Now ESPN is reporting that most of Ohtani's salary will be deferred until the end of his contract.
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He will only receive $2 million a year over the next decade, while the rest will be paid in installments between 2034 and 2043, the network reported.
As a result, the Dodgers will free up money to obtain and retain other top players on the roster, while facing a smaller potenial hit from MLB's luxury tax. The league does partially count deferred payments under roster formulas, so Ohtani will cost the team $46 million a year toward that calculation.
Ohtani agreed to the unprecedented deal with the Dodgers last week, after a feverish free-agent period for a player considered one of the best to ever play the game.
The $700 million total contract was 64% higher than baseball's previous record, a $426.5 million, 12-year deal for Ohtani's former teammate, Angels outfielder Mike Trout, that began in 2019.
His new average salary of $70 million - though deferred - is not quite double the amount he earned per year with the Angels, $42.3 million.
As ESPN noted, in addition to his baseball salary, Ohtani makes a substantial amount of money, estimated at $45 million a year, through endorsements and other off-field activities.
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The deferred payments were said to be his idea.
Another expected benefit could be huge savings in taxes. If Ohtani is not living in the United States - or especially in California - at the time of the payments, he would likely save big on his tax bills. California's top tax rate for residents is 13.3%.
The Dodgers have previously signed deferred-payment deals with other superstars on the current roster. Mookie Betts has a deal for 2021-32 that totals $365 million, which includes $115 million in deferred money paid from 2033-2044 plus the final $5 million of his signing bonus payable from 2033-35.
Freddie Freeman has a $162 million, six-year deal for 2022-27 that includes $57 million in deferred money payable from 2028-40.
Combined, the Ohtani, Freeman and Betts contracts will cost the Dodgers $857 million in deferred payments from 2033-44.
ESPN and The Associated Press contributed to this report.