The Surprising Story of Bobby Bonilla’s Baseball Millions: How He Got Paid to Retire
What would you do if you were paid millions of dollars to retire? Well, that was precisely what happened to Bobby Bonilla, a former baseball player, in one of the most surprising contracts in sports history.
In this blog post, we’ll take you through the fascinating story of Bobby Bonilla’s baseball millions. From the background of the player himself to the multi-million dollar contract he signed, we’ll uncover all the details you need to know about how he got paid to retire.
Who is Bobby Bonilla?
Bobby Bonilla is a retired baseball player born on February 23, 1963, in New York City. He began his baseball career in 1986, playing for the Chicago White Sox. He then moved to several other teams, including the Pittsburgh Pirates, Baltimore Orioles, and New York Mets.
Bobby was a well-known outfielder in his era, with a career batting average of .279 and 287 home runs. However, what made him even more famous was the way he made millions celebrating his retirement.
Bobby Bonilla’s Multi-Million Dollar Contract
Most people don’t usually associate retirement with making money, but that’s what happened to Bobby Bonilla. In 1991, the New York Mets signed Bobby to a multi-million dollar contract. However, after five seasons with the team, the Mets decided to buy out his contract by paying $5.9 million.
But here’s where the story gets interesting. Instead of paying Bobby this money immediately, the Mets decided to pay him off in annual installments starting from 2011, thus deferring the payment of the amount for ten years.
The Deferred Payment Plan
The Mets agreed to pay Bobby Bonilla $1.19 million every year, beginning from 2011, and continuing until 2035, adding up to a total of $29.8 million.
This unique financial arrangement between the Mets and Bobby Bonilla has been dubbed the “deferred payment plan.” To make it even more interesting, the deal included an 8% interest rate, which ballooned the payments even further.
The Brilliance Behind Bobby’s Contract
You might be wondering why the Mets’ management made such a bizarre deal. One reason is that they were trying to create room for younger players and needed to free up salary space.
Another reason was that in the early 2000s, the Mets management was involved with Bernard Madoff. Madoff was a financier who was later convicted and sentenced for running a massive Ponzi scheme worth billions of dollars. The team believed that investing their money with Madoff would generate more income than paying a buy-out sum to Bonilla, hence the deferred payment plan.
Was Bobby Bonilla the Only Player to get Paid to Retire?
Bobby Bonilla’s contractual arrangement may seem unusual, but he was not the only player to receive such treatment. Many other agreements exist between clubs and their former players. For example, Philadelphia Phillies once agreed to pay former player Ryan Howard $10 million over ten years after buying out his contract.
Frequently Asked Questions
Q. What is Bobby Bonilla’s net worth?
A. Bobby Bonilla has an estimated net worth of $25 million.
Q. What teams did Bonilla play for during his career?
A. Bobby Bonilla played for several teams during his baseball career, including Chicago White Sox, Pittsburgh Pirates, New York Mets, Baltimore Orioles, Florida Marlins, Los Angeles Dodgers, Atlanta Braves, and St. Louis Cardinals.
Q. How much money has Bonilla made from the deferred payment plan so far?
A. As of 2021, Bobby has received 11 annual payments of $1.19 million, for a total of $13.1 million.
Q. Was the deferred payment plan a good deal for the Mets?
A. In hindsight, it might seem like the deferred payment plan was not a good deal for the Mets. However, at the time, it was an innovative agreement that allowed the team to create salary cap space.
Q. How did Bobby Bonilla react to the deferred payment plan?
A. Bobby Bonilla was excited about the deferred payment plan and saw it as an opportunity to secure his financial future.
Q. Did the Bobby Bonilla deferred payment plan inspire other deferred contracts in sports?
A. While the Bobby Bonilla deferred payment plan is rare, it did inspire other deferred contracts in sports, with some teams deferring payment to players for several years.
Q. Will the Bobby Bonilla deferred payment plan continue until 2035?
A. Yes, the deferred payment plan will continue until 2035, with Bobby Bonilla receiving an annual payment of $1.19 million until then.
Conclusion
Bobby Bonilla’s baseball millions are a remarkable financial arrangement that continues to make headlines in the sports industry. The deferred payment plan highlights how innovative financial decisions can benefit both the team and the player.
It also shows how it’s important to have a forward-thinking approach when designing a financial plan to secure your future. Whether you’re a professional athlete, a business owner, or a regular individual, creating a financial plan that works for your future is paramount.
What do you think about Bobby Bonilla’s deal with the Mets? Let us know in the comments below.