The Los Angeles Dodgers’ aggressive, win-now strategy has pushed their deferred payment obligations beyond the US$1 billion mark, underscoring the scale of the financial commitments underpinning their recent roster build.
According to figures cited by ESPN, the Dodgers now owe approximately US$1.06 billion in deferred payments spread across nine players. The total climbed after the structure of closer Edwin Díaz’s contract was finalized, adding to a growing list of long-term obligations that will come due well into the future.
The single largest share of that figure belongs to two-way superstar Shohei Ohtani. The Dodgers owe Ohtani roughly $680 million in deferred money under the record-setting contract he signed, a deal that dramatically lowered the team’s present-day payroll hit while pushing the bulk of the cost decades ahead. Ohtani’s contract has become the clearest example of how Los Angeles is leveraging deferred compensation to remain competitive under Major League Baseball’s financial framework.
Deferred payments allow teams to delay salary payouts until years after a player has left the roster, reducing immediate payroll and luxury tax pressure. The Dodgers have leaned heavily into this approach as they assemble one of the deepest and most expensive rosters in the league, pairing high-profile stars with championship expectations.
Beyond Ohtani and Díaz, other long-term commitments further inflate the Dodgers’ future liabilities, reflecting a deliberate strategy to prioritize sustained contention in the present. Front-office executives have argued that the club’s strong revenues, global brand power, and long-term financial stability make it well positioned to absorb those costs when they eventually come due.
The scale of the deferred obligations, however, is unusual even by MLB standards and highlights a broader debate around competitive balance and financial risk. While deferrals are permitted under league rules, critics argue that extreme use of the mechanism can tilt the playing field in favor of wealthier franchises capable of absorbing future liabilities.
For now, the Dodgers appear comfortable with the trade-off. With championship ambitions front and center, the organization has effectively chosen to maximize its chances of winning today, even if that means carrying more than US$1 billion in promises that will have to be paid tomorrow.
Tether’s €1.1bn bid to buy Juventus rejected by majority shareholder Exor
