ESPN: Dodgers’ trade deadline moves resulted in an approximate $9 million pay increase.

ESPN: Dodgers’ trade deadline moves resulted in an approximate $9 million pay increase.

Dodger Insider Magazine | Los Angeles Dodgers

putting up a payroll-related summary of every trade deadline transaction. The Dodgers’ additional expenses after the competitive balance tax of 110 percent came to about $19.1 million.

We can now review the numerous additions and deletions from the roster and payroll once the trade deadline has passed. With five transactions in the previous week or so, the Dodgers added about $9 million in compensation for the rest of the season.

Dodgers trade deadlines in 2024
Salary by player team seasonProrated pay
Red Sox to James Paxton: $4,000,000 – $1,419,355
Cardinals Tommy Edman $7,000,000 $2,370,968
White Sox player Michael Kopech made $3,000,000 and $1,016,129.
White Sox to Miguel Vargas: $750,000 – $254,032
Rays’ Amed Rosario: $1,500,000; $508,065
Ryan Yarbrough, $3,900,000–$1,300,000, Blue Jays
Blue Jays player Kevin Kiermaier$3,500,000 vs $10,000,000
Jack Flaherty of the Tigers: $14,000,000; $4,666,667; $9,088,441 in total

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Since it’s all connected, I started at James Paxton’s trade last week. His designation for assignment occurred one week before the Dodgers activated Clayton Kershaw and Tyler Glasnow from the disabled list, and before of the team’s expected July 30 trade deadline for a starter. Indeed, they did.

During his tenure with the Dodgers, Paxton received all of his contract bonuses: a $3 million signing bonus, $2 million for playing by March 28 and $4 million for making starts from March 18 to March 18. His real pay for the season is $4 million. There was just over $1.4 million left, and the Red Sox will now cover that amount.

With a $14 million one-year deal inked with the Tigers, Jack Flaherty is the largest signing in terms of salary and anticipated on-field impact. The remaining third of the contract, or about $4.67 million, is being paid by the Dodgers.

The Dodgers acquired Kevin Kiermaier with his $3.5 million remaining in salary on Tuesday, netting them a $2.2 million salary increase from their deal with the Blue Jays. Ryan Yarbrough and his $1.3 million remaining money were sent to the Dodgers.

Because Miguel Vargas was on the active roster at the time of his trade to the White Sox on Monday, I included him in the three-team deal. I’m not sure exactly how much he makes, but he probably makes a little bit more than the $740,000 MLB minimum pay this season. I chose that as an estimate since other Dodgers contracts with Vargas’ service time (142 days prior to the season) were known to be $750,000 (Bobby Miller, Emmet Sheehan).

One may argue that the roster places lost after everyone is activated should also be included, although that probably wouldn’t add up to much more than $500,000 or so.

Los Angeles Dodgers on X: "The All-Stars. https://t.co/rIczUK3WME" / X

It won’t be known until November or December what the Dodgers’ final payroll will be for competitive balance tax purposes, but it will undoubtedly be in the fourth and highest tier, with payroll exceeding $297 million. The Dodgers projected their opening day payroll for CBT purposes to be $320 million. Since then, Paxton has received bonuses totaling $4 million. The Dodgers also acquired Cavan Biggio (who had roughly $2.6 million left in the season, minus the unspecified amount the Blue Jays sent in the trade), and the numerous players they called up to replace injured players likely added another couple million to their payroll.

The Dodgers pay 110 percent tax on any sum over $297 million this year since they are in the highest category and are repeat taxpayers, having paid competitive balance tax in the preceding three years. All things considered, the Dodgers’ addition of the $9,088.441 in compensation above actually increased overall costs by $19.1 million.

 

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