Tuesday, October 19, 2021

Payroll and Wins -- Once Again the Rays are the Smartest/Cheapest

Money doesn’t buy happiness: While six baseball teams spent more than $2 million per victory and didn’t make the playoffs, the Tampa Bay Rays have once again made the most of their small budget, getting 100 wins in the regular season with a $70.8 million payroll, meaning they spent $708,000 a victory.

Compare that to the worst-performing team in Major League Baseball: The New York Mets spent $199.2 million to get 77 victories – meaning an astounding $2.59 million per win.

This is my fourth year of measuring this MLB payroll and victories. I use Spotrac numbers, because the website updates its figures throughout the year and includes everything, such as “buried” payroll, meaning salaries of players that are no longer on the team.

The Rays are in a class by themselves. They’re in a small market with puny attendance (they had lots of empty seats for their 2021 home playoff games) and a bad TV contract. I sometimes question the rigid decisions by Manager Kevin Cash, but their front office continually finds the best players for the fewest bucks.

This is the first year I’ve measured that the perennially playoff-bound Rays did not finish with the cheapest costs per victory. In 2021, that honor fell to the Cleveland Baseball Team in their last year as the Indians: Their ultra-low payroll of $50.2 million (lowest in 2021) led to 80 playoff victories led to a cost of $627,000 per win.

Of course, the Indians came nowhere near the playoffs. In fact, of the 10 cheapest teams, measuring payroll to wins, only the Brewers joined the Rays in the playoffs. The Brew Crew, with great pitching and an under-performing Christian Yelich, spent $97.3 million to get 95 victories for $1.02 million per win.

It’s worth noting that the low-budget Mariners almost made the playoffs with a $81.8 million payroll leading to 90 victories at a cost of $909,000 per win.

The Marlins, for what it’s worth, got 67 victories with their $58.1 million payroll for $868,000 per win.

Overall, the average MLB team had a 2021 payroll of $130.8 million. Of the four final teams in the playoffs, the Braves were the lowest budget: $147.5 million. Their cost per win was $1.67 million.

At the other end of the spectrum are the teams that spent more than $2 million per win and didn’t make the playoffs: Cubs, Padres, Nats, Angels and Phillies, as well as the Mets. The mighty Yankees spent $2.2 million per victory to get a one-game playoff, in which their $300-million pitcher collapsed in an ignominious defeat.

The biggest spender – no surprise – was the Dodgers. Their $267.2 million payroll resulted in 106 victories – second in MLB only to the Giants – for a cost of $2.52 million per win, second only to the Mets for costliest wins.

In fact, the Dodgers are in a league by themselves. They spent $64 million more than the Yankees on total payroll, including $24 million on “buried” players no longer on the team.

Consider this: Two Dodger pitchers NOT on the post-season roster are Clayton Kershaw ($31 million) and Trevor Bauer (yep, he’s apparently still getting paid: $31 million in 2021). These two non-contributors are getting paid more than the entire team payrolls of the (take your pick): Indians, Orioles, Marlins or Pirates.

The Dodgers payroll is so big that the MLB has penalized the team with a luxury tax bill of $17 million. Only two other teams had to pay the tax – and for much lower amounts: the Phillies ($865,000) and the Red Sox ($644,000).

The Dodgers are so powerful that two of their castoffs – Kike Hernandez and Joc Pederson -- have become post-season stars with other teams.

Here’s the full list for 2021 (playoff teams in bold):

TEAM     PAYROLL WINS  $ PER WIN

1 Indians $50.2M   80      $627,000

2 Rays    $70.8 M 100 $708,363

3 Marlins$58.1 M 67 $868,028

4 Pirates$54.3 M 61 $891,091

5 Mariners $81.8 M 90 $909,304

6 Brewers $97.4 M 95 $1,025,025

Orioles$53.7 M 52 $1,033,753

8 Athletics   $89.2 M 86 $1,037,216

9 Tigers     $86.3 M 77 $1,121,414

10 Royals      $86.5 M 74 $1,169,807

11 Giants    $161.7M 107 $1,418,367

12 White Sox   $140.9M   93    $1,515,335

13 Reds       $125.9M    83       $1,516,900

14 Rockies    $114.4M   74        $1,546,067

15 Rangers   $99.5M   60      $1,593,949

16 Twins     $117.5M    73      $1,610,048

17 BlueJays   $150.1M   91     $1,649,892

18 Braves  $147.5M     88     $1,675,995

19 D-backs    $88.7M    52      $1,706,402

20 Cards  $168.9M     90        $1,877,440

21 Red Sox  $184.4M  92       $2,005,341

22 Cubs   $144.6M       71       $2,036,727

23 Astros  $194.4M    95       $2,047,707

24 Yankees  $203.3M  92      $2,209,998

25 Nats   $144.4M       65       $2,221,175

26 Padres   $175.7M   79       $2,224,864

27 Phillies   $183.M     82       $2,241,862

28 Angels   $180.3M   77       $2,342,202

29 Dodgers  $267.2M 106   $2,520,762

30 Mets   $199.2M      77       $2,588,171

Monday, October 19, 2020

Once Again Rays Smartest Team

      The smartest team in baseball is the Tampa Bay Rays – once again.

