Phillies one of six teams to officially exceed the luxury tax threshold for the 2023 season
The Philadelphia Phillies are one of six teams that have exceeded the $230M tax threshold for the 2023 season.
MLB Teams over the Tax Threshold
- New York Mets
- Los Angeles Dodgers
- Philadelphia Phillies
- New York Yankees
- San Diego Padres
- Boston Red Sox
The total league-wide payroll is a whopping $4.56B, breaking the all-time record for Major League Baseball. These six teams all exceeded that number, which means they’ll have to pay the tax of however much money they went over by.
The Phillies will owe $2.9M, while the New York Mets are set to pay back over $30 million. The Yankees will owe $9.7M, while the Padres and Red Sox owe lower than $2M.
All of these teams had some pretty major signings this offseason, along with improving their rosters to make a push for the World Series trophy. The Mets signed Justin Verlander, the Red Sox re-signed Xander Bogaerts, and the biggest contract of the entire offseason was Aaron Judge going back to The Bronx.
The big expense for the Phillies was obviously the signing of star shortstop Trea Turner, who inked an 11-year, $300M deal on December 5th, 2022. Along with Matt Strahm, Craig Kimbrel, and Taijuan Walker, the four new Phillies will make $62.5M combined in 2023.
Rhys Hoskins, Gregory Soto, Edmundo Sosa, and Ranger Suarez all agreed on one-year deals to avoid arbitration a few days ago. The Phils will shoot to agree on a contract with Jose Alvarado and Seranthony Dominguez, their top two relievers, before the arbitration hearings in February.
Scared money doesn’t make money, and that’s exactly what the Phillies have in mind. With the core of Bryce Harper, JT Realmuto, Trea Turner, Aaron Nola, Zack Wheeler, Rhys Hoskins, and many more, they know the time is now.
Plus, it’s a lot easier to go over the threshold, when Phillies’ 2022 postseason run generated a $78 million economic impact, including $49 million directly spent in the city of Philadelphia.
The Phillies missed hoisting the trophy by just two games in 2022, but the Phillies have a better roster, a full year with Rob Thomson, and a fire under them to continue Red October baseball in Philly for years to come.