Ohtani to Blue Jays?
ajaan
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Big Wow!
There were reports thats where he is headed, People are using flight trackers trying to figure it out like they do with college football.
Wisconsin 2-6 against the SEC since 2007
600 million for a DH. Pass.
Going to be 60 million a year and have to do that for ten years.
Can get Rhys Hoskins, Jordan Montgomery, and another good player for that yearly salary and then don't have to commit ten years either.
Then three years later sign two or three more players like that at their prime while Ohtani is starting to decline at that high salary. Rinse and repeat for the remainder of that ten year deal.
Why the Blue Jays? did they just come at him with a deal he couldnt refuse? I really thought he would be a dodger.
George Brett, Roger Clemens and Tommy Brady.
Not a done deal. Still speculation.
That is just a crazy deal for whoever makes it!
He would be 41 at the end of the deal with all minor leaguers backing him up.
Good luck as no team should go for that!
If he signs with Toronto, then Toronto will be the Angels in four years because they won't re-sign Vlad or Bichette, Springer will be too old, and they won't have any pitching. Then they will trade Ohtani and pay half of his salary.
If Ohtani wants to win he should sign with the Dodgers.
How much money should not be the object of where he signs as he has more money than he will be able to spend already. Sign where he wants to play for the next 10 years and not force a team to hamstring themselves and then not be able to sign players they need as they will never be able to compete.
While he is actually worth 600 million as a hitter and pitcher, it would still be shocking to see him actually get that. Even at that number his contract would basically pay for itself. The tv ratings and the amount of merchandise. The Angels wouldnt provide exact figures but its 10s of millions of dollars of extra revenue a year from him, Theres a ton of Japanese media credentialed to follow him and people would even buy tickets from Japan and fly over to watch him play
Wisconsin 2-6 against the SEC since 2007
Well apparently the Dodgers just signed Othani for 10 years 700 million
Wisconsin 2-6 against the SEC since 2007
Jays? not even close.
To the Dodgers where they will totally dominate regular season then quickly drop out in first post-season round.
It's the singer not the song - Peter Townshend (1972)
Hope so been Canadian myself would be great for us up North.
NFL: Buffalo Bills & Green Bay Packers
just in on MSN....Dodgers
Have you seen today's MLB news?
It's the singer not the song - Peter Townshend (1972)
Dodgers made the most sense. They can also not pitch him early in the year and keep him fresh for the playoffs(if he comes back from the second surgery which is a question mark still).
Two Tommy John surgeries and he is getting 700,000,000 million dollars. OK!
No. But now I have so much for Canada. LA is a huge market good for him.
NFL: Buffalo Bills & Green Bay Packers
A lot of money deferred to help the Dodgers payroll flexibility.
Dodgers will be loaded next year with their injured guys coming back. They are about the only team that can be patient with Ohtani not pitching and still win 100 games. Good landing spot for Ohtani, the Dodgers, and baseball overall.
Good for Ohtani. I am happy for him. I think LA is the right fit. they will be able to field a team around him.
as far as the contract, LA will make lots of money from it. can you even imagine the amount of merch they will sell!!! a great signing for them
George Brett, Roger Clemens and Tommy Brady.
He definitely chose the place he wanted to play .
He said he wanted to stay in LA and he to a monster deal to top it off.
Win win situation for him!
LA might have made a big mistake. Yes, he’s a pitcher who can hit, but he also had arm issues, and if he were an everyday player, he’d be good, but he’s not been Aaron Judge at his best. The guy has signed the largest sports contract in history. He’s got to live up to a lot of hype.
This is all very true and I am glad the Red Sox did not bite on that one.
This, to me, is yet another example of the INSANE contracts offered to players for a future performance, where none is guaranteed. MLB is rife with guaranteed contracts to far too many players who have not lived up to expectations, yet the teams are on the hook for untold millions. Can we say Aaron Rodgers??? Do I really have to write Pablo (El Sapo Gordo) Sandoval?? There are oh so, so many others. Guess who's gonna pay the bulk of the freight for Ohtani...the fans.
So now a precedent has been established, the next hot player with some creds will demand more than $600m and the beat goes on. Ohtani will now be making $370,370 per game, whether he pitches, DH or has a day off. If you assume the average baseball game is 4 hours (very generous), he will get $92,592 per hour. Nobody in the universe is worth that, not today or ever. If they use him as a pitcher, he only throws a baseball for maybe 5 + innings every fifth day.
His choice to play in LA was the obvious best choice from day one. Perfect weather, he will be treated like royalty, easy flight back to Japan if he wants, all plus, plus, plus. Toronto would never make the cut, nor anything on the East coast. He isn't stupid, who the hell wants to put up with winter and opening day in Fenway, etc, etc is always under the gun for very cold, if not snowy, freezing rain.
At some point this contract is gonna prove to be a big, big mistake.
Ohtani's bank account grew by 500$ the last time i made whoopie
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With a wise financial planner, he will be in Billionaire land. I suspect the Dodgers will guide him and he'll find a personal advisor or group who will grow his money like Kudzu in Georgia.
It already is a big mistake for the Dodgers. They look at the money they will get next year but not the money they will not have in future years to get a player needed as he is not goin tp last for the entire 10 years. He has already had 2 Tommy John surgurys.
Don't be surprised if the Dodgers trade prospects for Dylan Cease who is cheap for the next two years.
I saw elsewhere that the highest federal income tax rate is 37% and the Cal. rate is 13%. looks like half of that contract will be going to uncle sam and the state of california.