       In all three years I’ve measured this, the Rays have every time did the best in seeing how little money it takes to produce each win. Their 2020 payroll of $28.3 million produced 40 wins – meaning each win cost them $707,500.

          Once again, the worst performing team was the Red Sox -- $83.7 million in payroll got them 24 wins. That’s $3.45 million for each win.

        The other super big-spenders: Yankees at $3.3 million, Mets at $2.9M, Rangers at $2.87 M and Astros. $2.84 M.  The Dodgers, for what it’s worth, spent $2.5 million per win. The MLB average was $1.98 million.

       The Marlins were also high-performing, making the playoffs by spending only $1 million per win. Impressive, considering that their payroll of $31.3 million includes $10 million guaranteed to the nonplaying Wei-Yin Chen.

    There are various ways to play around with this formula. One would be to add post-season victories to the mix. The Rays, for example, have already had nine, heading into the World Series. Or you could count post-season victories as double or triple wins. I decided to stay with just the regular season.

      Note: I use Spotrac for payrolls, because they update throughout the season and include total payroll, adding those still being paid though they’re not playing.
      The full list:

TEAM

$$$

WINS

$/WIN

Tampa Bay Rays

28.3

40

0.7075

Orioles

23.5

25

0.94

Marlins

31.3

31

1.0097

A's

36.7

36

1.0194

Indians

37.5

35

1.0714

Pirates

25.1

19

1.3211

Royals

34.8

26

1.3385

Brewers

39.9

29

1.3759

White Sox

52.4

35

1.4971

Twins

55.4

36

1.5389

Blue Jays

54.5

32

1.7031

Reds

55.6

31

1.7935

Braves

63.1

35

1.8029

Mariners

48.9

27

1.8111

Tigers

43.1

23

1.8739

Padres

72.6

37

1.9622

League Average

59.4

30

1.98

Cubs

75.6

34

2.2235

Rockies

61.8

26

2.3769

Diamondbacks

60

25

2.4

Cards

72.2

30

2.4067

Dodgers

107.9

43

2.5093

Giants

73.3

29

2.5276

Angels

66

26

2.5385

Nats

68.3

26

2.6269

Phillies

78.6

28

2.8071

Astros

82.5

29

2.8448

Rangers

63.2

22

2.8727

Mets

77.6

26

2.9846

Yankees

109.4

33

3.3152

Red Sox

83.7

24

30

3.4875

 


Tuesday, October 29, 2019

Measuring payrolls versus wins

      The smartest team in baseball is the Tampa Bay Rays.  With the second lowest attendance in baseball, they have the lowest payroll, $63.1 million, but managed to make the playoffs as a wild card team with 96 wins. That works out to $657,291 per win -- the best margin in baseball.
      The worst? The Boston Red Sox which had the highest payroll in baseball, $229.1 million, but won only 84 games, averaging an expense of $2.72 million per win, the costliest win-$ ratio in baseball -- and more than four times what the Rays spent per win.
       The Red Sox and the next five costliest win-$ didn't make the playoffs -- no bang for their bucks, as it were. The Cubs spent $2.59 million per win, the Tigers $2.44 million, the Giants $2.27 million, the Angels $2.23 million and the Rockies $2.21 million.
        Meanwhile, of the three next cheapest teams, two made the playoffs: The A's with $958,000 per win (the only team besides the Rays under $1 million) and the Twins at $1.23 million. Only the low-spending Pirates ($1.05 million win-$) didn't get to the post-season out of this group.

    The MLB average was $1.62 million per win.
    The Marlins, for what it's worth, had a payroll of $75.1 million and won 57 games, working out to $1.32 million per win -- twice what the Rays spent.
      There are various ways to play around with this formula. One would be to add post-season victories to the mix. The Rays, for example, had three, which would lower their wins/$ to $637,000.    Or you could count post-season victories as double or triple wins. I decided to stay with just the regular season.
      Note: I use Spotrac for payrolls, because they update throughout the season.
      The full list:
TEAM       PAYROLL      WINS     $PER WIN
Tampa            $63.1               96           657,291
A’s                    92.9                97           957,731

Pirates              72.7                69           1.05 M
Twins             124.7              101           1.23
White Sox       91.4                72           1.27
Indians          121.5                93           1.31
Marlins          75.1               57           1.32
Orioles            73.4               54           1.36
Dbacks           118.4               85           1.39
Braves            137.9               97           1.42
Brewers          128.6               89           1.44
Padres             103.5               70           1.48
Astros             168.3             107           1.57
MLB Ave        137.2               81           1.62
Rangers           128.9               78           1.65
Blue Jays         111.4               67           1.66
Royals             100.8               59           1.71
Reds                128.4               75           1.712
Nats                167.7               93           1.80
Mets                160                  86           1.86
Dodgers          200.6              106          1.89
Cards              173.8                91          1.91

Phillies           157.2                81          1.94
Mariners        143.4                68           2.11
Yanks            218.6              103           2.12
Rockies          156.6               71            2.20
Angels           160.3               72            2.23
Giants             174.6              77            2.27
Tigers             114.6              47             2.44
Cubs               218                 84             2.59
Red Sox          229.1             84              2.73