By John Rammas/ irammas@eurohoops.net
They say that money makes the world go round. In professional sports in the 21st century, everyone has come to know this well.
On the basis of recent reports concerning the most expensive contracts in the new season of the NBA and NBAers’ highest earnings per second, Eurohoops compares the US basketball industry with the five most lucrative markets in team sports: American baseball (MLB), American football (NFL), American ice hockey (NHL) and world soccer.
NOTE: The amounts shown on contracts are before taxes. In the USA, the top federal income tax is 39.6%, and there are even more taxes in every state. In French soccer, a few years ago, taxation had reached 75% (!) before dropping to 50%.
NATIONAL BASKETBALL ASSOCIATION
The league’s $24.000.000.000 TV deal with the ESPN and Turner Sports networks from 2016 to 2025 has raised the new season’s salary cap to a 9-digit figure (at $101.869.000, while the minimum has been set at $91.682.000) for the first time in history. Not that teams ever hesitated to go over it, as with the luxury tax ($123.733.000) and paying more on the dollar. This is how the first contracts worth over $200.000.000 were signed. First by Stephen Curry, only to be outdone by Russell Westbrook with his extension immediately after. Despite that, it’s the former who has the highest earnings in the new season.
RUSSELL WESTBROOK (Oklahoma City Thunder)
Total contract value (2018-23): $205.030.000 (1st)
Contract value in 2018-19 season: $35.350.000 (4th)
STEPHEN CURRY (Golden State Warriors)
Total contract value (2017-22): $201.158.790 (2nd)
Contract value in 2018-19 season: $37.457.154 (1st)
MAJOR LEAGUE BASEBALL
Baseball is considered, in every respect, the most historic sport in the USA. And in another respect, it makes sense that a baseball player would have the most expensive contract in the history of team sports. Especially with the competitive balance tax (there is no salary cap), which is set at $197.000.000. We’re talking about Giancarlo Stanton of the New York Yankees, who, in 2014, when he was still in the Miami Marlins, signed an extension from 2015 to 2027 for $325.000.000. Based on the duration, it also makes sense that he doesn’t have the highest earnings in the new season. Those belong to Clayton Kershaw of the Los Angeles Dodgers.
GIANCARLO STANTON (New York Yankees)
Total contract value (2015-27): $325.000.000 (1st)
Contract value in 2018: $25.000.000 (13th)
CLAYTON KERSHAW (Los Angeles Dodgers)
Total contract value (2014-20): $215.000.000 (7th)
Contract value in 2018: $35.571.428 (1st)
NATIONAL FOOTBALL LEAGUE
The way the NFL functions in terms of finances does not differ much from the rest of the US sports industry. An exception is the way teams are asked to comply with the salary cap (at $177.200.000 in the new season, while there is no luxury tax) and to spend at least 89% on an average of 4 years. So, the Atlanta Falcons had no problem getting Matt Ryan to sign an extension worth $150.000.000. All this starting next season, since the highest earnings currently belong to Jimmy Garoppolo of the San Francisco Giants.
MATT RYAN (Atlanta Falcons)
Total contract value (2019-23): $150.000.000 (1st)
Contract value in 2018-19: $17.700.000 (19th)
JIMMY GAROPPOLO (San Francisco Giants)
Total contract value (2018-22): $137.500.000 (3rd)
Contract value in 2018-19: $37.000.000 (1st)