2024 MLB Season: Pitchers' Elbows Are Blowing Up...

[Pilchard]

New MLB Thread for the upcoming season...

• Yankees snag Soto... Going all-in 2024
• Ohtani next stop remains a mystery
• Bryce wants an extension (perhaps he doesn't understand he has 9 years remaining on his contract)
• Kimbrel to the O's
• Steve Cohen can't spend his money fast enough...

 

[warak]

I mean 700m/10 years…per year as much or more than 4 MLB teams.

Wtf!?!

 

[WindyCityDeac]

Ohtani supposedly getting $2m per year next 10 yrs. Then $680M for 10 yrs following. WOW

 

[WindyCityDeac]

Shohei Ohtani will defer $680M in deal with Dodgers, sources say — ESPN

Shohei Ohtani's 10-year contract with the Dodgers will see him defer $68 million of his annual $70 million salary, sources said.

apple.news

 

[deacdixieboy]

That’s nuts. That should honestly not be allowed.

 

[WakeForest Fan]

dollar today is worth more than a dollar tomorrow
not sure what ohtani is thinking

 

[deacdixieboy]

dollar today is worth more than a dollar tomorrow
not sure what ohtani is thinking

Well that’s not really true. I’m sure it comes with accrued interest. Look at Bonilla’s deal.

 

[WakeForest Fan]

what i read it was no interest

Shohei Ohtani contract: Explaining $680 million deferral in Dodgers deal with unique Andrew Friedman clause

Ohtani will earn just $2 million in salary a year thanks to the deferrals

www.cbssports.com

In an effort to enable the Dodgers to continue spending around stars Ohtani, Mookie Betts and Freddie Freeman, Ohtani agreed to defer all but $2 million of his annual salary — $68 million of his $70 million per year — until after the completion of the contract. The deferred money is to be paid out without interest from 2034 to 2043."

 

[deacdixieboy]

what i read it was no interest

Shohei Ohtani contract: Explaining $680 million deferral in Dodgers deal with unique Andrew Friedman clause

Ohtani will earn just $2 million in salary a year thanks to the deferrals

www.cbssports.com

In an effort to enable the Dodgers to continue spending around stars Ohtani, Mookie Betts and Freddie Freeman, Ohtani agreed to defer all but $2 million of his annual salary — $68 million of his $70 million per year — until after the completion of the contract. The deferred money is to be paid out without interest from 2034 to 2043."

Oh damn. Yeah, that’s a bad deal for both sides and really shouldn’t be legal.

 

[WakeForest Fan]

i'm gonna just admit i have no idea and believe his agent knows what he is doing
taxes? citizenship?

 

[Wakelaw2006]

dollar today is worth more than a dollar tomorrow
not sure what ohtani is thinking

He wants to play for a winner and by deferring, it frees up more cash for the Dodgers to spend now (and a lower luxury tax hit)

 

[YoungBuck95]

Loop hole if he lives somewhere without income tax when the deferred payments kick in

 

[Deaconblue]

Loop hole if he lives somewhere without income tax when the deferred payments kick in

California state income tax is among the highest of the state income taxes. Maybe in 10 years, he is done with baseball, retired to Japan and taxes are different than if he was taking $70 million per year for the next decade while living in CA.

 

[PhDeac]

He wants to play for a winner and by deferring, it frees up more cash for the Dodgers to spend now (and a lower luxury tax hit)

But why should he be the one to take less and defer?

 

[Wakelaw2006]

Loop hole if he lives somewhere without income tax when the deferred payments kick in

I’ve read that in a bunch of articles today, and the other tax lawyers/accountants can tell me what I’m missing, but how would that not be California source income?

 

[Deaconblue]

But why should he be the one to take less and defer?

Need a tax expert to weigh in on what US income tax would be on payments by a US corporation to a Japanese citizen living in Japan. Might be zero. California state income tax shouldn't apply.

 

[PhDeac]

Need a tax expert to weigh in on what US income tax would be on payments by a US corporation to a Japanese citizen living in Japan. Might be zero. California state income tax shouldn't apply.

Untaxed $2M a year is still far less than a taxed $70M.

If it’s like the NBA, players pay state/province taxes on where they play each game.

 

[deacon14]

Ohtani makes like $50M a year off of endorsements.

He legit doesn’t care and just wants the Dodgers to win while he’s there, which they are now very well set up to do

 

[PhDeac]

Yeah. Everyone knows wealthy people don’t want more money.

 

[deacon14]

Yeah. Everyone knows wealthy people don’t want more money.

I mean his circumstance is unique enough that I really don’t think it’s comparable to anything we’ve seen before.

I don’t think structuring a contract this way should be allowed, but I get it from Ohtani’s perspective