The New York Yankees will likely surpass the luxury tax threshold in 2020 after the signing of super-star pitcher Gerrit Cole. Last season, the Bombers landed at $226 million, just over the limit, and being that they will earn the “repeat offender” title, there will be harsher monetary penalties.
…New York’s rate will rise from 20% to 30% on the first $20 million over, 32% to 42% on the next $20 million and 62.5% to 75% on any amount above $248 million. If the Yankees exceed $248 million, which now appears likely, their top selection in the June 2021 amateur draft would be dropped 10 places.
The Yankees appear to be under the $248 million limit. Still, depending on what happens to JA Happ and Jacoby Ellsbury, it will be nearly impossible to get them down to $228 million, which means they will pay a hefty tax — queue the increased prices of beers and hot dogs at Yankee Stadium, a place where a tall-boy of Bud Light costs $15 on a good day.
This leads us into our Yankees rumors/news of the day:
Domingo German:
Bob Klapisch –
#Yankees will have to wait a little longer for clarity on Domingo German situation. Told “nothing imminent†regarding discipline. “The idea is to get (German) better first†says industry source, which raises possibility hurler is/has been in rehab or therapy.
The Yankees are waiting on German, who’s preparing to face a lengthy suspension for a domestic abuse allegation made against him for striking his wife. I don’t imagine the Yankees will have to push on without him for a majority of the 2020 season. Still, a 45-60 game suspension seems realistic, especially with the MLB looking to make examples of aggressors.
#Yankees will have to wait a little longer for clarity on Domingo German situation. Told "nothing imminent” regarding discipline. “The idea is to get (German) better first” says industry source, which raises possibility hurler is/has been in rehab or therapy.
— Bob Klapisch (@BobKlap) December 19, 2019
Jacoby Ellsbury:
The MLB Player’s Association is filing a grievance on Ellsbury’s behalf after the Yankees stated they would not be paying his 2020 salary of $26 million. The former Boston Red Sox outfielder has been injured for the last two seasons, and while the Yankees were able to recoup some of his lost salaries through insurance, they are not prepared to part with $26 million.
The Yankees are claiming that Ellsbury received medical treatment from an outside doctor, which would violate the terms on his contract. It seems as if the Bombers are taking an avenue to keep Jacoby off the books.