Houston Astros third baseman Carlos Correa's trade from the Minnesota Twins comes with a $4.7 million benefit.
Carlos Correa was traded from the Minnesota Twins to the Houston Astros at the trade deadline. The move was one of the blockbusters at the trade deadline, and for Correa, it was a great chance to return to where his career began.
But, as Bob Nightengale of USA Today points out, the trade to the Astros brings more than just a chance to play for a contender in his former team. Landing in Houston also brings the potential for $4.7 million in savings.
"Carlos Correa, playing for the Twins with a home in St. Paul, was residing in a state where the tax rate is 9.85%." Nightengale writes, "He was traded to the Astros, where there are no state taxes in Texas. he just saved himself $4.7 million, and even more, considering the AL West schedule features road games in Arlington."
Correa has three years and $103 million remaining on his contract. The $4.7 million he saves from playing in Houston rather than Minnesota isn't a huge amount compared to what he's making overall, but it's not nothing either.
MORE: Astros agree to blockbuster trade with Twins for Carlos Correa
The Astros picked up $70 million of his remaining deal, as the Twins took on $33 million as part of the blockbuster trade. Both the Astros and Twins saw a lot of money moving around in the Correa deal, and Correa will also see a benefit to returning home to Houston.
After four years away from the Astros, upon his return, Correa is expected to save at least $4.7 million thanks to the difference in state taxes. Not only will he compete for a World Series in Houston, but he'll save some money while doing so.
Between the Astros landing their new third baseman, the Twins saving $70 million with the deal, and Correa saving $4.7 million along with returning to where he began his career, the blockbuster deadline deal is a win for every party involved.
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Category: Baseball