The LoHud Yankees Blog

A New York Yankees blog by Chad Jennings and the staff of The Journal News


The Yankees decade of luxury tax payments

Posted by: Chad Jennings - Posted in Misc on Dec 18, 2012 Print This Post Print This Post | Email This Post Email This Post

In connection with today’s story on the Yankees luxury tax bill for 2012, the Associated Press sent the following two paragraphs and chart, detailing what exactly goes into a team’s total payroll figure and outlining the Yankees payroll for the past decade.

(The following is) the New York Yankees’ payroll for luxury tax purposes each year, and the team’s tax, as compiled by the commissioner’s office, and the percentage tax rate the team paid on its overage.

Payrolls are for 40-man rosters and include averages of multiyear contracts plus a 1-30th of Major League Baseball’s costs of health and pension benefits; clubs medical costs; insurance; workman’s compensation, payroll, unemployment and Social Security taxes; spring training allowances; meal and tip money; All-Star game expenses; travel and moving expenses; postseason pay; and college scholarships.

Comments

comments

 

Advertisement

48 Responses to “The Yankees decade of luxury tax payments”

  1. The Return of Stoneburner December 18th, 2012 at 7:13 pm

    The trade value of elite prospects seems to be dropping, writes Geoff Baker of the Seattle Times, thus hurting the Mariners’ chances of using their top minor leaguers as trade chips to acquire proven big league talent.
    Read more at http://www.mlbtraderumors.com/#bMM8Og4FsxxDCZwt.99

    *****

    Finally the bubble is starting to burst – - – -

  2. Shame Spencer December 18th, 2012 at 7:24 pm

    mick December 18th, 2012 at 7:18 pm

    shame….say he gets 200m wherever he goes or stays.
    why would he take the same money here over a longer period of time when he can get it elsewhere in say 1/2 the time then go for another contract?

    —————

    He can’t get $200 million dollars in 1/2 the time anywhere else. Not even in LA.

    He’d be risking quite a bit.. if I give him an opt out clause it’s a two-way opt out clause lol. The most Cano gets from me is a no trade to protect him at the end of the deal.

    If the Dodgers are willing to give him a front loaded $200 million dollar pact AND let him opt out after 4 years, then they can have him. ……F*ck the Dodgers, they’ll probably try some crazy sh*t like that.

  3. Shame Spencer December 18th, 2012 at 7:25 pm

    Ohh, here’s a crazy plan: Give him an opt out after 5 years but set it up so a no-trade doesn’t kick in until year 6 lol. If it looks like he’ll have a better market in before year 5 begins, move him!

  4. mick December 18th, 2012 at 7:28 pm

    can’t say i blame hal for hating that LT…

  5. ron December 18th, 2012 at 7:32 pm

    2003 lux tax penalty 17.5 %

    2012 lt penalty 42.5 %

    It’s only going to go up further

  6. mick December 18th, 2012 at 7:35 pm

    not any more…

  7. jmills December 18th, 2012 at 7:36 pm

    Here’s a plan – give me Cano for next season ( we’re a touch short at second ) and u can deplete my reserves. :)

    P.S.,…I have no decision making abilty.

  8. Ys Guy December 18th, 2012 at 7:39 pm

    shame, cano would have 10/5 ntc rights before then

  9. Jerkface December 18th, 2012 at 7:41 pm

    Here is the problem with say a 200 / 12 deal with an opt out after 5

    Lets presume the Yankees super front load it as you suggest.

    First 6 years = 160 million, last 6 years = 40 million

    The AAV of the first half is 26.7
    The AAV of the whole thing is 16.7

    When Cano opts out after 5, the Yankees will be hit in that next year with a salary of 50 million in ‘avoided’ tax. So they’d basically be using up a third of their payroll, and probably pay a huge LT fee, just for the chance to help skirt the luxury tax in those other years. It may not be worth it.

    I’d do it though. If you get under you’re potentially only paying 17.5 on that 50

  10. Shame Spencer December 18th, 2012 at 7:42 pm

    I’m not advocating an opt out. I think if you go $200 million you either are all in or you’re not. No opt outs.

    mick is the one insisting he has one so I’m entertaining it… why, I don’t even know lol.

    I prefer just the idea of straight up doing a 12 year deal for $200 million.

  11. Jerkface December 18th, 2012 at 7:44 pm

    I don’t think he’d take that if he got close money for less years, unfortunately. Its why those super long deals are never realistic

  12. Shame Spencer December 18th, 2012 at 7:45 pm

    If he’s hung up on getting an opt out as a part of that deal, I think you just need to walk away. But I dunno that it would need to be a part of the deal.. Obv I have no idea what Cano is thinking but I think a front loaded long term deal is the best bet at keeping him.

