Don’t get used to seeing the Yankees with the payroll they have this season — just north of $300 million — going forward, whether Juan Soto is in The Bronx or not.
With Hal Steinbrenner again singing Soto’s praises at MLB headquarters in Midtown on Wednesday at the owners meetings, saying that the team is “championship caliber,” the owner added their current payroll is “not sustainable.”
“I’m gonna be honest, payrolls at the levels we’re at right now are simply not sustainable for us financially,” Steinbrenner said. “It wouldn’t be sustainable for the vast majority of ownership [groups], given the luxury tax we have to pay.”
But Steinbrenner insisted that doesn’t mean the Yankees won’t be able to afford Soto as he prepares to hit the open market as a free agent for the first time this coming offseason.
That’s because, according to the owner, unlike this past offseason, the Yankees are set to clear some contracts after this year.
“We’ve got a considerable amount of money coming off [next offseason],” Steinbrenner said. “We didn’t have a considerable amount of money coming off last offseason, which is why we’re at where we’re at.”
At this point, according to Spotrac.com, the Yankees are at $305 million in 2024, with $202 million already set for next year. They are second to the Mets in payroll.
Gleyber Torres, at $14.2 million, is among those who might not be back, but they’ll have to open more space for Soto, who is making $31 million this season.
Gerrit Cole can opt out after this season, but the Yankees can negate that by adding another year at $36 million to the end of his contract.
Anthony Rizzo has a $17 million club option with a $6 million buyout.
Alex Verdugo, another potential free agent, is at $8.7 million, while Clay Holmes is making $6 million. Tommy Kahnle is at $5.7 million.
Jonathan Loaisiga, Caleb Ferguson, Luke Weaver and the injured Lou Trivino are all set to hit the market. Those relievers are set to earn $8.4 million.
And Steinbrenner made it clear he doesn’t want to replace all the money on this year’s payroll on next year’s docket.
“I’ve been a broken record [on this topic]: I don’t believe I should have a $300 million payroll to win a championship,” Steinbrenner said. “I believe I need a good mix of veterans, who are gonna make a lot more money, but also we’ve put a lot of money into our player development system in the last 5-10 years. And in my opinion, we have one of the better ones in baseball now.”
He pointed to the contributions made by Anthony Volpe and Luis Gil, as well as future additions like Jasson Dominguez, who is on a rehab assignment after last year’s elbow surgery to repair a torn UCL.
“As they get ready, they’re gonna continue to get their chances, just like Volpe did and Austin Wells did and Gil and others,” Steinbrenner said. “I believe being younger makes you faster, and I also believe, whether I’m right or not, it makes you less injury-prone. They’re gonna get their opportunities.”
In the meantime, Steinbrenner is pleased by the dominance the rotation has shown — especially in the absence of Cole, who is inching toward his season debut after missing the first part of the season with elbow inflammation.
“The biggest pleasant surprise has been the pitching, the starting rotation,” Steinbrenner said. “We came in with concerns: What [Carlos] Rodon would we get? Can Nestor [Cortes] stay healthy? Luis Gil? And they’re the reason we’re at where we’re at, because the offense did struggle a little bit for a month.”
And the combination of Soto and Aaron Judge has helped spark the offense — which, like most of the pitching staff, has stayed healthy.
“I had no doubt Juan Soto would perform in New York,” Steinbrenner said of his expectations. “The market, the pressure, none of that was gonna be a problem. [It was]: How would he interact with the fans, how would he interact with [the media], how would he interact with his teammates? Those were the three questions I had, and he’s been great on all three.”
