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re: 680 million of Ohtani’s 700 mill contract is deferred until it’s over.
Posted on 12/11/23 at 5:02 pm to Fun Bunch
Posted on 12/11/23 at 5:02 pm to Fun Bunch
Leave the bulk of the contract to be paid later, after retirement. Make a “small” amount now, while also raking in millions in endorsement deals during his prime.
Smart
Smart
Posted on 12/11/23 at 7:36 pm to RB10
quote:
Leave the bulk of the contract to be paid later, after retirement. Make a “small” amount now, while also raking in millions in endorsement deals during his prime.
Smart
Tell me you don't know anything about finance without telling me you don't know anything about finance.
Deferring payment on a contract for a decade without getting some type of interest is the definition of stupid.
Posted on 12/11/23 at 8:23 pm to RB10
quote:what?
Leave the bulk of the contract to be paid later, after retirement. Make a “small” amount now, while also raking in millions in endorsement deals during his prime. Smart
cash now is more valuable than cash later if for no other reason than it can be invested. That doesn’t even take into account inflation
this is the dumbest contract in sports history
Posted on 12/11/23 at 9:29 pm to RB10
quote:
Leave the bulk of the contract to be paid later, after retirement. Make a “small” amount now, while also raking in millions in endorsement deals during his prime. Smart
Wtf? Did you pass Econ 101? Look we all know Ohtani (and his great great grandkids) will be fine but deferring $600 million to be paid years from now is almost never going to be “smart” from a purely economic standpoint (whether it’s smart from a competitive standpoint is another question and it probably is so frick the Dodgers for pulling that off). But back to Ohtani’s finances, never underestimate the time value of money. Also, not really a risk in the case of a MLB franchise paying up, but also never underestimate the value of cash in tbe bank over promissory notes.
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