    Forget 7 years.. you’re never getting a decent AAV at those years.

  13. jmills December 18th, 2012 at 7:45 pm

    Blake was thinking the Jays will sign Soriano – everything here spells,….they’re spent.

    I believe in Casey Jansen’s sensibilities; what I do think they require is people like Oliver to stick around and also another long reliever ( Villeneuva? ) and maybe another one out wonder.

  14. Shame Spencer December 18th, 2012 at 7:46 pm

    I can’t tell what he’s market will be… I dunno if it’s $200 million or if he can realistically get $250 million.

    If he can get $250, then I am out of ideas for how to make it work unless he’d go for 15/250.

  15. Shame Spencer December 18th, 2012 at 7:47 pm

    If the Dodgers weren’t masquerading as the Yankees right now my plan would work!! :mad:

  16. Shame Spencer December 18th, 2012 at 7:48 pm

    Btw, JF, is there anything in the CBA that guards against heavily front or back loaded deals?

  17. jmills December 18th, 2012 at 7:49 pm

    Why don’t you hire Soriano? Back up if Mo is problematic.

  18. mick December 18th, 2012 at 7:50 pm

    I prefer just the idea of straight up doing a 12 year deal for $200 million.
    =====================
    But I’m sure Boras won’t…

  19. mick December 18th, 2012 at 7:51 pm

    mills i posted the 2 waltzing matildas on last thread

  20. Jerkface December 18th, 2012 at 7:52 pm

    Btw, JF, is there anything in the CBA that guards against heavily front or back loaded deals?

    Well besides AAV & getting owned if you have some kind of opt out? No. You can proportion the deals anyway you want, you can’t change the AAV

  21. jmills December 18th, 2012 at 7:53 pm

    Mick, will back check like a good Stevie Yzerman. ( Nobody was better than Bob Gainey )

  22. Shame Spencer December 18th, 2012 at 7:53 pm

    mick December 18th, 2012 at 7:50 pm

    I prefer just the idea of straight up doing a 12 year deal for $200 million.
    =====================
    But I’m sure Boras won’t…

    —————-

    Boras would prefer a $300 million deal.

    Boras can’t get everything he wants. Cano is going to make a decision based on (very likely) 2 things: money and team/location.

    Cano is going to have to decide between a sh*t load of money in NY where he grew up or in LA. If the Dodgers offer $40-50 million more than we do, he’s as good as gone anyway. But I don’t know that a make-or-break factor will be an opt-out. Could be of course.. but my heart can only take so much speculation right now.

  23. Shame Spencer December 18th, 2012 at 7:56 pm

    Jerkface December 18th, 2012 at 7:52 pm

    Btw, JF, is there anything in the CBA that guards against heavily front or back loaded deals?

    Well besides AAV & getting owned if you have some kind of opt out? No. You can proportion the deals anyway you want, you can’t change the AAV

    ————–

    The NHL CBA was similar until the Devils took it to the extreme and the league got made and changed the rules without actual collective bargaining negotiations. :D

    I still think it might be our only chance at keeping him. Maybe 12/225.

  24. Shame Spencer December 18th, 2012 at 7:57 pm

    mad*

    Like.. :mad:

  25. blake December 18th, 2012 at 8:03 pm

    If Cano takes the highest offer then I doubt he will be a New York Yankee beyond 2013….

    He may give them a discount….but even with the discount he is likely to cost more than they should pay him.

    I was hoping back during the season that they could negotiate an extension that would be about 6/120 added on to his option year….so the total deal would be roughly 7/135…..that’s out now….he’s going to free agency and barring injury Boras will probably get him around 8/200 if not more….

    So be prepared to pay that Yankees. (And be prepared to eat it when he declines)….or position yourselves to let him go

  26. blake December 18th, 2012 at 8:04 pm

    @JimBowdenESPNxm: Padres are out on Edwin Jackson after refusing to go to 4 years….destination down to Cubs and Rangers

    Jackson is probably gonna be a decent bargain for somebody

  27. jmills December 18th, 2012 at 8:07 pm

    Mick, thanks for the music as always,…gonna’ share it with my daughter!

  28. Shame Spencer December 18th, 2012 at 8:09 pm

    You really gotta figure out what he’d demanding in an overall number. Once you have that amount it’s a lot easier to figure out (said Captain Obvious).

    If he’ll take $225 you can make that work over 12 years without it killing you. That wouldn’t even be a $20 AAV.

    If the Dodgers are ready to go $250.. we’re probably screwed.

