That's what I thought. AI Overview +15 MLB luxury tax and the Houston Astros' situation In Major League Baseball (MLB), the Competitive Balance Tax (CBT), also known as the luxury tax, is a system designed to discourage excessive spending by teams and promote competitive balance. Here's how it generally works and the Astros' recent situation: Luxury tax threshold and penalties Thresholds: The CBT threshold increases annually. For 2025, the threshold is set at $241 million, up from $237 million in 2024. In 2026, it will further increase to $244 million. Tax Rates: Teams exceeding the threshold face tax penalties based on how many consecutive years they've been over: First time: 20% tax on the amount over the threshold. Second consecutive year: 30% tax. Third consecutive year or more: 50% tax. Surcharges: Additional surcharges are applied for exceeding the threshold by larger amounts: $20 million to $40 million over: 12% surcharge. $40 million to $60 million over: 42.5% surcharge (first year), 45% (subsequent years). $60 million or more over: 60% surcharge. Draft Pick Penalties: Teams exceeding the threshold by $40 million or more also face draft pick penalties, with their highest Rule 4 Draft selection moved back 10 places, unless the pick falls in the top six. Tax Proceeds: The collected tax money is distributed, with a portion going towards player benefits, player retirement accounts, and MLB's revenue-sharing program. Houston Astros' situation 2024: The Astros exceeded the luxury tax threshold for the first time in 2024, incurring a penalty of $6.5 million on a payroll of $264.7 million. 2025: The Astros are projected to be near the luxury tax threshold again in 2025. Their current estimated payroll, according to FanGraphs, is around $236 million, placing them approximately $5 million below the $241 million threshold. They are reportedly considering options at the trade deadline, potentially including acquiring players like Carlos Correa or Nolan Arenado, which would push them over the threshold again. Although owner Jim Crane was reportedly hesitant to cross the threshold earlier in the offseason, the team's strong performance and potential for a deep postseason run may lead him to be more willing to incur the penalty, according to USA Today. In essence, the Astros' current situation involves navigating their desire for on-field success with the financial implications of the MLB luxury tax, and their decisions at the upcoming trade deadline will likely reflect this balancing act. 5 of you turkey's responded to me asking Stephanie tell me the post where I said Braden Rodgers blocked the Astros from re-signing Tucker. Not one person did. Who are the Bull Sh!tters @Sep11ie I'll own it if I did, I don't think I did. The only reason I mentioned Rodgers is because of him being injured is bad and his play when healthy was bad.
Especially ones that had nothing to do with the post he's replying to or the absolute nonsense he spewed relating to that post.
I'll bite the bullet. Oh my golly! You are so smart and were right all along. You know soooo much about baseball, contracts and salaries.
https://www.cbssports.com/mlb/news/...rade-deadline-rumor-as-houston-mulls-reunion/ Correa has never played 3rd base....but he might. Makes about $33M a year.....do you think they can platoon Pena and Correa at short stop beyond this year. Pena will probably make $10 m after arbitration and the twins pay some of the Correa contract. Yeah it could work......nah
Why do you need to platoon him? You already told us that the Astros are going to release Pena next year for no reason with nothing in exchange so problem solved.