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Contract and Roster Management Guide

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Old 07-06-2020, 07:36 PM   #17
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Re: Contract and Roster Management Guide

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Originally Posted by TheWarmWind
Some more additions and edits, mainly dealing with service time.









The game is kind of vague about this. Just assume it's true that you need to offer at least 80% for safety's sake.


@Bullit you were right it's %80, not %75. Corrected.
I don't know for surebut I always assumed it was guys who still had some of their 6 (or 7) years under team control left before free agency and it was letting you know you can't reduce their contract by more than 20%, even if you tried. dunno, not positive, never tried, just took it for it's word at face value :shrug:
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Old 07-09-2020, 03:40 AM   #18
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Re: Contract and Roster Management Guide

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Originally Posted by TheWarmWind
To add on to what Caulfield said, the amount of money you have in the offseason is impacted by the amount of money you save up during a season.

There are people who have studied the system far more than me, but this is my understanding of it.

A team's spending budget during the offseason is based on a combination of performance, market, money saved from the current season, and money saved from past seasons. When the offseason ends and spring training begins, an in season budget is set based on current salary commitments, market and predicted profits (which I assume are related to last year's performance). All of the excess money is skimmed for future offseasons and "profit" (meaning it disappears) except for a 5 million grace which is put in the bank. Money will be added or taken away from the bank based on how well you stay on budget.

The simplest way to put it is: If you want a lot of cash to spend in the offseasons, save as much money in the bank as possible while also winning games.

To clarify the luxury tax: It's a soft cap, meaning that every dollar you spend over the soft cap will cost you two dollars.
To maximize resources available, you've also got to be smart about when to offer contracts to current roster players. I recall a thread or vid a few years back, but i don't remember who authored it. In any case, i jotted down the key points and its done me well.

Exclusive negotiation/Qualifying offers: be smart with QO's. If you're looking for comp picks, the player better be top 10-ish, or it might be better to offer a normal contract if you're content to keep the player, but unsure about tying up 20 mil in 1 player.

When EN is over, I'll typically cut any prospect I don't want to re-sign. Typically these are players that I replaced through the draft. I'll start re-upping my A/B potentials here as well. I'll flesh out 40 man as much as I can within the 1st week. We know that the more players currently on the 40, the more $ you can offer. If needed I put lower OVR/older players on that I don't mind sacrificing, if i need to DFA someone

Wait til Arb deadline to offer Arb. Again, it's keeping $ free as long as possible.

If you've cut unwanted players early, like mentioned above, you can quickly resign the rest of your guys come Dec. 2nd without re-upping someone you didn't want to keep. i recommend offering these players lowest possible offer, so they're not lost to FA. Most of these players are on renewables anyway.

When signing players i want on my 40 man, I'll generally give them 500k minimum. If he's under 25, i may drop that to 100k - 250k just to ease my budget a bit. My theory is if you might be in the bigs, i'm going to pay you like it. When re-signing prospects, I try not to keep anyone who wants 6 figures unless I drafted said player. Typically those players are older and taking away playing time from younger kids anyway.

After the rule 5 draft, fully flesh out your 40 man. When thats done, look through the FA's. Sign kids that look decent, hopefully with good potential to flesh out your minors rosters. If you don't have 40 on your 40 man, any new signing will get put on the 40 automatically.

Remember to renew after Arb hearings.
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Old 07-09-2020, 11:11 AM   #19
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Re: Contract and Roster Management Guide

How do real contracts work in this game?

Players have their real contracts (ex. Manny Machado- $30M per year) However, when star players enter Free Agency they ask for a considerable amount less (superstar players in the $10-$15M range)

How does the game account for this huge disparity between their real contracts, and the free agency signings in future years?

Thanks!
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Old 07-09-2020, 05:24 PM   #20
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Re: Contract and Roster Management Guide

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Originally Posted by ch46647
How do real contracts work in this game?

