Angels News: Payroll Takes a Hit with Lucas Giolito, Reynaldo Lopez Acquisition

Do the ends justify the means?

The Angels, who were thought to be seller at the Deadline, changed directions entirely when they decided to go out and get Lucas Giolito and Reynaldo López late Wednesday evening. But this move may have some consequences.

Since they are first time luxury tax offenders, the Angels won't be punished as harshly for going over it. 

Confirmed that these trades will push the #Angels over the luxury tax.

— Jeff Fletcher (@JeffFletcherOCR) July 27, 2023

And after the deadline, and maybe some more roster moves, the Angels could find themselves back under than luxury tax line, which is set at $233 million for 2023.

So is it worth it to go over the threshold in order to build a winning team? 

We've seen it both ways. The Rays reached the World Series in 2020, and their payroll was well below that threshold, but the teams that are perennial contenders, like the Dodgers, Yankees and Braves, sit atop the list.

As it stands right now, the Angels will only have a tax bill of $481,276, according to spotrac.com

You might look at that number and say ONLY?!?! But compared to the Mets, who are on the hook for nearly $109 million, the Angels seem to have it easy.

The Angels haven't really made any huge signings, but ultimately, there are just a couple of contracts that stick out. 

According to Spotrac, Anthony Rendon's contract is worth about 17.27% of the Angels' total payroll, and his luxury tax salary is the second highest on the team, behind Mike Trout.

So there are ways to get out of the hole the Angels are in, and in retrospect, it won't really be an issue if they just stay under the threshold next year, which will actually be higher, set at $237 million.