockquote" data-author="rok" data-cid="234698" data-time="1421708527"> Was that the year the Mexico City Banditos beat the Jupiter Space Marauders in the Intergalactic Series, Future Man?</blockquote> Yes. |