- The Los Angeles Dodgers have the highest tax payroll in the league at $421,772,931.
- The luxury tax threshold for 2026 is $244,000,000.
Baseball is a costly industry, and big-market owners seem willing to spend endlessly to secure top talent for their teams.
With mega-contracts becoming increasingly common and payrolls continuing to rise, some teams view the annual luxury tax threshold as a minor obstacle rather than a genuine deterrent to spending.
For the 2026 season, the tax threshold is $244,000,000. That means teams over that mark will have a tax bill after the season.
As a result, I’ve put together a table of MLB teams in order of their tax payroll for the 2026 season, based on the latest Spotrac data. This page will be updated throughout the year.
MLB Teams With the Highest Payrolls in 2026
| Rank | Team | 2026 Payroll | 2025 Payroll |
|---|---|---|---|
| 1 | Dodgers | $421,772,931 | $417,341,608 |
| 2 | Mets | $381,811,656 | $346,670,456 |
| 3 | Yankees | $337,531,199 | $319,522,564 |
| 4 | Phillies | $313,306,997 | $314,329,912 |
| 5 | Blue Jays | $308,039,906 | $286,135,551 |
| 6 | Red Sox | $268,999,981 | $248,859,139 |
| 7 | Padres | $258,593,788 | $270,351,396 |
| 8 | Braves | $253,121,631 | $234,800,685 |
| 9 | Cubs | $249,289,985 | $231,124,468 |
| 10 | Tigers | $243,230,340 | $188,162,067 |
| 11 | Astros | $236,470,471 | $245,991,459 |
| 12 | Giants | $232,902,084 | $225,357,291 |
| 13 | Diamondbacks | $231,032,864 | $216,099,333 |
| 14 | Orioles | $218,171,312 | $179,321,070 |
| 15 | Rangers | $204,796,463 | $241,380,966 |
| 16 | Mariners | $198,086,667 | $194,481,145 |
| 17 | Angels | $196,867,002 | $221,351,742 |
| 18 | Royals | $184,999,467 | $180,975,889 |
| 19 | Reds | $150,793,580 | $144,256,289 |
| 20 | Brewers | $143,512,775 | $143,593,166 |
| 21 | Athletics | $140,020,858 | $118,141,841 |
| 22 | Rockies | $135,978,386 | $146,730,542 |
| 23 | Pirates | $135,028,159 | $108,626,221 |
| 24 | Twins | $125,776,702 | $141,653,295 |
| 25 | Nationals | $115,093,810 | $133,693,002 |
| 26 | White Sox | $111,064,534 | $91,811,137 |
| 27 | Cardinals | $110,882,323 | $153,544,320 |
| 28 | Rays | $109,993,601 | $103,438,452 |
| 29 | Guardians | $87,732,387 | $128,186,431 |
| 30 | Marlins | $81,941,039 | $86,926,975 |
Which MLB Team had the Highest Payroll Last Season?
The Los Angeles Dodgers finished the 2025 campaign with the highest payroll in MLB on their way to winning the World Series. It marked the first year since 2022 that they had the highest payroll in the sport.
As of this writing, the Dodgers’ payroll of $421,772,931 is the highest mark for the 2026 campaign.
Which MLB Teams Paid Luxury Tax in 2025?
As first reported by the Associated Press, nine teams exceeded the luxury tax during the 2025 season.
Here are the nine teams and their payments:
- Dodgers: $169,375,768
- Mets: $91,637,501
- Yankees: $61,774,820
- Phillies: $56,062,903
- Blue Jays: $13,609,719
- Padres: $6,992,447
- Astros: $1,497,438
- Red Sox: $1,496,828
- Rangers: $190,483
MLB Payroll Ranks of Past World Series Champions
| Year | Team | Total payroll | Payroll rank |
|---|---|---|---|
| 2025 | Dodgers | $350,024,106 | 1st |
| 2024 | Dodgers | $265,870,208 | 3rd |
| 2023 | Rangers | $251,332,754 | 4th |
| 2022 | Astros | $183,791,796 | 8th |
| 2021 | Braves | $151,393,755 | 11th |
| 2020 | Dodgers | $124,719,080 | 1st |
| 2019 | Nationals | $172,307,808 | 7th |
| 2018 | Red Sox | $227,398,860 | 1st |
| 2017 | Astros | $138,344,211 | 17th |
| 2016 | Cubs | $186,772,494 | 5th |
| 2015 | Royals | $126,529,835 | 13th |
| 2014 | Giants | $160,336,782 | 7th |
| 2013 | Red Sox | $172,084,264 | 3rd |
| 2012 | Giants | $137,043,205 | 7th |
| 2011 | Cardinals | $118,919,465 | 9th |
Live Baseball Betting at BetMGM
Live betting is available for all regular-season and postseason MLB games at BetMGM.
From the first pitch through the final outs, you can bet on baseball betting lines. While you’re watching a Pittsburgh Pirates-Milwaukee Brewers game on TV, streaming a Chicago Cubs-Houston Astros game on your phone, or in the bleachers at Yankee Stadium for a Yankees-Mets game, you can place live bets.
Check out baseball betting today to get closer to the action!
If you don’t have a sportsbook account, register today with BetMGM’s welcome bonus. And check back for the best sportsbook promotions each day of the year.
The content provided in this blog is intended for entertainment purposes only. All views and opinions expressed are the authors and reflect their individual perspectives on sports, betting, and related topics. This content should not be considered professional betting advice or the official views of BetMGM LLC. Please gamble responsibly. If you or someone you know is experiencing issues related to gambling, seek help from a licensed health professional. This blog is not liable for any losses, damages, or consequences resulting from betting activities.