    ..But if I’m the Dodgers I’d rather wait to invest in Andrus :twisted:

    Hehe, who am I kidding, if I’m the Dodgers I sign both :(

  29. randy l. December 18th, 2012 at 8:12 pm

    “Hobbit should be fine for a 7 year old. There is a little bit of violence, nothing more than Lord of the Rings”

    should be fine for mick :)

  30. jmills December 18th, 2012 at 8:12 pm

    I’m a Canadian who doesn’t care about hockey right now,……thank little goddess.

  31. jmills December 18th, 2012 at 8:17 pm

    I was able to youtube a video of Marcel Dionne talking about the present state of your present NHLer.

    ” They’re spoiled. “

  32. J. Alfred Prufrock December 18th, 2012 at 8:21 pm

    jmills December 18th, 2012 at 7:53 pm

    ( Nobody was better than Bob Gainey )
    ///

    except for Walter Tkaczuk :)

  33. jmills December 18th, 2012 at 8:24 pm

    Alfred,… I like the Last Waltz too! :)

    Robbie Robertson et Big Al!

  34. yankeefeminista December 18th, 2012 at 8:27 pm

    jmills December 18th, 2012 at 7:53 pm

    ( Nobody was better than Bob Gainey )
    ///

    except for Walter Tkaczuk
    _____
    Jari Kurri says hello. :)

  35. mick December 18th, 2012 at 8:29 pm

    should be fine for mick
    ================
    it was. i slept thru parts but saw enough of it…

  36. J. Alfred Prufrock December 18th, 2012 at 8:29 pm

    jmills, what you like about guys like Tkaczuk is they never delivered the thundering hits, they simply tied you up in seaweed all game long. You could smell what they had for lunch ;)

  37. jmills December 18th, 2012 at 8:31 pm

    Hi yf! Yeah, I’d like Jari on my team as well. Why not? :) – best to you and yours!

  38. jmills December 18th, 2012 at 8:33 pm

    Alfred,….that sounds horrible! We’re much better than that!!!!!!

  39. mick December 18th, 2012 at 8:34 pm

    only randy should watch this one:

    http://www.youtube.com/watch?v=BnDH-RXCptY

  40. J. Alfred Prufrock December 18th, 2012 at 8:34 pm

    Jari Kurri says hello. :)
    ///

    Fem, Kurri was definitely worthy. He also was the silent type, and once the puck was turned over, his transition to offense was ridiculous. Jari Kurri was one of the all-time great 2-way forwards the game ever saw. For shooting accuracy, i’d have to say it was between him and Mario (the latter is a greatest pure goal scorer I ever saw, and tied with Gretzky for greatest player ever).

    Players like Kurri didn’t get enough credit, probably, because they were always in position and were just surgical, especially defensively, that they went unnoticed. Good call :D.

  41. mick December 18th, 2012 at 8:38 pm

    please no hockety talk allowed here…..against Toss rules or something..

  42. J. Alfred Prufrock December 18th, 2012 at 8:39 pm

    Kurri destroyed the Boston Bruins in the ’90 Cup finals. A well meaning friend of mine, who rooted for the Bruins because he roots for all Boston teams but who was no seasoned hockey fan, said: “The Bruins should be ahead in this series. It’s just that every time that No. 17 guy shoots, it happens to go in.”

    This was said with the utmost sincerity :D.

  43. mick December 18th, 2012 at 8:39 pm

    mike and sour shoes doing mad dog and sterling:

    http://www.youtube.com/watch?v=yf6VFTSa9OE

  44. J. Alfred Prufrock December 18th, 2012 at 8:40 pm

    Mr. Mills, Davey Keon wasn’t bad, either. You should be proud :D

  45. jmills December 18th, 2012 at 8:41 pm

    http://www.youtube.com/embed/K.....#038;rel=0

    Here you go

  46. mick December 18th, 2012 at 8:49 pm

    http://www.youtube.com/watch?f.....&NR=1

    mike falls asleep

  47. J. Alfred Prufrock December 18th, 2012 at 8:49 pm

    That you in the Rush t-shirt? Lol

  48. Cletus Bostel August 22nd, 2014 at 10:33 pm

    Quite superior day, this is the truly superb internet site, I’ve plummeting in adore studying many in the posts and threads contained after the location, sustain the good work as well as hope to learn a lot more exciting content from the time to come.

Leave a comment below


Sponsored by:
 

Search

    Advertisement

    Follow

    Mobile

    Read The LoHud Yankees Blog on the go by navigating to the blog on your smartphone or mobile device's browser. No apps or downloads are required.

Advertisement

Place an ad

Call (914) 694-3581