- The Los Angeles Dodgers have the highest tax payroll in the league at $430,331,070.
- 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.
As mega-contracts become more common and payrolls keep rising, some teams see the annual luxury tax threshold as a minor obstacle rather than a real 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. I’ll update this page throughout the year.
MLB Payroll Rankings 2026
| Rank | Team | 2026 Payroll | 2025 Payroll |
|---|---|---|---|
| 1 | Dodgers | $430,331,070 | $417,341,608 |
| 2 | Mets | $356,491,720 | $346,670,456 |
| 3 | Yankees | $339,415,984 | $319,522,564 |
| 4 | Phillies | $321,370,748 | $314,329,912 |
| 5 | Blue Jays | $315,869,968 | $286,135,551 |
| 6 | Red Sox | $270,514,805 | $248,859,139 |
| 7 | Padres | $263,878,517 | $270,351,396 |
| 8 | Cubs | $261,526,889 | $231,124,468 |
| 9 | Braves | $256,937,996 | $234,800,685 |
| 10 | Astros | $234,577,836 | $245,991,459 |
| 11 | Diamondbacks | $233,339,438 | $216,099,333 |
| 12 | Tigers | $233,026,727 | $188,162,067 |
| 13 | Giants | $223,902,726 | $225,357,291 |
| 14 | Orioles | $213,757,060 | $179,321,070 |
| 15 | Rangers | $208,774,828 | $241,380,966 |
| 16 | Mariners | $202,007,277 | $194,481,145 |
| 17 | Angels | $194,864,297 | $221,351,742 |
| 18 | Royals | $185,864,967 | $180,975,889 |
| 19 | Brewers | $153,579,922 | $143,593,166 |
| 20 | Reds | $149,037,416 | $144,256,289 |
| 21 | Athletics | $143,339,913 | $118,141,841 |
| 22 | Pirates | $137,750,162 | $108,626,221 |
| 23 | Twins | $134,591,642 | $141,653,295 |
| 24 | Rockies | $133,085,760 | $146,730,542 |
| 25 | Nationals | $120,715,522 | $133,693,002 |
| 26 | White Sox | $116,194,562 | $91,811,137 |
| 27 | Rays | $114,027,857 | $103,438,452 |
| 28 | Cardinals | $108,166,007 | $153,544,320 |
| 29 | Guardians | $89,778,295 | $128,186,431 |
| 30 | Marlins | $83,443,778 | $86,926,975 |
Which MLB Team Had the Highest Payroll Last Season?
The Los Angeles Dodgers finished the 2025 campaign with MLB’s highest payroll on their way to winning the World Series. It was the first year since 2022 that they led the league in payroll.
As of this writing, the Dodgers’ payroll of $430,331,070 is the highest mark for the 2026 campaign.
Which MLB Teams Paid the 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 |
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