Alex Rodriguez explains why the Dodgers are good for baseball
USA TODAY’s Ralphie Aversa chats with MLB legend Alex Rodriguez about the dominant nature of the Dodgers roster.
Sports Seriously
Since 2012, Major League Baseball has provided a way for teams to retain players whose contracts have expired for an additional season through what’s known as a “qualifying offer.”
The idea is to give the team and the impending free agent an opportunity to extend their relationship – before free agency officially begins – for a one-year deal equal to the average salary of MLB’s 125 highest-paid players.
If a club extends a qualifying offer to a player and he chooses not to accept it, the player becomes a free agent and his former MLB team is entitled to a compensatory pick in the upcoming year’s draft if the player signs elsewhere.
A free agent can receive a qualifying offer only if (1) he has spent the entire season with the same club and (2) he has not received a qualifying offer in any previous season.
What is MLB qualifying offer for 2026?
The qualifying offer value for 2026 is $22.025 million.
Which MLB free agents are most likely to receive qualifying offers?
Players who are likely to receive qualifying offers are, as one might expect, some of the best players in the game. They are likely to do much better than a one-year, $22 million contract in free agency. This offseason, the list figures to include:
How often do players accept qualifying offers?
Very rarely. From the 2012-2024 offseasons, just 14 of the 144 eligible players chose to accept a team’s qualifying offer.
The last player to accept was pitcher Nick Martinez, who took the $21.05 million QO from the Cincinnati Reds for the 2025 season.
What is the draft pick compensation for losing a qualified free agent?
The specific draft pick which teams receive for one of their player(s) signing elsewhere as a free agent varies depending on whether the original team is one whose total payroll the previous season makes them subject to MLB’s competitive balance (luxury) tax or whether they are a recipient of that revenue-sharing money.
Teams who pay the luxury tax receive an additional draft pick after the completion of Round 4.Teams who are revenue-sharing recipients receive a compensation pick between the first round and Competitive Balance Round A if the lost player signs for at least $50 million. If the player signs for less than $50 million, the compensation pick comes after Competitive Balance Round B.Teams that aren’t in either category receive a compensation pick after Competitive Balance Round B. What are the penalties for signing a qualified free agent?
A team that signs a qualified free agent must forfeit one or more draft picks, based on the signing team’s financial status.
Teams who pay the luxury tax lose their second- and fifth-highest selections, as well as $1 million from their international bonus pool for the upcoming signing period. If that team signs multiple qualified free agents, it will forfeit its third- and sixth-highest draft picks as well.Teams who are revenue-sharing recipients lose their third-highest draft pick. Signing additional free agents costs them their fourth-highest.All other teams lose their second-highest selection, as well as $500,000 from their international bonus pool. Signing additional free agents cost them their third-highest pick.