Sunday, March 22, 2015

Yankees Trying to Get Under Luxury Tax Again

I think everyone had this looming in the back of their heads but it hasn't been put to paper until now, the New York Yankees will once again attempt to get under the luxury tax in two years or so. The Yankees have an absolute ton of money, maybe literally, coming off the books after the 2016 and 2017 seasons including the bulky contracts of four of their top seven paid players. That's not including Masahiro Tanaka who may opt out of his current deal with the team after 2017 season meaning if the Yankees are going to get under the cap for the fiscal resets the time may never be better than now.

The Collective Bargaining Agreement ends after the 2016 season where the luxury tax threshold is expected to be raised giving New York a little more wiggle room. Mike Axisa even writes that he expects the number to be around the $200 - $210 million range due to soaring revenues and payrolls around Major League Baseball. Coming off the books after the 2016 and 2017 seasons in terms of AAV are Mark Teixeira ($22.5 M), Carlos Beltran ($15 M), CC Sabathia ($24.4 M), Alex Rodriguez ($27.5 M), and possibly Tanaka's $22.5 M.

If they are going to do it and still have that whole World Series caliber team then the time to strike is approaching. If the team could be smart about it they could have a 2009-esque spending spree and make the fans happy while making Hal Steinbrenner happy with a better bottom line. The key phrase here is if they do it smart and that remains to be seen if that can be done or not.

Here is a direct quote from Steinbrenner:

“I found (being called cheap) very interesting,” he said, smiling, “given that we offered $25 million (for Moncada) and spent substantially in the international market (a reported $26.82 million in bonuses and penalties for greatly exceeding their bonus allotment). I’m not saying we’ll never give another seven-year contract, but going in you know you’re probably only going to get three-four good years out of it. It remains my goal to get under that $189 million (luxury-tax threshold), but it’s not going to happen for at least two more years when these big contracts we have expire. But I’ve continued to say you shouldn’t need $200 million to win a championship.”


  1. What Hal fails to realize that the Yankee fan is smarter then any fan in MLB. We will not accept medicrity year after year and this beast must be fed. He tried to do this in 2012 and put crap on the field. Revenue dropped dramatically with loss of fans in the stands, TV revenue from commercials and of course his other little money making entities called concession revenue, parking and everything else bundled into one that make the Steinbrenner's and investors money.

    This team in my opinion is not a playoff team, however it is extremely early in the process and anything can happen. I see this team as a third or fourth place finisher. Hal wants to get under the cap and not sign players that can help and go the route of letting Cashman re-tool this team he is making a major mistake. I'm not saying over pay for aging players, but what still sticks in my craw is the Moncado signing and yes Hal you are a cheap bastard. When you're basically a three billion operation and refuse to go 6-10 million more for a player that not only can help you in the future, it also helps keep him away from your number one enemy. He may achieve the threshold this time, but it will come with a price.
    This is a Yankee machine that was built by George to be fed and Hal refuses to feed the beast. Yes Hal laugh all you want you are cheap!

    1. I agree for the most part Hans but this is not 2012. New York will have almost a clean slate to work with with well over 100 mill coming off the books. That's not a luxury the team had three years ago.

      If the team is smart they can put a great team on the field for less than 200-210 million.

      The cap is going up, we have at least a couple young guys that will be able to contribute by then and we have literally a ton of one dollar bills to spend. Plus the team only has to do it for one season and can go ape shit again the next season.

  2. Hal says they aren't going crazy spending money and he has shown his lack of intelligence especially with the Moncado situation. As I stated above and always state Cashman isn't the guy I want re-tooling my team and rebuilding a farm system he hasn't been able to grow from the get go. Hal sold I believe 75% or so in ownership stake of the YES network. He clearly has shown to anyone with a clue his objective is not to win, but to make the most money he can and get out of dodge. Again what he fails to understand that this machine isn't built the way he wants it to be with just making money hand over fist and not re-investing in the roster.

    His father whether you like him or not and I did like him realized that you needed to put back into the roster and give the fans the name players that produce. Did it work all the time...NO but he gave the fans hope of winning year in and year out. We don't have that luxury and even though we have shown to have a few more pieces on the farm then in the past we still have a bottom third farm system.

    I'm not sure what qualifies a minor league hitting instructor to becoming the head of the scouting department. As stated in the past I am going into a team like the Cards, Giants and raiding their scouting department and putting someone qualified to run the department in charge. A minor league hitting instructor does nothing for me in making me feel giddy and warm with hope in the drafts.

    1. He doesn't have to go crazy spending money though. Look at the last time the Red Sox won a World Series. They didn't go crazy like they did this offseason with big signings of Hanley and Pablo. They signed smart deals for short deals and everything clicked.

