According to the Associated Press, the Red Sox were hit with a $3.4 million luxury tax bill by Major League Baseball. That fee was assessed based on the team's 2011 major league payroll as calculated for competitive balance tax purposes (a formula that reflects the average annual salaries paid to all players who spent time on the 40-man roster, along with medical benefits).
This year, the luxury tax threshold was set at $178 million. Because the Sox surpassed the luxury tax threshold for the second straight year, they were penalized at the rate of 30 percent. The $3.4 million bill, in turn, means that the team's payroll (as calculated for CBT purposes) was approximately $189 million, the largest ever by a non-Yankees team.
The Sox and Yankees were the only two teams in the majors that exceeded the luxury tax payroll threshold this year. It is the sixth time in eight seasons that the Sox have surpassed the threshold. It is the second-largest luxury tax bill that the Red Sox have ever been assessed, behind only the $6.06 million the team paid following the 2007 season.
The fact that the team's payroll was roughly $189 million is particularly intriguing in light of the new Collective Bargaining Agreement, which takes effect in 2012. The threshold will remain at $178 million in both 2012 and 2013 (the Sox have already resigned themselves to exceeding the threshold in 2012, a season in which they will be penalized 40 percent on each dollar spent beyond $178 million) before moving up to $189 million in 2014, 2015 and 2016.
The Yankees, meanwhile, were hit with a $13.9 million luxury tax bill, their lowest from MLB since 2003. The Yankees have now been hit with more than $215 million in luxury tax fines since 1997. The Red Sox rank second in such penalties at approximately $21 million. The Orioles rank third at approximately $11 million.
For complete Red Sox coverage, visit weei.com/redsox.
EAST RUTHERFORD, N.J. — WEEI.com’s Mike Petraglia and Chris Price explain how the Patriots held off the Jets, 17-16, Sunday at MetLife Stadium to improve to 12-3 and lock up a first-round bye in the AFC playoffs.
Greg and Steve give their final thoughts and predictions for what is about to go down at MetLife Stadium today.
Curran calls the guys to discuss the game today and gets into the effect of having no Edelman. He talks about Amendola's role, the Pats running game and more.
Jackie MacMullen, ESPN Boston, talks with MFB about Rondo being traded to the Dallas Mavericks, and how this will have an effect on the Celtics rebuild process
How have the Celtics looked after a couple weeks? Could they be a playoff team? These questions and more...
Sam and Ben talk with Greg Dickerson about how fun this year's Celtics team is to watch as well Jeff Green trade ideas.
Mut, Rob, and Alex talk with former Red Sox pitcher Jon Lester. Jon talks about his experiences with free agency, what it would have taken to sign him to the Red Sox last season, and his experiences with fans since signing with the Cubs.
Mut, Rob, and Alex talk with newly signed Red Sox pitcher, Wade Miley. They talk about the story that came out about the D-Backs wanting him to switch to a gluten-free diet, and what he expects coming from the N.L. West to the A.L. East.
The boys are back at it, Mut, Rob, and Alex talk with former Red Sox pitcher and new Chicago Cub Jon Lester, they then talk with new Red Sox pitcher and ongoing consumer of gluten, Wade Miley.
Pierre joins the show to talk about the Bruins-Wild game, Bruins trade rumors, and the rest of the NHL.
Jack Edwards talks with Dale, Michael and Jerry Thornton and drops the bomb on us that based on how the standings look now, the Bruins could miss the playoffs this season.
Pierre joins the guys to talk about the Bruins and all things NHL
Tom joined the show to discuss the close win over the Jets and Rex Ryan's comments.
Tim Hasselbeck on week 16 in the NFL.
The top stories of the day as recounted by Kirk Minihane.
Christian quizzes Lou and Tim on which songs were used for torture by the CIA, and Tim is upset he couldn't remember Team America: World Police
Adam Schefter, ESPN, joins MFB to discuss Jim Harbaugh rumors, Rex Ryan's future, and why the Patriots may be better served by not wraping up the number one seed in the AFC this week
Christian shares what he believes will be the three keys to this Sunday's game against the New York Jets
We check in with the playmaker, the hall of famer Michael Irvin for a look at the NFL and all things Patriots as they prepare to face the Jets.
Dale and Michael discuss the trade of Rajon Rondo, and whether it ultimately was a good deal for the Celtics.
We break down Rex and the Jets vs the Patriots with CSNNE's Tom E Curran
Kay comes into the show to try out for the textress role on the program. We learn about her favorite sports and fondness for Rajon Rondo.
Mikey, Mut, Lenny and Kerry Byrne are taling Patriots-Jets and the potential end of Rex Ryan's coaching career with the team.
Tonight marks 9 straight years of the Planet Mikey Show. We play some sound from the takeover which got Planet Mikey rolling .
Jen Royle joins the show to talk about The Taste and what its like working with amazing chefs and how her personality is going over with viewers.
What should Danny Ainge do with these Celtics? Is Anthony Davis the second best player in the NBA? Are the Warriors truly contenders?
Ryan Lambert of Puck Daddy joins DJ to discuss the "uncoachable(?)" Taylor Hall and revisit the Tyler Seguin trade. Ryan also shares his issues with how the Bruins are run.
We check in with the playmaker, the hall of famer Michael Irvin for a look at the NFL and all things Patriots as they prepare to face the Jets.More from this show
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