MLB luxury tax update proves Rangers have no excuse if they continue to struggle

Texas Rangers among nine MLB teams to exceed luxury tax threshold

Nine teams, including the Texas Rangers, have exceeded the $241 million luxury tax threshold, according to The Associated Press. The Rangers are the only team without a winning record (81-81) to surpass the threshold. They owe $190,483 to MLB by January 21.

This marks the third straight year the Rangers have exceeded the luxury tax threshold, subjecting them to the highest escalator fees. The New York Mets, New York Yankees, Los Angeles Dodgers and Philadelphia Phillies also surpassed the threshold for the third year in a row.

Texas owes the least amount of money among the nine teams. Here are the rest of the league's required payments:

• Dodgers: $169.4MM
• Mets: $91.6MM
• Yankees: $61.8MM
• Phillies: $56.1MM
• Blue Jays: $13.6MM
• Padres: $7MM
• Astros: $1.5MM
• Red Sox: $1.5MM

The first $3.5 million the league receives from these teams will fund player benefits. Half of the remaining money will be used for revenue-sharing distribution among the league, while the other half will go to players' retirement accounts.

MLB luxury tax update proves Rangers have no excuse if they continue to struggle

While the Rangers only have to pay $190,483, the lowest among the nine teams, for exceeding the luxury tax, the fact that they have to pay at all proves the team has no excuse to continue to struggle. A team that is among the biggest spenders in the league should not be finishing the season with a .500 record.

Luckily, the Rangers have begun reshaping their roster with hopes of returning to the postseason for the first time since they won the World Series in 2023. The team's offense is the biggest issue, and trading infielder Marcus Semien, who is a strong defender but has struggled at the plate over the past two seasons, for outfielder Brandon Nimmo, who has been an above-average hitter per OPS+ every year since 2017, signifies the team is committed to improving.

It's too bad the Rangers cannot afford to add much more in payroll, which creates a big challenge for president of baseball operations Chris Young and the rest of the Rangers brass. If 2026 ends up being another wasted season for the Rangers, Young will likely be on the hot seat.