Baseball fans are debating whether Juan Soto or Shohei Ohtani will receive the largest contract in baseball history, with Ohtani’s $700 million deal with the Los Angeles Dodgers including $680 million in deferred money payable from 2034-43. Different interpretations value this deal in current dollars, with rates ranging from 4.33% to 10%.
Soto, represented by agent Scott Boras, could potentially sign a $600 million contract, but Boras is not a fan of deferred money. Owners, like Dodgers president Andrew Friedman, utilize expertise to fund deferred compensation wisely, while MLB proposed to end the practice in 2021, but the union rejected the idea.
In the ongoing debate, Yankees GM Brian Cashman believes New York’s resources encourage players to seek immediate payment, while Dodgers, Mets, and Cardinals team officials have differing perspectives on deferred compensation. Ultimately, the decision on Soto’s contract and whether he will surpass Ohtani could come down to how teams and players view deferred money and its impact on value and future financial planning.
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