Shohei Ohtani made headlines globally in December when he announced he would be signing a $700 million deal with the Los Angeles Dodgers at an AAV of $70 million. While $680 million of this will be deferred for 10 years, it is still an astronomical number.

Enter Lewis Hamilton. The superstar F1 driver has announced a blockbuster 2025 switch from Mercedes to Ferrari, which has sent shockwaves through the sporting world. But that’s not all, as the contract details of Hamilton’s deal are incredible.

Hamilton is set to earn a reported $100 million per year with Ferrari, which dwarfs Ohtani’s $70 million per year AAV.

This certainly fits with the trend of contract records lacking permanence, as it seems records are set annually in sports. While this is due to the constant increase in revenue in sports, one does have to wonder if this is sustainable.

Shohei Ohtani’s contract gives the Dodgers room to maneuver for the future

Not only did Shohei Ohtani’s signing with the Los Angeles Dodgers signal a seismic change in the MLB landscape in 2024, but his deferred payments may have ushered in a Dodgers golden age.

While the franchise will one day have to pay him $68 million per year, that isn’t for 10 years. With that, the Dodgers have implemented a buy now, pay later tactic which allows them room to maneuver for the foreseeable future.

Deferred money is an interesting theme in LA, with the team set to be paying $83.85 million in the distant future of 2039. The Dodgers are the favorites to win the World Series 2024, with most tipping them or the Atlanta Braves to win it all.

Given that LA managed to land not only Shohei Ohtani but Yoshinobu Yamamoto, Tyler Glasnow and Teoscar Hernandez too, they are favorites for a reason. With a stacked roster and a huge payroll, expectations are high in LA in 2024.