The Yankees‘ offseason financial strategy has been dominated by their limits to maneuver within their current luxury tax obligations. With the team already exceeding the $301 million threshold, adding a player of Alex Bregman’s caliber and price tag is almost certainly out of the question.
Bregman, projected to command a contract in the $200 million range, would cost the Yankees more than $25 million annually—a price they cannot afford, given their roster composition and tax penalties.
The Luxury Tax Squeeze
The Yankees’ payroll restrictions under the luxury tax system significantly limit their ability to pursue marquee free agents like Bregman. Signing a player of Bregman’s stature would not only inflate their payroll but also result in punitive tax penalties. Given these financial constraints, the Yankees are focused on cost-effective moves, potentially involving trades for short-term contracts or arbitration-eligible players, rather than taking on another long-term financial burden.
Age and Decline a Major Concern
Bregman’s contract expectations and age pose additional concerns for the Yankees’ front office. The third baseman will be 31 years old next season, and his performance is expected to decline over the life of a multi-year deal.
While Bregman has been a valuable player throughout his career, including his recent 2024 season with 145 games played, 26 home runs, and 79 runs batted in, his .260 batting average and .315 on-base percentage suggest a slight decline from his peak years. Investing in a player approaching the back end of their career would be a risky proposition for a team already facing financial limitations.
2024 Performance Highlights
Bregman’s 2024 season demonstrated his continued ability to produce offensively, but it also highlighted a player nearing the twilight of his prime. His .453 slugging percentage and .331 wOBA indicate solid contributions, yet they are not at the elite levels seen earlier in his career.
Defensive metrics remain strong, with 8.1 defensive WAR in 2024, which adds to his appeal. However, these statistics do not entirely alleviate concerns about how his production may taper off as he ages into his mid-thirties.
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Yankees Must Focus on Alternatives
Given their current payroll constraints, the Yankees will likely focus on more affordable alternatives to address their infield needs. Whether through arbitration-controlled players or cost-effective trades, the team must avoid locking itself into another high-cost, long-term contract. Bregman’s skill set and track record are undeniable, but his price tag and age trajectory make him an ill-fitting solution for a Yankees team already stretched beyond its financial comfort zone.