Repost: What did MB really get?

I have 2 friends who are agents. They don't make 15-25%, even if the client wants all the services. Most are around 5%. Some lower and every now and then up to 7. They can make additional money at slightly higher rates if they generate endorsement deals or advertising deals.

 

What do you think.

I was thinking about what G. sheffield said a while back about black baseball players. We are quick too dismiss what some players say( remember Jose Canseco) and thats ok because everyone is entitle to there opinion. I believe there is a bigger picture we might should worry about. I believe every american born ball player should be worried in a way because although peole say they would play for the love of the game, money is the driving force. I truly believe that the owners will start to think i can save money by not drafting or low balling the first round draft picks by going to the islands and getting a ball player with comparible talent and signing them for much less than they can sign an american born draft pick. I was wondering if any one notice how many American born starters and reserves were on the All star teams this year. To me the disparity was alarming. Are we not producing enough talented ball players or is something inside the pro game we don't know about.

 

I think it is the old save a dollar deal. Look at everything else. Textiles, furniture, even barbie dolls are made outside this country. Now do not get me wrong my grandfather, mother, her sister and brother came though the great melting pot mixing bowl at Ellis Island. Years ago. We are great country and we take those in that have been cast out. I think that we should start being fair to ourselves as a country. We should close the door on the easy way in. I do not know how each player came to have their job. But, they should fall under the same standards that every other person that comes to this country does. I am sure that I can get the same player cheaper from my club team on the island. So take it or leave it is used. You are now seeing the shift Japan instead of the Dom. Rep. MLB needs to really look at it. Oh wait it is ran by the owners.

 

It is a business

they are going to get the best players they can for the least amount of money possible. Plus look at the choice - Stay here on the island and live in poverty or go to the US and play baseball? Ummmmmmm .............. tough choice huh? Most kids in the US are spoiled in the game - they cant hit because they dont have the newest 400.00 bat or they cant field because they dont have the new tri-web glove that only cost 300 bucks. AC you know that dreaded air conditioning. Its too hot to go out and play. Its too hot to work out. I say its anyones game to play. If you dont want the DR's and the others to take all the spots strart producing kids that want it as bad as they do and are willing to do what they are willing to do to get there. If a foreign player is willing to come play for nothing and a US kid is not then the US kid can go to college. Sign as many of those kids as you can and hope one turns out to be a stud. You can always send the ones that dont make it back to the island. That is what is happening and will continue to happen.

 

One Putt....I love the comment, I was just telling Braves the other day that seems like we could stretch that million bucks in the TBR budget much futher back in the day.

 

Makes sense to me. If you're hungry enough it's there for the taking.

 

OK, maybe I'm misunderstood, or I'm an idiot. But I look at it like this, say the agent gets the 5% as you said. I thought I put in my statement I wasn't sure what they got, but let's say it is 5%. That is $100,000 of a $2mill contract. What are they doing? Reading your contract to make sure there aren't any catches that the team doesn't want you to know about. Do you think you could hire a person that isn't an agent for less that $100,000? I think so.
What else might an agent do to help a client? Nothing at this stage. Or at least nothing that you couldn't do on your own.

What happens if (and I hope it doesn't) PLAYER X doesn't make it to the show? He never gets a big league contract, so other than a pot to pee in, all he has is his original signing bonus. Would that $100k become more valuable? Sure it would. What happens if he blows out his elbow and that 95 mph fastball becomes 85? Will he need that money he spent on an agent? Probably sometime down the line. His education should be paid for, so he'd still have a lot more starting out than most of us.

But let's make it interesting. Say he does like many of the young guys do after signing a contract with a huge signing bonus, and buys a nice car for $75 or 80K. Then buys his family a new house, for say, $400,000. Then he goes out his first season, pitches all year, gets hurt, then eventually released. What's he got left? About $400-500K. Does he want a house? I hope not, cause now he doesn't have much left. Or he could have had 20% more by hiring a lawyer to read his contract and not pay $100,000 for someone called an "agent" do it.

But, I will agree that it's a risky move. But the way I see it is both moves are risky. As one of you said the MLB teams have sleazy lawyers hired to save pennies. What do you think these agents are? They are sleazeballs too. Probably more so than the ones hired by teams. So who reads the contract you sign with them? You sure they are shooting you straight? What if they sneak in a hefty percentage of some money you should get? I would recommend getting an attorney to read over that contract too. So, why not just cut out the middle man and hire an attorney and not an agent. Gary Sheffield you say? I don't think him handling his own contract was the downfall of that. But say what you will.

Lastly, then I'll step down off my soap box!! And someone mentioned it, that the players need to watch the teams low balling them to lower the amount of their salaries. Who on this board wouldn't have given money to MLB teams to play professionally? I would have played for $40,000 a year. That way I could afford to live, yet still play a game we love. I, also, am one that believes if you do something well you should be paid for it. However, you have a man making $25 million a year playing baseball and one making $400,000 a year leading our country. You also have a man making $250,000 (or less) looking to find then cure to cancer and AIDS. What's wrong with this picture? Yet we still have people saying we should pay them more?! I don't get it.

 

New numbers

It appears that for the next pay period your net take-home pay will be increased $1,167,274 dollars when receiving a $2,000,000 bonus.

Paycheck and Bonus Analysis Current
PaycheckBonus
Gross pay
$2,000,000.
Withholdings

Marital status: (M/S)S
S
Allowances
0
Federal tax withheld
$664,226
Pre-Tax Deductions

Miscellaneous0
n/a
FICA
$124,000
FICA - health insurance
$29,000
401(k)/403(b): (%)10%
10%
401(k)/403(b): ($)$0
$15,500
After-Tax Deductions

Miscellaneous0
n/a
+ Reimbursement$0
n/a


Summary

Gross pay
$2,000,000.
Total deductions 0
$832,726
Take-home pay
$1,167,274

Now let's account for the missing items:

Take Home before adjustment $1,167,274

NC State Taxes (not bonus rate) $ 29,000

Agent % (going with the 5% per tax) $ 100,000

Lawyer ($500 per hour or 2% per tax) $ 40,000

Total before spending $ 998,276

His place in SF (Medain House Price $656,700)
Rent (starts around $3000.00 plus)
Monthly Expenses ($3000.00 plus)
Car or truck ($30,000 plus)
Furniture ($????????)
Mom & Dad ($??????)
Clothes ($??????)
We could go on but we get the idea.

 

Very good research!! I'm sure the place in SF can wait a year or few, but very good. And definitely something for future draft picks to see. It seems like these guys are getting a HUGE sum and that they won't ever have to worry if something were to happen, but that's not always the case. Hopefully they have good people around them telling them where to put their money in case of a "rainy day".

However, 900k would buy a NICE house in Caldwell County! HAHA

 

Wonder what Rick Porcello thinks about his agent?