    2. We haven't had a smart signing in a long time. I am hoping its Miller. I am glad Cashman let Robertson go, however they should've traded Cano when they had a chance because they weren't making the playoffs that year and they knew he was all about the money and someone was going to top them.

    3. Some like to criticize the Owners, Management, Manager, Coaches and most of the players. Is there anything about the team and personnel to like?

      The year hasn't even started and fans are saying we will finish 4th or so. They know nothing about the new people that have stepped into positions with the Yankees but yet you are already giving them the bums rush. What makes anyone think they are not going to be very good?

      Fans are always saying the Farm is among the worse, yet others say we are in the top 10+/- one. It sounds as though, everyone is wrong except one or two fans.

      You fans want to go back to the old way of doing things, where every time George wanted a player he would trade away some of our better Farm hands...thus, no good people on the farm to build with. Or he would trade for a FA and loose our first two draft picks.
      Do you fans really want to go back to that way of doing business? I know I don't!

      It takes time and the backing of the ownership to build a good farm system, why they are letting it be done is of no concern to me, just get it done.

  3. Some want to build the farm, so they can produce players like the Core Five. Others want to spend, spend, spend.

    I believe the answer is in the middle.

    Btw, those "great" scouts started somewhere. They didn't just appear out of nowhere for teams like the Cards and Giants to hire.

    1. Amen to that Bryan, now if only we could get KH to understand, most everyone starts at the bottom! lol

    2. Reed we just aren't going to agree so don't waste your oxygen

    3. No problem Ken H! I think you have a good gig here.
      I never/ever waste my energy! By the way, I may be 77 but I probably have as much, if not, more energy than do most of your age group.
      I am having fun, why can't you have fun along with the others here, no need to get upset when you are shown to be wrong once in a while. You have your mind made up and will not concede the facts, even when shown them with common sense.
      (You seem to think in the now, try looking down the line once in a while you may have a different outlook.) Just my unsolicited opinion, if it offends you too much, so be it, or flow with the rest of us, and have fun.
      I like that you stick to your guns, but one must know their limitations, nobody is right all the time!
      Just roll with the punches, just because I don't agree with you (most of the time) doesn't mean I can't criticize what you comment on as I do with others and others do with me. That's what we do around here!
      Take off the tie and have fun. Good luck young man!

  4. FROM MY SEAT....Jose Pirela does not have a concussion. And he still may make the team.
    A sore skull, or perhaps a stiff neck. Nothing more.

    No, I am no medical person. Just a son of immigrants, that has common sense.
    Everyone is so dramatic. How can you not be stunned, after that ?

    1. Yankees are going to use this as an excuse to carry Chris Young and Brendan Ryan. It's crap but this is the team we all love now

    2. Hey Mulch Patty. I think he got his concussion from not hitting the wall but hitting his head on the ground. He did hit the ground very hard.

  5. It's called starting from the top on down Bryan. These executives who run the Cards and Giant's have a clue and put the proper people in the proper job. They aren't the Yankee management team that puts a minor league hitting instructor in as the head of player personnel. You have money so go raid their system and hire their top flight guys. Don't go on the cheap like Hal has done with this whole system he runs. Hey Burch Young has two HR's today and made a nice catch. Ryan I will give you

    1. It's spring training. Also Raul Ibanez had a couple games like that also, can't wait to retire his number.

    2. Those are my words...You all praise these guys in spring training and when I do it the table is turned. Very interesting!

  6. KENNY HANS....You are bigger than this, don't be silly.....tables turned ?
    I am a big fan of 'Red Mulch Hans'...I appreciate all your posts. Very enjoyable.
    Don't expect push back from the others....not their style.
    Roll with it my brother. Don't disparage.

  7. TWO POINTS...Firstly, I hope Hans is not turning girly on me. This site needs more voices like him.

    Second...Jose Pirela. Don't count him out, mgmt.wants him on this squad. Just a set back.
    I have scoured the sites....and all I I find is, Pirela has a concussion. Nothing more.

    No word on severity, and no word on time out. Nothing.

    He was the Yankee utility man in the making. With Refsnyder in the wings, to
    move out Drew.....when he ebola virus does him in.
    Funny how the ebola virus moved on, as this president continues to fuck up.

    Back to Pirela...he is marked to stay, when he returns. Sorry, he gave it his best vs. a stupid wall.
    Youth is set to envelope.

  8. As an OF myself Pirela should've caught the ball. The wall didn't do him in the ground did, and no I'm not turning girly on you. I leave that to others

    1. All I've read patrick is everything came back normal, other than the concussion. They usually make you sit out seven days or so with the concussion so given that this is the Yankees I see him missing two weeks.


Sorry for the Capatcha... Blame the Russians :)