Details Of Scherzer's Contract

WASHINGTON (AP) — Because of deferred money, pitcher Max Scherzer's $210 million, seven-year contract with the Washington Nationals has a present-day value of $191.4 million by Major League Baseball's calculation.

The deal counts as $28.69 million annually for purposes of the luxury tax, which uses a different methodology.

The structure is designed to pay him $15 million annually for 14 years and shield much of the money from District of Columbia income tax, since he plans to become a Florida resident.

Scherzer gets a record $50 million signing bonus, of which $5 million is due this year and $15 million each in 2019, 2020 and 2021. The money is due in 12 equal semimonthly installments in those years from April through September.

He receives salaries of $10 million this year, $15 million in each of the next three seasons and $35 million in each of the final three years. That $105 million total due over the final three years will be deferred without interest and paid in $15 million installments each July 1 from 2022 through 2028.

Scherzer would get a $500,000 bonus each time he wins an MVP award, $250,000 for finishing second, $150,000 for third, $100,000 for fourth and $75,000 for fifth. He would earn similar bonuses for Cy Young finishes.

He would receive $250,000 if he is World Series MVP, $150,000 for League Championship Series MVP and $100,000 for making the All-Star game, winning a Gold Glove and winning a Silver Slugger.

He also gets a hotel suite on road trips.

Because of the deferred money, the deal has a present-day value of $191,401,086, by Major League Baseball's calculation. In yearly payrolls, which include salaries and prorated shares of signing bonuses, both discounted for deferred money, Scherzer's value is $17,142,857 this year, $22,142,857 for each of the following three years, $37,405,562 for 2019, $35,920,616 for 2020 and $34,503,480 for 2021.

Scherzer's deal counts as $28,689,376 annually for purposes of baseball's luxury tax, which uses a different methodology.