The Yankees are grappling with financial challenges as they attempt to remain competitive under the constraints of the luxury tax system. They’re currently paying approximately $16 million to players no longer on their roster, which complicates efforts to make one final impactful move to strengthen their infield.
With their luxury tax salary sitting at $303 million, they’ve exceeded the fourth-tier threshold of $301 million. Offloading contracts, such as Marcus Stroman’s $18.5 million deal, has become a priority. However, even if Stroman is traded, the Yankees remain burdened by substantial dead money from prior mistakes.
Aaron Hicks Still on the Payroll
One of the most significant financial setbacks is Aaron Hicks, who is owed $9.8 million for the 2025 season as part of a seven-year, $70 million contract that was cut short. The Yankees will also pay him a $1 million buyout in 2026.
Hicks appeared in just 18 games with the Los Angeles Angels last season before fading from relevance, and it’s uncertain if any team will give him another opportunity. At this point, Hicks may simply collect his remaining paychecks as the Yankees endure the lingering costs of his ill-fated deal.
Anthony Rizzo’s Decline
The Yankees are also on the hook for $6 million owed to Anthony Rizzo in 2025 after declining his $17 million club option. Rizzo’s offensive production has dwindled, as shown by his 2024 stats: a .228 batting average, .301 on-base percentage, .335 slugging percentage, eight home runs, and 35 RBIs in 92 games. His once-potent bat and reliable defense have sharply declined, leaving his future uncertain. While he hasn’t officially retired, it wouldn’t be surprising if he steps away rather than accept a diminished role.
Replacing Juan Soto
After losing Juan Soto to the Mets this offseason, the Yankees have made aggressive moves to compensate, acquiring players like Paul Goldschmidt and Max Fried. Despite these additions, they’re still one key infield bat short of completing their roster overhaul. Filling that gap is critical as they aim to compete in a weakened American League, where Soto’s absence leaves a glaring hole in their lineup.
Financial Constraints and the Path Forward
The Yankees’ attempts to build a championship-caliber team are hindered by financial inflexibility. Dead money tied to players like Hicks and Rizzo significantly limits their options, underscoring the impact of past missteps. While the team has addressed several weaknesses this offseason, overcoming these financial obstacles will be essential if they hope to make one final move to solidify their roster and contend for a title.
