Assuming the Cubs pick up Hamels' option, they are basically a lock to exceed the luxury tax threshold in 2019 even without any significant FA signings, correct?

https://www.spotrac.com/mlb/chicago-cubs/payroll/

7 minutes ago, JUSTgottaBELIEVE said:

Assuming the Cubs pick up Hamels' option, they are basically a lock to exceed the luxury tax threshold in 2019 even without any significant FA signings, correct?

https://www.spotrac.com/mlb/chicago-cubs/payroll/

I think they'll work something out where they buy-out his option (Rangers are on the hook for that $6m, but only the buy-out) and then the Cubs bring him back at $14m. So he would earn the same amount but the Rangers pay $6m of his contract instead of the Cubs paying all $20m.

 

Edit: it also doesn't matter if they go over this year. Were they over it last year? Did their penalty for being over the threshold reset if they were over prior years?

Edited November 1, 20187 yr by soxfan2014

1 hour ago, soxfan2014 said:

I think they'll work something out where they buy-out his option (Rangers are on the hook for that $6m, but only the buy-out) and then the Cubs bring him back at $14m. So he would earn the same amount but the Rangers pay $6m of his contract instead of the Cubs paying all $20m.

 

Edit: it also doesn't matter if they go over this year. Were they over it last year? Did their penalty for being over the threshold reset if they were over prior years?

If they go over the threshold they pay 20% on money spent over $206 million (Theres  like an $8 million jump compared to last year). There's still a penalty for going over in year 1, but it gets bigger every consecutive year they're over. 30% in year 2, 40% in year 3, 50% in year 4. The year 3 and 4 is where it really starts to hurt teams, that's what the Yankees wanted to get out of.

14 minutes ago, Balta1701 said:

If they go over the threshold they pay 20% on money spent over $206 million (Theres  like an $8 million jump compared to last year). There's still a penalty for going over in year 1, but it gets bigger every consecutive year they're over. 30% in year 2, 40% in year 3, 50% in year 4. The year 3 and 4 is where it really starts to hurt teams, that's what the Yankees wanted to get out of.

Right. I understand that. That's why I questioning if they reset it or not. Teams like the Dodgers and Yankees reset it last year with clear plans of going over again. When you're a cash cow, it doesn't really matter much if you are over. 

Edited November 1, 20187 yr by soxfan2014

8 minutes ago, soxfan2014 said:

Right. I understand that. That's why I questioning if they reset it or not. Teams like the Dodgers and Yankees reset it last year with clear plans of going over again. When you're a cash cow, it doesn't really matter much if you are over. 

"reset" isn't the correct word, as far as I know they've never been over it, and definitely not in the last several years where their guys were cheap. I believe the Nats and Red Sox were the only teams to pay it last year.

 

 

 

 

Did Kershaw opt out? Was the deadline yesterday?

3 minutes ago, Balta1701 said:

Did Kershaw opt out? Was the deadline yesterday?

It was PPD a few days. I think they will work something out.

Edited November 1, 20187 yr by soxfan2014

 

 

1 hour ago, southsider2k5 said:

 

Surgery for what?

2 minutes ago, Jose Abreu said:

Surgery for what?

The shoulder he's been on the DL with since August.

 

 

4 hours ago, Balta1701 said:

"reset" isn't the correct word, as far as I know they've never been over it, and definitely not in the last several years where their guys were cheap. I believe the Nats and Red Sox were the only teams to pay it last year.

Then they'er in a good position to where if they go over, it isn't much a big deal. Just didn't have time to go and check and see if they were ever over.

 

 

So Theo told Texas either take Smyly for $7 mill or pay Hamels $6 mill and the Cubs will re sign him for thedifference between that and his option. 

21 minutes ago, Dick Allen said:

So Theo told Texas either take Smyly for $7 mill or pay Hamels $6 mill and the Cubs will re sign him for thedifference between that and his option. 

That is pretty darned cost sensitive.

24 minutes ago, Dick Allen said:

So Theo told Texas either take Smyly for $7 mill or pay Hamels $6 mill and the Cubs will re sign him for thedifference between that and his option. 

Smyly is a decent gamble, especially for a team in need of pitching depth. His contract is similar to Eovaldi where he got 2 years even though he was going to miss the first year. Having a full off-season to work with, Rangers may be able to move him somewhere else. Who knows.

4 minutes ago, southsider2k5 said:

That is pretty darned cost sensitive.

Bryce Harper confirmed!