Explain the MLB contracts and slot values like I’m 10

The slot value is just a number. The club can go under or above that number which is paid out as a signing bonus. Going above in the first round is uncommon. As far as a contract, I think the pay is based off of what level you are at. A, AA, AAA along with service time. Things have changed recently so I could be wrong on that.

Livvy Dunn is worth 10 mil
My wife is worth 5 mil
Les Miles’ wife is worth 1 mil

The most shocking part of slot value is that it’s only the top of the 1st round making big money.

Being that 90% of the players don’t get all that much compared to other sports, this allows teams to underpay their top picks and use that money to incentive late round picks by overpaying them hoping they sign and skip college.

The multimillion dollar multi-year contracts don't start until free agency which is 6 years after making the mlb roster. Although some of the top guys like Tre Morgan would probably make more in NIL than he will from pro ball, going now gets him closer to that second contract.

You ever do an auction draft for fantasy football? Teams basically have a set amount they can spend and have to stay within that budget. They can juggle however they like. If a player does not sign, they end up losing that money. Which is why so many players drafted in the 1st ten rounds will never go back or to college. It's mostly pre-negotiated.


Rookie get paid league minimum($700k range) when called up to the MLB, and when they get there, their service time clock starts.

Teams have control for 6-7 years. After the first few years, they will go to arbitration and establish a new contract minimum (usually not a huge raise).


However, many teams will offer new contract extensions once players get called up.

Alex Bregman, for instance, got a 6yr/100mil deal after his 3rd season.


Michael Harris of the Braves, a rookie last year, got an 8yr/72mil deal after his rookie year.


Teams understand that if they sign them long term early in their careers, it saves them more money vs signing them at the end of their rookie deal. They are not worth as much early on, and the players are eager to get off of their rookie contracts.

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I would like to think a school like LSU and NIL would be more appealing to any aspiring baseball star than going through the A, AA, AAA route for so long.

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NIL only goes so far, people get this notion why sign for $400k-$500k maybe as a mid Top 10 round pick when you can get NIL, well the truth is that player is probably getting absolutely nowhere close to that in NIL money, even at a place here. SOME might be getting decent coin but this notion a half dozen or more players on our team are making six figures plus is simply not true.

Baseball players are not raking in the money football players are via NIL, not even close.

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the team that drafts you holds your rights for 4-5 years as a minor league player so there really is no power from the player’s perspective in these negotiations.

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Unless they have college eligibility left and don't sign and go back to school.