This offseason has generated considerable discussion regarding deferred money in Major League Baseball contracts. A notable example from the previous year involved the Los Angeles Dodgers deferring $680 million of Shohei Ohtani's 10-year, $700 million contract, with payments scheduled in $68 million installments every July 1st from 2034 to 2043. In the current offseason, the Dodgers have once again opted to defer significant portions of contracts involving players such as Blake Snell, Tommy Edman, Michael Conforto, and Tanner Scott, much to the dismay of fans from rival teams. Additionally, both Freddie Freeman and Mookie Betts have negotiated deferred payments that will take effect after the expiration of their current contracts. While the legality of these maneuvers concerning the luxury-tax threshold has come under scrutiny, the Dodgers are leveraging this opportunity to its fullest extent.

Although the Dodgers are not the only team utilizing deferred money in contracts, their scale of deferral stands out. However, concerning deferred payments scheduled for 2025, the Dodgers do not occupy a uniquely prominent position. A closer examination reveals the specifics of deferred contracts across various teams, including the amounts that count towards the luxury tax threshold. It is worth noting that retained salaries—arising from declined options or payments to released players—are classified differently from deferred money.

For instance, the Baltimore Orioles owe Chris Davis a deferred salary of $9.17 million, with a luxury tax threshold number of $2.18 million, while Alex Cobb's deferred payment totals $4.75 million, translating into a $5.06 million luxury tax threshold impact. Bobby Bonilla, renowned for his unique deferred contract agreement with the Orioles, is still receiving $500,000 annually from 2004 until 2028, culminating in a substantial total when combined with payments from his previous agreements. Other notable figures include the Boston Red Sox’s Dustin Pedroia, who is set to receive $2.5 million in deferred compensation. Meanwhile, it is interesting to observe that teams such as the New York Yankees, Tampa Bay Rays, and Toronto Blue Jays currently are not incurring any deferred payments for 2025.