Understanding the Luxury Tax 

January 14, 2023

The optimist sees bubbles and thinks of champagne. The pessimist thinks Alka-Seltzer. The fact of the matter is that everyone thinks the Dodgers are the richest organization in baseball and should sign an All-Star at every position because that is the recipe for a World Championship. If you believe that, you are either naive or very dumb… or both. First off, what is the Luxury Tax? Actually, it’s called the…

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2021-2025 Payroll Projections (In Progress For Friday)

January 22, 2021

In a November 15, 2015 article authored by Matthew Moreno at dodgerblue.com, Andrew Friedman and Dodgers president and CEO Stan Kasten maintained that the extravagant spending for the Dodgers would not continue, and that the 2016 season would provide a small opportunity to make progress toward balancing the scale. According to Bill Shaikin of the LA Times, Dodgers co-owner Todd Boehly recently echoed a similar sentiment, going so far as to…

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Are AF And/Or Owners At Odds With Fans

October 24, 2019

I do not think any Dodger fan can possibly disagree about the disappointment over the last three years. I use three, because realistically that has been the span where the Dodgers were in a position to win it all. Certainly Doc has had a problem of “thinking too much” in the playoffs. It was never more evident as it was in Game 5 of the NLDS. But the players have…

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Revenues, CBT Threshold, and Luxury Tax

January 19, 2019

Yesterday Mark commented, “The fact that the Yankees went over the Luxury Tax Threshold does not mean the Dodgers should do the same. That, and the Yankees have no outside shareholders to revolt.  Hopefully you can understand that.”  Maybe it was or maybe it wasn’t, but I assumed that is directed at me since I brought up NYY exceeding the CBT threshold.  I want to be clear.  I never said…

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Financial Considerations

November 10, 2018

There are currently 38 Dodgers on the 40-man roster without consideration of either Yasmani Grandal or Hyun-jin Ryu accepting their respective QO.  With the current makeup, the Dodgers will have a salary total of nearly $179MM or approximately $27MM under the 2019 competitive balance tax threshold.  We will all know no later than Monday, November 8 at 2:00 PM PT if either accept.  Assuming they do not accept, below is…

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