Players have their real contracts (ex. Manny Machado- $30M per year) However, when star players enter Free Agency they ask for a considerable amount less (superstar players in the $10-$15M range)


How does the game account for this huge disparity between their real contracts, and the free agency signings in future years?


Thanks!
w/o a crystal ball we don't know if there is a discrepancy. if Baltimore's Chris Davis were a free agent 2-3 years ago, would he he still ask for the moon? or would he rather just accept a piece of the pie?
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Old 07-10-2020, 05:20 PM   #21
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Re: Contract and Roster Management Guide

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Originally Posted by garry1221
To maximize resources available, you've also got to be smart about when to offer contracts to current roster players. I recall a thread or vid a few years back, but i don't remember who authored it. In any case, i jotted down the key points and its done me well.

Exclusive negotiation/Qualifying offers: be smart with QO's. If you're looking for comp picks, the player better be top 10-ish, or it might be better to offer a normal contract if you're content to keep the player, but unsure about tying up 20 mil in 1 player.

When EN is over, I'll typically cut any prospect I don't want to re-sign. Typically these are players that I replaced through the draft. I'll start re-upping my A/B potentials here as well. I'll flesh out 40 man as much as I can within the 1st week. We know that the more players currently on the 40, the more $ you can offer. If needed I put lower OVR/older players on that I don't mind sacrificing, if i need to DFA someone

Wait til Arb deadline to offer Arb. Again, it's keeping $ free as long as possible.

If you've cut unwanted players early, like mentioned above, you can quickly resign the rest of your guys come Dec. 2nd without re-upping someone you didn't want to keep. i recommend offering these players lowest possible offer, so they're not lost to FA. Most of these players are on renewables anyway.

When signing players i want on my 40 man, I'll generally give them 500k minimum. If he's under 25, i may drop that to 100k - 250k just to ease my budget a bit. My theory is if you might be in the bigs, i'm going to pay you like it. When re-signing prospects, I try not to keep anyone who wants 6 figures unless I drafted said player. Typically those players are older and taking away playing time from younger kids anyway.

After the rule 5 draft, fully flesh out your 40 man. When thats done, look through the FA's. Sign kids that look decent, hopefully with good potential to flesh out your minors rosters. If you don't have 40 on your 40 man, any new signing will get put on the 40 automatically.

Remember to renew after Arb hearings.
This post has gone some to answering my question but I’m still after some additional advice/clarification.

What’s the most cost-effective way to extend players?

I understand a little more about arbitration now. Should I pretty much always be waiting and offering arbitration if guys still have years left? Or are there drawbacks to arbitration? For example, in basketball, players can be offered a qualifying offer which is generally very low. This is extremely cost effective, but the player becomes an unrestricted free agent at the end of the following season, so it’s a terrible option if you want to keep the player long term. Is there anything like this with arbitration?

I have Luis Castillo as one of my starting pitchers but he’s not under contract next season. His salary is about $600,000 and he has three years of arbitration beginning next year. How should I go about retaining him? Should I just offer him a multi-year deal straight up? Should I go to arbitration? Can I go to arbitration again the following year?
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Old 07-10-2020, 05:54 PM   #22
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Re: Contract and Roster Management Guide

Quote:
Originally Posted by Mackrel829
This post has gone some to answering my question but I’m still after some additional advice/clarification.

What’s the most cost-effective way to extend players?

I understand a little more about arbitration now. Should I pretty much always be waiting and offering arbitration if guys still have years left? Or are there drawbacks to arbitration? For example, in basketball, players can be offered a qualifying offer which is generally very low. This is extremely cost effective, but the player becomes an unrestricted free agent at the end of the following season, so it’s a terrible option if you want to keep the player long term. Is there anything like this with arbitration?

I have Luis Castillo as one of my starting pitchers but he’s not under contract next season. His salary is about $600,000 and he has three years of arbitration beginning next year. How should I go about retaining him? Should I just offer him a multi-year deal straight up? Should I go to arbitration? Can I go to arbitration again the following year?
You'll be able to see on their player card how many years of arbitration they have left (assuming they stay at the MLB level).

