Pending Free Agents May Have Tempered Philadelphia Phillies’ Offseason

The Philadelphia Phillies have had a relatively quiet, but interesting offseason.

However, for this old scout, the Phillies made two important moves.

After finishing first in the National League East, with a record of 95-67, the Phillies have added free agent outfielder Max Kepler, and left-handed starting pitcher Jesus Luzardo to their roster.

Kepler will replace Austin Hayes, who signed with the Cincinnati Reds for one year, at $5 million.

Luzardo was obtained in a trade with the Miami Marlins. The Phillies got Luzardo and minor league catcher/outfielder Paul McIntosh, for prospect outfielder Emaarion Boyd, and prospect shortstop Starlyn Caba.

The Phillies did lose relievers Jeff Hoffman, and Carlos Estevez to free agency. They did, however, sign closer Jordan Romano last November, when he was not tendered a contract by the Toronto Blue Jays.

A host of pending Phillies free agents likely have had an impact on current payroll spending

More about that later.

Phillies Payroll:

According to sportrac.com, the Phillies current tax payroll is $298,928,770.

That places them second, only behind the $380,025,288 tax payroll of the Dodgers.

The Phillies are projected by sporttrac.com to have a payroll of $302,878,770 by opening day.

Major League Baseball has four luxury tax payroll thresholds that teams may not exceed without paying a financial penalty.

For the 2025 season, the thresholds are:

$241 million

$261 million

$281 million

$301 million

Pending Free Agents:

The Phillies payroll situation is exacerbated by having six pending free agents on their current roster.

If their contracts are not extended, the players below may become free agents at the end of the season.

J.T. Realmuto-C-Age 33-$23,875,000 current salary

Kyle Schwarber-DH—Age 32-$20 million current salary

Max Kepler-LF-Age 32-$10 million current salary

Jordan Romano-Age 31-$8.5 million current salary

Joe Ross-RF-Age 31-$4 million current salary

Ranger Suarez-SP-Age 29-$8.8 million current salary

Those salaries alone, represent more than $75 million in 2025 payroll.

What do the Phillies do about extending core players like Realmuto, and Schwarber? Do they want to retain Romano as their closer? How about the rotation spot for Suarez?

Those are issues that likely helped dictate this winter’s quieter transaction approach.

Teams that face pending free agents have options.

The team can keep the player for the season, and let him enter free agency. They get no real compensation if that happens, unless they offer the player a qualifying offer that he refuses.

The team can trade the player at some point this spring, or during the season.

The team can offer the player an extension of his current contract. Usually, that amounts to adding multiple years, and a hefty salary increase.

In essence, Phillies President of Baseball Operation, David Dombrowski, and his staff, have decisions to make.

It may be a matter of what ownership is comfortable paying going forward.

About Kepler And Luzardo:

Max Kepler:

Kepler, 31, was signed as an international free agent out of Germany by the Minnesota Twins in 2009.

Kepler received an $800,000 bonus, which at the time, was the highest ever given a European position player.

Kepler’s parents were in the performing arts in Germany.

Kepler has played parts of 10 major league seasons, all with the Twins.

Last year, Kepler hit .253/.302/.380/.682, with 21 doubles, two triples, 24 homers, 72 runs scored, and 66 RBIs in 491 plate appearances.

Kepler has a career .237 batting average in 4,251 plate appearances.

Last year, Kepler missed time with left patellar tendinitis, and had core surgery, and played only 105 games.

fangraphs.com lists Kepler as the starting left fielder, hitting 6th in the lineup.

Kepler has always played right field, and center field for the Twins, but he is a good defensive outfielder. He should adapt well to left.

Jesus Luzardo:

The Phillies are hoping Luzardo, 27, is fully healthy.

Luzardo made only 12 starts last year for the Miami Marlins, after missing time in April/May with elbow tightness, and then ending his season in June with a season-ending lumbar stress reaction.

Luzardo was selected by the Washington Nationals in the 3rd round of the 2016 draft.

Selected out of Marjorie Stoneman Douglas High School, in Parkland, Florida, Luzardo was given a $1.4 million signing bonus.

In July 2017, the Nationals traded Luzardo to the Oakland Athletics.

Oakland traded Luzardo to the Marlins in July 2021.

Miami traded Luzardo to the Phillies on December 22, 2024.

Luzardo has postseason pitching experience, as he started for Oakland in four playoff series.

Luzardo finished this past season with a 3-6 record, 5.00 ERA, and 1.24 WHIP in 66.2 innings, covering those 12 starts.

For now, the Phillies have the current roster/payroll to consider, but with an eye to the future, and their pending free agents.