DETROIT -- The Tigers head into the final week before MLB’s Trade Deadline with still no clear signal whether they’ll be buyers, sellers or sit somewhere in between. Manager A.J. Hinch and his players are doing their best to determine that direction on the field. But there’s another subtle factor off the field that could play into Detroit’s dealings.
The Tigers closed out their offseason building up their pitching staff to make a run this year, from a record arbitration ruling for Tarik Skubal to the late signings of Framber Valdez and Justin Verlander. The combination of signings pushed the Tigers’ payroll into record territory, closing in on the competitive balance tax threshold for the first time since 2017.
FanGraphs lists the Tigers payroll as $216 million. However, there are other costs that go into each team’s payroll when calculated for the tax, from every player on the 40-man roster to additional player benefits.
The tax threshold for this season is $244 million. FanGraphs projects the Tigers payroll at $241 million. Spotrac projects the Tigers payroll for tax purposes at $244,205,638. The MLB Trade Rumors payroll tracker projects the Tigers payroll at about $245.6 million. Cot’s Baseball Contracts, now part of Baseball Prospectus, projects the payroll at $245.9 million.
The official figure won’t be known until season’s end, given all the transactions. But it’s safe to assume the Tigers are acutely aware of where their payroll would land, as they stand now as well as under any hypothetical moves.
If the Tigers were to finish over the threshold, they would pay a 20 percent tax on the additional amount. But that’s not the biggest factor at play. The competitive balance tax also factors into Draft compensation for free agents who reject a qualifying offer.