George Brett, Roger Clemens and Tommy Brady.
Cali is the highest state rate. Players get taxed according to the state they play the game in though. Games in FL and TX etc help but yea a ton of that will be lost to taxes.
Wisconsin 2-6 against the SEC since 2007
I am sure he will have the best accountants, but at face value it looks like almost half will come right off the top of that. I guess I should stop complaining about my tax burden
George Brett, Roger Clemens and Tommy Brady.
The Dodgers have basically unlimited money and have their core signed long term which provides payroll stability.
Othanis contract also is believed to have significant deferrals which will reduce the luxury tax hi to under 50 mil a year. The amount of revenue he generates for a team is unprecedented as well so giving him 700 million is really like giving someone else 300 to 400.
Othani is so popular in Japan he makes around $40 million a year in endorsement, the next closest MLB player is Harper at around 7 million a year.
Even if he stops pitching hes still an elite hitter that is one of the handful of the best in all of baseball. It would be a pricey contract for just a hitter, but it wouldnt be a terrible contract given the Japanese market he will open up and how good of a hitter he is.
Wisconsin 2-6 against the SEC since 2007
Middle class taxpayers in the U. S. Pay 50% of their income in Federal State and Local taxes and fees.
Are we feeling sorry for a guy who is clearing at least $30M a year after taxes?
Itll be more than half. His agents get a cut of it too. He might or at least should have had a special deal where its only 1 or 2 percent, typically its about 5 percent. Dodgers go to Toronto next year as well so he will owe Canada something too Not sure if he has to pay taxes on it in Japan.
Dodgers actually have a pretty brutal schedule in terms of taxes next year other than a couple games in Houston and Arizona
Wisconsin 2-6 against the SEC since 2007
yes, i forgot about agent fees.
George Brett, Roger Clemens and Tommy Brady.
It all counts against the salary cap.
California is not a good place to be as a free agent!
I actually just heard this recently. I never knew they got taxed by each state they play in, what a PITA for their accountant but I'm sure he or she gets paid well lol
It doesnt all count against the luxury tax money. Deferred money is discounted. The deferred money will wind up being in the 40-50 mil a year range towards the luxury tax if the deferral estimates are correct not 70 a year
Wisconsin 2-6 against the SEC since 2007
Its especially brutal for the Dodgers in 2024. They open the year in Kora against the Padres, the go to Toronto, they go to DC, they go to Chicago for the Cubs and White Sox, they go to Minnesota. they go to the Yankees and Mets. They have a aplit series home and away with ATL, they get games in Houston for the Astros, they get Diamondback games in AZ but the tax guys will really be earning their money next year with them playing in 3 different countries and most of their games being in California and other tax heavy states
Wisconsin 2-6 against the SEC since 2007
I don't feel sorry for anyone making huge money.
Hard to be an accountant/tax guy?
I'm sure they are WELL compensated.
Nor do I !!
I suspect whatever accountants are involved with Ohtani, they must have software, or programs akin to Excel that are pretty much plug in and go and designed for baseball players, who travel and play in various venues. IOW, if he plays in Georgia, there is undoubtedly some kind of link that takes the accountant to all relative taxes one would pay in Georgia. If he plays a 3 day schedule in GA, they simply compute his gross and pop it into the program, thus generating the taxes owed and then pay them as IRS gudiance would dictate.
It certainly is a nice "problem" to have. I still thinks it's incredibly insane to pay one player so much money for such little work, regardless of the hits/homeruns, or even a no-hitter or two. It's simply throwing or batting a baseball, which, clearly, he excels at doing.
It has become a fairly regular and widely accepted practice among many high profile athletes to incorporate separate legal entities. These legal entities are usually in the form of ‘loan out’ corporations wholly owned by the athlete. Typically the athlete then becomes an ‘employee’ of his own corporation, and the primary function of such corporation is to loan out the services or the image rights of the athlete to third parties. Such services may be in the form of actual sporting services performed by the athlete or the commercial services afforded by the athlete, such as his/her endorsements and public appearances. Recently ‘loan out’ corporations and the athletes who own them, have come under the scanner, as ‘loan out’ corporations often serve as a tool to evade tax liability in several jurisdictions. In light of the recent international developments, it is pertinent to examine the way in which two major sporting nations, namely the United States (“US”) and the United Kingdom (“UK”) deal with such tax structuring techniques.
20 years from now 700 million will seem like a bargain.
20 years from now 700 million will get you a tank of gas.
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Ralph
He's deferring $680m of the $700m - interest-free. That's a nice discount for the Dodgers. And Ohtani can move out of California after the contract and save himself a big pile of money. Maybe move to Washington and pay no state income tax at all.
that is interesting. I havent heard of such things or really looked into it. certainly sounds like a tax shelter of sorts
George Brett, Roger Clemens and Tommy Brady.
I was wondering about that. the morning radio guys were speculating that Ohtani would just move to Dubai after the contract is up and save a whole bunch of income taxes. he will "only" be making 2 MM per year for the next 10 years here.
George Brett, Roger Clemens and Tommy Brady.
Its not really a tax thing, he wanted to make it so the Dodgers can add another big player (possibly Yamamoto). He makes 40 million a year in endorsements so hell be fine.
With the deferrals the contract only counts as $46 million against the luxury tax instead of the $70 leaving them room for another big contract
Wisconsin 2-6 against the SEC since 2007