Only renewable years can be reduced. Arbitration stays the same no matter what.

What makes the most financial sense depends on a few factors.

1. Are they a blue chip stud and do you want them to be a career player on your team? If yes, then it might make sense to lock them up long term. Sure you'll pay more now, but you might save some valuable budget space during the time when the player would qualify for free agency. This choice comes with a lot of risk.

2. If you're unsure about a player's future, take the low risk path and don't sign past their last year of arbitration. This allows you one last look at them before they hit free agency, where they will likely command more money. This technique is all about reducing the risk to your organization. It's possible you could eventually lose out on great player, but that risk is mitigated a lot by the years of team control. In essence: use every advantage you have while you have it.

3. You need to ask yourself when is going to be a big spending year, and when you need to tighten the belt. Having an intimate knowledge of your current contracts is a big part of that. Sometimes you have no choice but to let good players go because your current commitments are too much. Milking every single year of team control and then making a tenured offer on their free agency year may seem like losing, but you did get something for it. On the other hand knowing your commitments are up and your budget has tons of room means you can splash a little more money on arbitration players to lock them for as long as you think they'll be contributors on your team.

Generally I advise the cautious approach. Smaller, short contracts (even just one years) can save you money now that will be much needed when your players do hit free agency. Only on the last year of arbitration should you consider making a big splash. That prevents the player from considering free agency and it comes at practically no risk to you.

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Old 07-10-2020, 05:59 PM   #23
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Re: Contract and Roster Management Guide

Quote:
Originally Posted by TheWarmWind
You'll be able to see on their player card how many years of arbitration they have left (assuming they stay at the MLB level).

Only renewable years can be reduced. Arbitration stays the same no matter what.

What makes the most financial sense depends on a few factors.

1. Are they a blue chip stud and do you want them to be a career player on your team? If yes, then it might make sense to lock them up long term. Sure you'll pay more now, but you might save some valuable budget space during the time when the player would qualify for free agency. This choice comes with a lot of risk.

2. If you're unsure about a player's future, take the low risk path and don't sign past their last year of arbitration. This allows you one last look at them before they hit free agency, where they will likely command more money. This technique is all about reducing the risk to your organization. It's possible you could eventually lose out on great player, but that risk is mitigated a lot by the years of team control. In essence: use every advantage you have while you have it.

3. You need to ask yourself when is going to be a big spending year, and when you need to tighten the belt. Having an intimate knowledge of your current contracts is a big part of that. Sometimes you have no choice but to let good players go because your current commitments are too much. Milking every single year of team control and then making a tenured offer on their free agency year may seem like losing, but you did get something for it. On the other hand knowing your commitments are up and your budget has tons of room means you can splash a little more money on arbitration players to lock them for as long as you think they'll be contributors on your team.

Generally I advise the cautious approach. Smaller, short contracts (even just one years) can save you money now that will be much needed when your players do hit free agency. Only on the last year of arbitration should you consider making a big splash. That prevents the player from considering free agency and it comes at practically no risk to you.

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Awesome, thanks a lot as always!
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Old 07-10-2020, 07:28 PM   #24
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Re: Contract and Roster Management Guide

Quote:
Originally Posted by Mackrel829
Awesome, thanks a lot as always!
Something else to keep in mind as well, even if you do only sign a player to a 1 year contract for their last year of arbitration, you still have the entire spring training, a period of time after the all star game and the 5 days of exclusive negotiation after the World Series to sign them to a contract extension and avoid them hitting free agency.

This is also true even if the last year of a multi-year contract falls on the last year of arbitration, or in fact any free agent eligible player. You can even use these signing periods to get an idea of how much the player may want (and the years they want). This can help you decide if you want to keep them or if you want to let them go (or trade them while you can still guarantee you can get value).
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