The Los Angeles Dodgers have set a record with their total deferred payments exceeding $1 billion, with bills scheduled to continue until 2047.

The Dodgers, champions three times in the last six years, are creating baseball’s inaugural “deferred payment empire.” Alongside Shohei Ohtani’s remarkable $680 million deferred salary, a portion of new reliever Edwin Díaz’s earnings will be deferred until he reaches age 53. The total deferred payment amount owed by the Dodgers has now exceeded $1 billion, a historic first.

Although Díaz’s contract lasts only three years, the Dodgers must continue paying his deferred salary through 2047 even if he is traded later. His deal also includes an away-team exclusive suite clause and a fixed 1% salary donation to charity. Díaz is the ninth player on the Dodgers’ deferred payment list, with the largest shares still coming from Shohei Ohtani and Mookie Betts, whose combined deferred payments total $800 million.

These players might relocate after retirement to avoid California's high state taxes. Ohtani is Japanese, Betts hails from Tennessee, and Freddie Freeman holds Canadian citizenship. This situation is likely unwelcome by California’s government. Other team owners and fans question if this undermines competitive balance, while the players’ union supports any contract structures beneficial to players. This issue is expected to be a key focus in the next labor negotiations.

World Series MVP Yoshinobu Yamamoto signed the largest pitcher contract in history, a 12-year, $325 million deal without deferred payments, including an opt-out clause in 2030. The Dodgers also paid $50 million posting fees to his former Nippon Professional Baseball team, the Orix Buffaloes. With the New York Mets aggressively pursuing him, the Dodgers offered especially favorable terms. Yamamoto’s contract features a front-loaded structure with a heavy burden later, paying him $34 million annually starting in 2027, when he will become the Dodgers’ highest-paid player.